Tech shudders as US weighs new limits on Huawei

Bloomberg

The US government is weighing new limits on sales of chips and other vital components to China’s Huawei Technologies Co, sparking another furious round of lobbying by technology firms.
Industry associations representing US chipmakers, software companies and manufacturers have written to Secretary of Commerce Wilbur Ross in recent weeks arguing against the changes, according to copies obtained by Bloomberg News. They urge US administration to at least hear them out before introducing tougher rules to close what US officials consider loopholes letting American companies keep working with Huawei.
In May, the US announced an export ban against Huawei, saying it’s a national security threat. The Chinese company’s placement on the so-called entity list means it is cut off from US components, and American companies are required to get licenses to resume business with the firm. Huawei has denied it helps the Chinese government gain illicit access to information and that its equipment is insecure.
Some US companies have continued selling to Huawei even after the blacklisting, citing rules that limit the government’s ability to restrict exports. De minimis provisions exempt certain products if companies can prove the majority of work done to create the items happens outside the US.