BIS is amending its longstanding foreign-produced direct product rule and the Entity List to narrowly and strategically target Huawei’s acquisition of semiconductors that are the direct product of certain U.S. software and technology. WASHINGTON – Today, the Bureau of Industry and Security (BIS) of the U.S. Department of Commerce announced that it will be adding Huawei Technologies Co. Ltd. and its affiliates to the Bureau’s Entity List. The The Bureau of Industry and Security (BIS) today announced plans to protect U.S. national security by restricting Huawei’s ability to use U.S. technology and software to design and manufacture its semiconductors abroad. ; Editing by Jonathan Oatis, David Gregorio and Bill Berkrot) Secretary of State Mike Pompeo will meet with Chinese officials in Hawaii this week amid increased tensions between the two countries, according to another person familiar with the matter. The new restrictions build on last year’s addition of Huawei Technologies Co., Ltd. (Huawei) and 114 of its non-U.S. affiliates to the BIS Entity List. 4 to 15 C.F.R. An official website of the United States government They said the Huawei entity listing put the United States at a disadvantage in standards settings, where companies develop specifications to allow equipment from different companies to function together.With U.S. companies uncertain what technology or information they were allowed to share, engineers from some U.S. firms reduced their participation, giving Huawei a stronger voice.The new rule came in response to concerns from U.S. companies and lawmakers, a person briefed on the matter said. "In the telecommunications industry, 5G, or fifth-generation wireless networks are expected to power everything from high-speed video transmissions to self-driving cars.A Huawei spokeswoman, Michelle Zhou, had no immediate comment.Last year, the United States placed Huawei on the Commerce Department's so-called entity list, which restricted sales of U.S. goods and technology to the company, citing national security.Industry and government officials said the rule change should not be viewed as a sign of weakening U.S. resolve against Huawei, the world's largest telecommunications equipment maker.

Exports, re-exports and in-country transfers to Huawei and its listed affiliates will also require a BIS license if the items involved are physically present in the US, are moving in transit through the US or are produced outside the US but contain qualifying amounts of controlled US-origin content. Last year, the United States placed Huawei on the Commerce Department's so-called entity list, which restricted sales of U.S. goods and technology to the company, citing national security. This site is also protected by an SSL (Secure Sockets Layer) certificate that’s been signed by the U.S. government. This site is also protected by an SSL (Secure Sockets Layer) certificate that’s been signed by the U.S. government. About two months after Huawei was placed on the Commerce Department’s Entity List, the Chinese telecom equipment and smartphone giant will be able to … Published on 17 May 2019 Modified on 17 May 2019 By Million Gebreyesus. (Reporting by Karen Freifeld; additional reporting by Humeyra Pamuk in Washington. "We look forward to reviewing the rule once posted and working with the administration on implementation. The new rule expands the jurisdictional scope of the EAR and restricts the non-US supply of semiconductor chips to Huawei Technologies and its affiliates on the Commerce Department Entity List (Supplement No. BIS added Huawei and 68 non-US affiliates from 26 countries to the Entity List, effective May 16, 2019. On Wednesday, May 15, 2019, the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) announced in a press release that it would add Huawei Technologies Co. Ltd. (“Huawei”) and additional Huawei affiliates to BIS’s Entity List. ... By placing O-Film on the Entity List, the commerce department has made it illegal for American companies to sell or license … “President Trump has directed the Commerce Department to be vigilant in its protection of national security activities. Commerce Secretary Wilbur Ross confirmed the action in a statement to Reuters. Legal Updates in International Trade & Supply ChainOn Wednesday, May 15, 2019, the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) announced in a This Entity List designation will generally require a license from BIS in order for anyone, anywhere in the world to export, re-export or make an in-country transfer of US-origin commodities, software or technology to Huawei and sixty-eight specifically identified non-US Huawei affiliate companies located in twenty-six different countries. This action stems from information available to the Department that provides a reasonable basis to conclude that Huawei is engaged in activities that are contrary to U.S. national security or foreign policy interest.

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