According to ANI news reports, while putting Huawei on a trade blacklist, the US commerce department said, “Huawei is engaged in activities that are contrary to US national security.
The development comes as the Canadian authorities detained Huawei Chief Financial Officers (CFO), Meng Wanzhou, last year in December in Vancouver.
Furthermost, the latest US measure comes in the midst of the escalating trade war between China and the US.
With a motive to protect US communications network from “foreign adversaries”, President Donald Trump declared a national emergency on Wednesday.
The executive order gives the federal government powers to restrict US companies from doing business transactions with certain foreign tech suppliers “posing an unacceptable risk to the national security”, said White House Press Secretary Sarah Sanders in a statement.
If reports are to be believed, Trump’s order is directed at Chinese telecom major Huawei. The US believes that Huawei’s equipment could be used by China for surveillance.
The world’s third largest smartphone maker, on the contrary, has repeatedly rubbished the allegations.
Last year, Trump signed a bill that barred the US government and its contractors from using components from Huawei and several other Chinese communications companies.