U.S. Imposes New 5G Limits on Licenses for Some Huawei Suppliers By Bloomberg

(Bloomberg) — The Biden administration has informed some suppliers to China’s Huawei Technologies Co. of tighter conditions on previously approved export licenses, prohibiting items for use in or with 5G devices, according to people familiar with the move.

The 5G ban is effective as of this week, according to the people, who asked not to be identified to discuss nonpublic communications.

The rules create a more explicit prohibition on the export of components like semiconductors, antennas and batteries for Huawei 5G devices, making the ban more uniform among licensees. Some companies had previously received licenses that allowed them to keep shipping components to Huawei that the Chinese company may have then used in 5G equipment, while other companies were already subject to tighter restrictions.

Companies had complained about confusing rules after President Donald Trump’s administration added Huawei to the Entity List, requiring that U.S. firms obtain government licenses if they want to sell American tech and intellectual property to the Chinese telecommunications-equipment giant. U.S. officials had deemed the company a national-security threat.

The move is also a sign that the Biden administration plans to move forward on the tighter export controls implemented under Trump and more broadly indicates officials are following through on pledges to be tough on China. In an interview with MSNBC this month, Commerce Secretary Gina Raimondo promised to use the Entity List “to its full effect.”

The U.S. Commerce Department’s Bureau of Security and Industry, which oversees the Entity List, said in an emailed statement that it can’t comment on “specific export licensing questions.” The bureau said it “works with its interagency partners to apply consistently the licensing policies set forth in the Export Administration Regulations to protect U.S. national security and foreign policy interests.”

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