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Trump Administration halts shipments from Intel and others

According to reporting by Reuters, sources in the US have revealed that the Trump administration has notified Huawei suppliers, including Intel, that it’s revoking certain licenses to sell to the Chinese company.

The administration also intends to reject dozens of other applications to supply technology to the telecommunications firm.

With the Trump administration in its last few days this is likely to be the last action it will take against Huawei, which it has described as a national security threat.

According to the Semiconductor Industry Association, the US Commerce Department had issued “intents to deny a significant number of license requests for exports to Huawei and a revocation of at least one previously issued license,” spanning a broad range of products.

While there is an extended period of appeal for the companies involved, the licenses affected could be worth many billions. It is alleged that $280 billion of license applications for goods and technology for Huawei still have not been processed and are likely to be denied.

The Trump administration has been targeting products with 5G capabilities, and denials have been issued to the majority of the 150 applications in dispute.

The decision highlights the influence of those wanting to push ‘hard-line’ China polices but it will be interesting to see whether the incoming Biden administration will ‘row’ back on them, or pursue an equally tough policy with China.

Author
Neil Tyler

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