On Monday, the Commerce Department’s U.S. Bureau of Industry and Security (BIS) announced it would further restrict Huawei’s access to U.S. chips. According to the press release, Huawei was able to circumvent the ban by purchasing American components through third-party companies.
The US Department of Commerce will ban 38 companies all directly affiliated with Huawei in 21 countries, which were used to circumvent the US ban that the Trump administration extended until May 2021, according to the BIS.
As we have restricted [Huawei’s] access to U.S. technology, Huawei and its affiliates have worked through third parties to harness U.S. technology in a way that undermines U.S. national security and foreign policy interests. This multi-pronged action demonstrates our continued commitment to prevent Huawei from doing so. – US Secretary of Commerce Wilbur Ross
Affiliates listed are all branches of Huawei that operate outside of China, including the Design Centers and Huawei Cloud, as well as some of its R&D centers across Europe.
Everything in the press release was intentionally intended to prevent Huawei from doing business with major US tech companies. Lest the “Chinese Communist Party” order Huawei to implement a ploy against US officials or US citizens.
According to APNews Earlier this month, citing an executive at Huawei, the Chinese telecommunications giant is running out of processor chips and will eventually have to cease production of its high-end Kirin processors. Maybe May 2021 will bring better news for Huawei.