The Trump administration is struggling with Chinese telecom giant Huawei’s access to chips for semi – judges, Commerce Secretary Wilbur Ross said Monday.
“On May 20, we issued an order preventing American technology from being used in Huawei – designed chips. This allowed them to take some evasive measures. They went through third parties,” Ross told “Morning with Maria.” “The new rule makes it clear that any use of U.S. software as U.S. manufacturing materials to produce things for Huawei is prohibited and requires a license.”
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The Commerce Department adds 38 Huawei non-US branches in 21 countries to the Entity List, which sets licensing requirements for transactions.
“It’s really a question of closing loopholes to prevent a bad actor from having access to American technology,” Ross said.
President Trump awaited the latest action from the Commerce Department during an interview with “Fox & Friends” on Monday morning.
“Huawei? I call them Spy-Wei. They’re a disaster,” Trump said. “We will not share intelligence with any country that uses its equipment.”
U.S. officials and lawmakers are opposed to the Shenzhen-based tech company because of its ties to the Chinese Communist Party, saying it poses a threat to national security. And the Department of Justice has accused Huawei of plotting the intellectual property of American companies and racketeering conspiracy, plus bank fraud.
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Huawei denies that it sends sensitive information collected on its devices and networks back to the Chinese government via backdoor access exclusively intended for law enforcement.
FOX Business’ inquiry into Huawei was not immediately returned.
FOX Business’ Audrey Conklin contributed to this report.