According to the Financial Times, U.S. technology companies have rejected the Trump administration's announced request to stop purchasing products from certain Chinese companies because they fear such a policy could violate competition laws.
According to people familiar with the matter, the US State Department requires telecommunications operators and chip makers to sign a series of agreements that include not buying products from companies deemed to be in breach of sanctions or from companies whose domestic intelligence agencies have access to their data. "These are obviously aimed at Huawei."
It is understood that the agreement was led by Secretary of State Keith Krach, responsible for economic growth, energy and environmental affairs, and is designed to support the department's so-called Global Digital Trust.
The Trump administration has been taking steps to keep Huawei out of the U.S. 5G market, including blacklisting Huawei. U.S. suppliers must seek a license if they want to trade with Huawei.
Krach has been trying another way to target international technology companies that are considered a threat to the United States, starting with their partners. In the past few months, he has approached 13 different companies and industry associations, including large telecommunications operators such as AT & T and Verizon, as well as several large chip makers, asking them to sign the agreement.
Krach also organized a dinner on Friday to promote the idea, but the event was postponed because invitees were cautious about the meeting.
An industry executive said: "This is the latest attempt by the Trump administration to keep us out of Huawei. But if we really sign an agreement and treat competitors from around the world in this manner, we are almost certain Will be prosecuted. "
It is reported that after discussions with the US State Department, industry representatives consulted with lawyers. The lawyer said that blocking cooperation and competition with global competitors in the form of corporate alliances is easily subject to antitrust investigations, so they ultimately chose Refused to sign.
The refusal of the US large enterprises and industry associations to sign the latest US government move comes at a time when the US business community is adopting stricter and broader China policies against the US government.
Many companies are also concerned about a separate proposal from the U.S. Department of Commerce that would give the Secretary of Commerce the right to bar companies from dealing with "foreign counterparties" that may pose national security risks.
Business leaders have privately warned that such proposals are too extensive and could potentially slow global technology trade on a large scale. The Ministry of Commerce declined to comment.
The US Department of Commerce's proposal allows major companies to challenge before December 27. But because of the upset caused by senior corporate leaders, a group of 27 industry organizations demanded that the period be extended by two months, citing the "complexity" of the agreement.
However, the U.S. government's recent move to issue licenses to suppliers such as chip makers to sell its equipment to Huawei has given some US tech companies some relief.
According to the licenses that have been issued, the chips used in mobile phones can usually be approved, but the chips used in network equipment cannot pass.
US technology companies no longer buy it! Refusal to sign U.S. government's latest anti-Huawei agreement
Feb
02
62