United States congressman claims China is strong-arming India into using Huawei 5G

US congressman claims China is strong-arming India into using Huawei 5G

China threatens India with 'reverse sanctions' over Huawei 5G trials

The United States unveiled rules on Wednesday formally banning technology giant Huawei and other Chinese firms from government contracts in the latest move in the countries' escalating trade war.

People look at products at the Huawei stall at the International Consumer Electronics Expo in Beijing, China August 2, 2019. Of course, parts of the ban were lifted subsequently, but uncertainty looms large over the company's future trade relations with the world.

The Chinese company said it would continue to challenge the ban in court and called it a "trade barrier based on country-of-origin, invoking punitive action without any evidence of wrongdoing". Huawei has repeatedly said those fears are unfounded.

The ban was included in the National Defense Authorization Act (NDAA) passed past year, and restricted the use of federal money to purchase telecommunications equipment and services and video surveillance equipment from "covered" telecommunications companies, citing national security concerns. Hikvision "has made efforts to ensure the security of our products adhere to what is mandated by the USA government", the spokesman said.

YourStory has reached out to Huawei Global for a comment on the matter. The fifth company, Dahua (002236.SZ), could not immediately be reached for comment. It also brought up the allegations against Huawei of trying to "position themselves and their establishment back home to snoop and enable them to shut remotely, if required be".

According to The Wall Street Journal, the Office of Management and Budget is set to issue an interim rule this week that will lay out the steps to ensure that government agencies aren't buying products from Huawei and several other Chinese companies. It will allow agencies some ability to grant waivers through August 13, 2021, for contractors where security is not at issue. It would bar any executive agency, government contractor or company that receives a government loan from using Huawei equipment.

It adds the latest move is in accordance to the National Defense Authorization Act that was passed a year ago, . which restricts the use of federal budget to buy telecommunications equipment and video surveillance equipment from five Chinese firms, . due to concerns over national security.

"The Administration has a strong commitment to defending our nation from foreign adversaries, and will fully comply with Congress on the implementation of the prohibition of Chinese telecom and video surveillance equipment, including Huawei equipment", OMB spokesman Jacob Wood told the Journal.

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