No more 90-day reprieves for Huawei's U.S. supply chain warns Trump administration official

No more 90-day reprieves for Huawei's U.S. supply chain warns Trump administration official
Right after the U.S. Commerce Department placed Huawei on the Entity List in May, banning the company from accessing its U.S.-based supply chain, the Trump administration gave the manufacturer a slight reprieve. Just four days after the initial announcement that Huawei was not allowed to buy components or software from firms in the states, the government issued special 90-day licenses that allowed U.S. firms to ship to Huawei parts and software "necessary to maintain and support existing and currently fully operational networks and equipment, including software updates and patches." Also allowed were contracts "necessary to provide service and support, including software updates or patches to existing Huawei handsets."

When the first 90-day period expired last month, the U.S. Commerce Department gave the same suppliers another three months to ship to Huawei. According to the Commerce Department, 130 U.S. firms requested a license to deliver supplies to the Chinese manufacturer during this three-month window. That shouldn't be terribly surprising since Huawei showered its stateside supply chain with $11 billion in business last year. This 90-day window of opportunity will shut in November, and it could very well be closed forever. According to Bloomberg, Rob Strayer, the State Department's deputy assistant secretary for cyber policy said, "Temporary general licenses “don’t often last forever." He pointed out that these licenses are designed "to provide some immediate relief and to prevent immediate disruption to the market."

The U.S. says that it could punish allies that don't ban Huawei from their 5G networks

Furthermore, Strayer stated that the Trump administration is considering punishing allies who allow the use of Huawei networking gear in 5G networks. The U.S. has been warning allies not to use Huawei's equipment and while just a few have heeded the warning, others have not. The assistant secretary threatened that the U.S. could cut-off intelligence-sharing agreements or otherwise punish allies in some way if they allow their 5G networks to contain the company's gear. It should be pointed out that Huawei is the world's largest provider of networking equipment. But the U.S. considers the outfit to be a national security threat because it can be forced, under the laws of communist China, to gather intelligence for the government. This has led many to believe that Huawei's phones and networking equipment (like base stations) contain backdoors that could send information to Beijing. Needless to say, Huawei has denied this repeatedly.

Early next month, the European Union (EU) is expected to release an assessment of the security risks facing 5G networks among EU countries. This could result in the EU requiring member countries to have their 5G networks certified while banning some networking equipment suppliers for not being secure. But this is going to be problematic because some countries in the EU might consider Huawei an important supplier. One country, in particular, Hungary, has ties to China and its Finance Minister earlier this year called the manufacturer "an important strategic partner."

Earlier this month, Huawei unveiled its new flagship Mate 30 line. Unable to use the Google Play services version of Android, the phone is equipped with the AOSP open-source version of Android without the Google Play Store and key apps such as Google Maps, YouTube and Google Search. This will affect international sales of the series although Huawei's consumer group chief Richard Yu has said that once the company is removed from the Entity List, Google Play services can be installed via a software update sent overnight. What isn't clear is what it will take to get Huawei off the list. Yu believes that Huawei is being used as a bargaining chip by the U.S. in order to obtain more favorable terms in any trade agreement between the U.S. and China. But outside of that scenario, things look bleak for the company as the U.S. turns up the rhetoric against the world's second-largest smartphone manufacturer.



1. Charlie2k

Posts: 136; Member since: Jan 11, 2016

Clearly the Mate 30 Pro was better than Apple expected, so they again had to ask the government for help. "We cannot tackle Huawei" Bad for consumers in so many ways. Now you can go buy your 64GB no-5G, still premium priced device.

3. alanrock

Posts: 323; Member since: Oct 04, 2018

dxomark breaker is 750$ in China, imagine that ...

6. mackan84

Posts: 546; Member since: Feb 13, 2014

This helps Samsung more then Apple.

12. Dr.Phil

Posts: 2429; Member since: Feb 14, 2011

I don’t think the Mate 30 Pro has anything that is noteworthy besides the camera. If you look at every other spec, it doesn’t necessarily offer anything over the Samsung Galaxy Note 10+ or the iPhone 11 Pro. But to each their own I guess. As others have pointed out: this helps Samsung more than Apple. Those that want an Android experience wouldn’t want an iOS device and vice versa.

