U.S. federal agencies prohibited from carrying out business with Huawei, among other Chinese tech firms

Gadgets, News

On Wednesday, the Trump administration declared a ban on U.S. federal organizations from purchasing equipment and facilities from China-based firms, for instance, Huawei Technologies. They stated how the reasons behind this ban were increased security concerns.

The White House Office of Management and Budget stated how they are barring the federal procurement of telecom gears, video surveillance products and various other goods from Chinese companies due to concern over how these firms could reveal U.S. trade confidentialities, among other information, to the government of China.

In addition to Huawei, the rules also prohibit contracts to Chinese firms ZTE, Hangzhou Hikvision Digital Technology Company (a camera making firm), Hytera Communications Corporation (a radio systems provider) and Dahua Technology Company (a video surveillance equipment provider).

The rule which is set to be in effect from next Tuesday is a weighty step takes by the U.S. government in its persistent effort to cut down on potentially threatening Chinese technological equipment.

The rules implement a ban contained in the defense authorization act approved by Congress earlier this year, and the announcement for the implementation has been made a year before Congress’ given deadline of August 2020.

A representative of the Office of Management and Budget, Jacob Wood, stated on Wednesday in a statement how the White House OMB is very committed to protecting the country against foreign threats. He added how the office intends to wholly stand with congress on the implementation of the ban on Chinese firms, including Huawei.

The rule that bars Huawei from acquiring government contracts from the U.S. shall be in effect from the 13th of August while a final rule is concluded.

Huawei has, time and time again, denied the fact that it is controlled by the government of China. It was filed a lawsuit over these limitations against the U.S. government.