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US publishes Huawei export blacklist order

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The US Commerce Department on Thursday formally placed Huawei Technologies and 68 affiliates in more than two dozen countries on its so-called "Entity List" - a move that bans the telecommunications company from buying parts and components from American firms without US government approval.

[WASHINGTON] The US Commerce Department on Thursday formally placed Huawei Technologies and 68 affiliates in more than two dozen countries on its so-called "Entity List" - a move that bans the telecommunications company from buying parts and components from American firms without US government approval.

The order takes effect immediately, a Commerce Department spokesman said, and includes non-US Huawei affiliates in Canada, Japan, Brazil, the United Kingdom and Singapore, among others.

The US government will review requests for approvals for transactions under a "policy of presumption of denial".

Earlier on Thursday, China had slammed the US government's decision to blacklist Huawei, and said it will take steps to protect its companies, in a further test of ties as the economic heavyweights clash over trade.

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The order says US government representatives determined Huawei has been involved in activities contrary to the national security or foreign policy interests of the United States.

As an example, the order cited a criminal case pending against the company in federal court in Brooklyn, New York, over allegations Huawei violated US sanctions against Iran. Huawei has pleaded not guilty in the case.

Members of Congress and administration officials said the move will make it difficult for Huawei to sell many products because of key US suppliers.

Washington lawyer Douglas Jacobson, a trade expert, said there will be collateral impact on the US companies that sell to Huawei.

"While the intent is to punish Huawei, ultimately US companies are also being penalised," Mr Jacobson said.

Given the order, he said, the likelihood that Commerce will grant licenses to allow sales is negligible.

REUTERS