US president Donald Trump may sign an executive order early next month, banning US companies from buying products from ZTE and Huawei.
The order which has been in the making for the past eight months, will not mention any specific companies, but will instead direct the Commerce Department to 'block US companies from buying equipment from foreign telecommunications makers that pose significant national security risks'.
Multiple western countries have accused Huawei of collaborating with the Chinese government, willingly or not, allowing it to spy on its adversaries. Huawei has denied these accusations on multiple occasions, asking for proof.
Many countries have already banned Huawei from participating in the development of their national 5G network, and the US has been considering doing the same.
Under the executive order, the International Emergency Economic Powers Act would be invoked, allowing the president to regulate commerce if there is a national security matter.
China's Ministry of Foreign Affairs decided not to comment until the executive order is official.
“It’s best to let facts speak for themselves when it comes to security problems,” the Ministry's Spokeswoman Hua Chunying said.
“Some countries have, without any evidence, and making use of national security, tacitly assumed crimes to politicize, and even obstruct and restrict, normal technology exchange activities,” she added.
“This in reality is undoubtedly shutting oneself off, rather than being the door to openness, progress and fairness.”
So far, all three sides are remaining quiet. Full details can be found in Reuters' exclusive report here.
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