Executive Order To Ban Chinese Equipment In U.S. Telecommunication

Another setback for China, President Trump has signed a new executive order declaring a national emergency and barring U.S. companies from using telecommunications equipment made by firms posing a national security risk, banning any companies to do business with China’s Huawei Technology Co.

Using the International Emergency Economic Powers Act, it gave the president the authority to regulate the commerce in response to a national emergency that threatens the United States. A new plan should be in place within 150 days on how to directs the commerce Department working with other government agencies.

Some of the congress members stated the order was a direct aimed at Chinese company like Huawei that U.S. intelligence officials say could be used by the Chinese state to spy.

“China’s main export is espionage, and the distinction between the Chinese Communist Party and Chinese ‘private sector’ businesses like Huawei is imaginary,” Republican Senator Ben Sasse said.

Senator Ted Cruz said the order would help protect 5G networks from Huawei.

The order, which has been under review for more than a year, is aimed at protecting the supply chain from “foreign adversaries to the nation’s information and communications technology and services supply chain,” said Commerce Secretary Wilbur Ross.

“Under President Trump’s leadership, Americans will be able to trust that our data and infrastructure are secure,” he said.

Washington believes the equipment made by Huawei might be used by the Chinese State to spy, Huawei has vigorously denied the allegations.

The United States has been actively pushing other countries to ban Huawei’s equipment for the next 5G networks. Last August, Trump signed a bill that barred the U.S. government itself from using equipment from Huawei and another Chinese provider, ZTE Corp.

Federal Communications Commission (FCC) Chairman Ajit Pai, who has called Huawei a threat to U.S. security, said Wednesday that “given the threats presented by certain foreign companies’ equipment and services, this is a significant step toward securing America’s networks.”

In January, U.S. prosecutors charged two Huawei units in Washington state, saying they conspired to steal T-Mobile US Inc trade secrets, and also charged Huawei and its chief financial officer with bank and wire fraud on allegations that the company violated sanctions against Iran.

The issue has gained traction as U.S. wireless carriers’ rollout 5G network