13. dimas

Posts: 3380; Member since: Jul 22, 2014

"Clearly the Mate 30 Pro was better than Apple expected, so they again had to ask the government for help. " I'm sorry, are you delusional or something? If we are talking only about hardware, huawei use cheap materials for their "flagships". Just wait for a few months and the displays are having problems (they get their amoled from boe and lg, not samsung).

14. mootu

Posts: 1527; Member since: Mar 16, 2017

And guess who supplies Apple with their iPad and Macbook screens? Thats right BOE, i guess Apple should stop using "cheap" materials.

4. koioz

Posts: 156; Member since: Nov 29, 2018

The hipocrisy is beyond imaginable.

5. Feanor

Posts: 1379; Member since: Jun 20, 2012

Well, all the teenage fanboys in this side may have their own conspiracy theories as to why USA is so bent on destroying Huawei (primarily involving a juvenile notion that the USA government is trying hard to save Apple against Huawei's amazing innovation), but the fact that the most reactionary, totalitarian regime within the EU, Hungary, comes to Huawei's defence speaks volumes about Chinese practices. No one is an angel here. Let's wait for the EU's verdict in the subject.

10. Ashoaib

Posts: 3297; Member since: Nov 15, 2013

US is well known for spying on other countries. US is afraid of loosing the ability to spy on other countries, because Huawei is least likely to help in spying than any other Western company. Allowing Huawei for 5G means allowing to loose the ability to spy effectively. Of course US will not let it happen easily. In my opinion, this is the reason that US is creating all this Huawei fiasco. US can't just ban Huawei without creating a reason and a justification to do it.

11. slim3bdo

Posts: 186; Member since: Jun 05, 2017

You are 100% spot on It's all about 5g race and who control it , Snowden showed how the us government is keeping tabs on every single American citizen through recoding of every phone call taking place over US network . OnePlus is Chinese company , and according to the US propaganda the Chinese gov. Can ask OnePlus to spy on its customers , yet OnePlus sells it's phone through US carrier to the freaked from spying Americans , how effing hilarious . @feanor : grow a mind of yours and start thinking for your self instead of eating every BS coming through your screens as facts .

8. S4NDY

Posts: 253; Member since: Mar 14, 2016

Huawei already stated made 5G equipment without US parts. Also confidence in the United States is falling. Guess Samsung should move more people to develop Tizen and their own plan B.

15. Huaweiguy

Posts: 1; Member since: Sep 30, 2019

I think this is all hogwash. Apple might have said something but highly doubtful. Trump is just a loony tune who wants to try to get this trade deal so bad he is after Huawei. Security risk? Hell no, if you can put Huawei on the table to work a trade deal then there is no risk. You ain't going to risk national security to make a trade deal. I don't know what some people are talking about but my Huawei phone is awesome and Trump hating them just makes me like them even more. Personally I think China should just put US on their entity list and watch all the major stores and jobs like Walmart for example go in the crapper. Lol that would be just too funny.

16. xfire99

Posts: 1206; Member since: Mar 14, 2012

Funny is all these Huawei is national security risk while trading deals are on table? Or US/Worlds intelligences are useless and let this pass so many years? Its just all FAKE NEWS by Trumpass and his corrupted administration, using this as bargain chips on the loosing trade deals with China.

17. Omos1

Posts: 4; Member since: Sep 30, 2019

Clearly Phonearena has an agenda against Huawei. A bit too quick to post negative news that could do damage to the company's reputation.

18. Ashoaib

Posts: 3297; Member since: Nov 15, 2013

You are absolutely right. This writer, Alan Friedman, is doing propaganda from a long time. It seems like he has some hidden agenda against Huawei.

19. ivan.k

Posts: 29; Member since: Jan 29, 2014

Oh yeah, this news is covered only by other site have written about this...I think you have an agenda against PhoneArena

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