US tech companies push Trump to allow some sales to Huawei



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US tech industry urges Trump administration to allow Chinese company Huawei to supply spare parts for consumer technology products, saying such sales would not undermine US national security, say people close to the file.

Technology companies ask the administration to authorize the sale of chips and other parts for smartphones and laptops manufactured by Huawei, even if the White House intends to continue its block exports of supplies that Huawei uses to manufacture 5G wireless equipment, according to people who requested anonymity to talk about sensitive topics.

Several major semiconductor companies have recently made such requests to the Commerce Department, asking for special licenses to sell certain products to Huawei, said the people.

Technology companies are also asking the administration to soften the anti-Huawei rules that now prevent them from participating, along with the Chinese company, in global standards bodies, which set technical rules on which rely the global networks, according to one of the regulars of the file. .

Many companies do not know how the Trump administration could be lenient. Some people familiar with the discussions of the administration said that there was a division between officials regarding the opportunity to lift Huawei's ban. Treasury Secretary Steven Mnuchin was in favor of easing and licensing. The White House declined to comment.

Leading lawmakers, including Senators Marco Rubio (R-Fla.) And Mark R. Warner (D-Va.), Warned the president not to let down Huawei.

The Ministry of Commerce added Huawei to a blacklist of trade exchanges in May, saying that he had "reasonable grounds to believe" that the company was "involved in activities contrary to the interests of national security or US foreign policy ".

US officials said Huawei had ties to the Chinese government and its telecommunication equipment could be used to disrupt or spy on US communications. Huawei denies these claims. The Chinese company is the world's largest seller of telecommunications equipment, including ultra-fast 5G wireless networks. It is also a major global smartphone vendor and a major consumer of US chips and software. Huawei said it spent $ 11 billion on US technology last year.

Shortly after blacklisting the company, the White House released a temporary reprieve that allowed some sales to continue for 90 days. This period expires on August 19, after which the complete ban will take effect unless companies receive special licenses.

In late June, as President Trump tried to resume trade talks with China, he said the US would allow some sales to Huawei, but did not provide details.

On July 9, US Secretary of Commerce, Wilbur Ross, announced that the agency would issue licenses "where US national security would not be threatened," claiming that the administration does not did not want US companies to lose their sales unnecessarily. But he added that there would be a "presumption of denial".

US chip makers are hoping the Commerce Department will treat consumer products such as mobile phones and laptops with more leniency than telecom equipment.

If this is the case, companies like Xilinx, which manufacture complex and highly advanced semiconductors used in 5G networks, could still be prevented from selling to Huawei.

"Xilinx has complied with and continues to comply with all governmental and legal requirements applicable to its global operations. We continue to actively monitor the situation of Huawei, which remains dynamic, "spokesman Brian Garabedian said in a statement.

Some US chip makers believe that if their products are manufactured outside the country, they are not affected by the addition of Huawei to the trade blacklist because the products are not of US origin.

Some US export law lawyers disagreed with this interpretation, saying that the value of the chip came not only from the physical manufacture of the product, but also from the design, which occurs mainly in the United States.

Until now, according to officials of the US chip makers, the Commerce Department has not indicated that it would attack companies that continue to sell Huawei products manufactured in the United States. outside the United States by US companies.

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