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12.30.2018

American White House Threatens to ban Huawei, ZTE purchases

For some time, US sanctions are harder to implement. For example, the United States has long since called on its allies not to use Huawei's communications equipment, since, according to the United States, Huawei collects user information and sells it to the Chinese government.

Now that we are spending the last days of 2018, Reuters reported on a decision by the president of the United States, Donald Trump, about two Huawei companies and ZTE, both operating in the field of communications equipment manufacturing. It seems that Trump intends to prohibit US companies from using the equipment of the two companies by a law that is coming to an end in 2019. However, industry officials still disagree about whether the government can legally force operators to use the equipment of the two companies or not, or whether they cannot make such a decision.

US ban Huawei and ZTE company


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In any case, Donald Trump's executive order, which has been under consideration for eight months, is likely to come into force in January. Under this decree, the US Department of Commerce is required to take over from US companies the purchase of communications equipment for foreign companies (which endangers US national security). It seems that Trump will execute his mandate using the "International Emergency Economic Forces" bill . The law allows the president to regulate the state of affairs in light of the state of emergency that threatens the United States.

Of course, the text of this decree has not yet been finalized and it does not appear that the name of Huawei and ZTE are specifically mentioned in this decree, but the officials of the Ministry of Commerce are expected to declare the companies named Huawei and ZTE interpreted in this order. They do.

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