Senior administration officials agree to limit Huawei’s access to chips: report

Senior Trump administration officials have come to an agreement to limit the access of embattled Chinese telecommunications group Huawei to the global chip supply chain, Reuters reported Thursday. 

The new rule would require foreign companies that use American chip-making equipment to obtain a license from the U.S. before being allowed to sell this equipment to Huawei, which is the largest 5G equipment manufacturer in the world. 

According to Reuters, the decision was made to alter the Foreign Direct Product Rule to reflect the change around Huawei following a meeting on Wednesday between officials from various federal agencies. 

Both the White House and the Commerce Department declined to comment to The Hill, while a spokesperson for Huawei did not immediately have a comment. 

The move against Huawei follows months of pushback against the company from both the Trump administration and bipartisan members of Congress. 

Concerns have largely stemmed from a Chinese intelligence law that requires Chinese companies and citizens to participate in state intelligence work and share data if requested. 

The Commerce Department added Huawei to its “entity list” last year, effectively blacklisting the company, while the Federal Communications Commission (FCC) unanimously voted in November to classify Huawei as a national security threat and banned U.S. telecom groups from using FCC funds to purchase Huawei equipment. 

More recently, President Trump signed into law a raft of measures intended to limit Huawei’s use in the U.S., including a law that bans use of any federal funds to purchase Huawei equipment. Justice Department prosecutors brought charges against Huawei last month for stealing trade secrets and conspiracy to commit racketeering. 

Huawei has consistently pushed back against charges brought against it and has filed a lawsuit against the FCC.