Trump order clears way for barring Huawei from U.S. telecommunications networks


After years of spying allegations and pressure from the US on its allies to avoid using Huawei's telecom equipment, the company has now has offered to sign a no-spy agreement with governments. Furthermore, concerns about Chinese law requiring Huawei to cooperate with China's intelligence agencies were simply hype.

In January, the administration was preparing the action, which could significantly restrict Chinese state-owned telecom companies from operating in the USA over national security concerns, people familiar with the matter said at the time.

So can it please be allowed to put 5G modems everywhere?

And the US has been trying to coax other countries to avoid using Huawei's 5G equipment, with Australia, New Zealand and Japan following suit.

Reuters reported on Tuesday that Trump was expected to take action on the long-awaited proposal this week. Huawei, which has repeatedly denied such allegations, did not immediately comment on the executive order.

The U.S., which is embroiled in an escalating trade war with China, also has sounded warnings about Huawei's efforts to expand into Europe.

The U.S. government is already prohibited from using Huawei's telecommunications equipment.

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However, analysts suggest it is mainly directed at Chinese telecommunications giant Huawei. USA prosecutors have indicted the company on charges of trade-secret theft and had Canada arrest a key executive on sanctions charges.

The FCC in April 2018 voted to advance a proposal to bar the use of a $9 billion government fund to purchase equipment or services from companies that pose a security threat to USA communications networks.

Senator Ted Cruz said the order would help protect 5G networks from Huawei. Soon, the same might be true for US companies.

Federal Communications Commission Chairman Ajit Pai recently said he was waiting for the Commerce Department to express views on how to "define the list of companies" that would be prohibited under the FCC proposal. In January 2018, USA carriers shunned Huawei's newly-launched flagship, the Mate 10 Pro.

Huawei representatives argue that the type of security audits that should be routinely performed on crucial technology from any vendor could mitigate any hypothetical risk their equipment poses.

But it will affect small, rural carriers, some 25 percent of which use either Huawei or ZTE equipment in their networks.