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Huawei, the world's largest telecommunications equipment maker,
has been hobbled by trade restrictions
https://www.reuters.com/
world/china/exclusive-trump-admin-slams-chinas-huawei-halting-shipments-intel-others-sources-2021-01-17
imposed by the Trump administration on the sale of chips and
other components used in its network gear and smartphones
businesses.
But in recent weeks and months, people familiar with the
application process told Reuters https://www.reuters.com/business/autos-transportation/exclusive-us-approves-licenses-huawei-buy-auto-chips-sources-2021-08-25
the U.S. has granted licenses authorizing suppliers to sell
chips to Huawei for such vehicle components as video screens and
sensors. The approvals come as Huawei pivots its business toward
items that are less susceptible to U.S. trade bans.
"The Biden Administration cannot be allowed to hide this
approval from the public," Rubio said. "Officials need to come
forward with what actions they took and why. It is not in
America's economic or security interests to help Huawei. Instead
of granting waivers, the Biden Administration should be
increasing penalties and restrictions on Huawei and other
Chinese tech companies."
The Biden administration, through the Commerce Department's
Bureau of Industry and Security, has been reinforcing the hard
line https://www.reuters.com/
technology/biden-administration-adds-new-limits-huaweis-suppliers-2021-03-11
on exports to Huawei, denying licenses to sell chips to Huawei
for use in or with 5g devices.
But auto chips are generally not considered sophisticated,
lowering the bar for approval. One former government official
said they were "non controversial" while a chip industry source
said "old chips for cars don't harm U.S. national security."
The Commerce Department did not immediately respond to a request
for comment but earlier said it "continues to work with our
interagency partners to apply consistently the licensing
policies articulated in the Export Administrations Regulations
(EAR) to restrict Huawei's access to commodities, software or
technology for activities that could harm U.S. national security
and foreign policy interests."
Rubio was not alone in his criticism. Senator Tom Cotton
criticized the approvals, as did the top Republicans on the
House Foreign Affairs Committee and the House Armed Services
Committee.
"The Bureau of Industry and Security's mission is to protect
national security and regulate industry — not be its advocate
through a permissive licensing regime," said the Foreign Affairs
committee ranking member Michael McCaul.
The lead Republican on the Armed Services committee, Mike
Rogers, urged the administration "to immediately reverse this
decision before further harm is done to U.S. national security."
(Reporting by Chris Sanders and Karen Freifeld; editing by
Edward Tobin)
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