US revokes certain export permits for China’s Huawei

The United States announced on Tuesday that it had canceled some licenses that allowed firms to transfer commodities, such as processors, to the sanctioned Chinese telecommunications equipment maker Huawei Technologies.

The action follows the launch of Huawei’s first AI-enabled laptop, the MateBook X Pro, equipped with Intel’s recently announced Core Ultra 9 processor, last month.

Republican lawmakers criticized the laptop launch, claiming that Intel had been permitted by the Commerce Department to sell the chip to Huawei.

The revocations follow a multi-year examination of US policy regarding the export of products and technology to Huawei, a prominent Chinese enterprise perceived as a threat to national security.

They might impact American suppliers who have been granted permission to work with Huawei, as well as the company’s rapidly rising income.

The Commerce Department said, “We continuously assess how our controls can best protect our national security and foreign policy interests, taking into consideration a constantly changing threat environment and technological landscape.”

“We can confirm that we have revoked certain licenses for exports to Huawei, but we are not commenting on any specific licenses.”

An Intel representative declined to provide a statement. Huawei’s phone chips are made by Qualcomm, whose representative could not be reached right away for comment.

According to a person with knowledge of the situation, certain businesses received notice on Tuesday that their licenses were canceled with immediate effect.

Regarding the U.S. Commerce Department’s ruling, Huawei refrained from commenting right away.

Fearing that the corporation would spy on Americans, the United States put it on a list of companies subject to trade restrictions in 2019. This was part of a larger effort to hinder China’s capacity to build up its military. Having their names added to the list requires the company’s suppliers to apply for a unique, challenging-to-get license before shipment.

Nevertheless, billion-dollar licenses to sell Huawei products and technology have been granted to suppliers of the company. One such license, which has generated much controversy, was granted by the Trump administration and permits Intel to send central processors to Huawei for use in its laptops starting in 2020. – Reuters

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