US Blocks Chinese Tech Firms, Institute From Buying American Parts - Commerce Dept.

US Blocks Chinese Tech Firms, Institute From Buying American Parts - Commerce Dept.

The United States said it will add several Chinese technology companies and a government-owned institute to its national security Entity List that blocks them from buying American parts and components without prior government approval, the US Commerce Department said in a notice published on Friday

WASHINGTON (Pakistan Point News / Sputnik - 22nd June, 2019) The United States said it will add several Chinese technology companies and a government-owned institute to its national security Entity List that blocks them from buying American parts and components without prior government approval, the US Commerce Department said in a notice published on Friday.

"In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding five entities to the Entity List. These five entities have been determined by the US Government to be acting contrary to the national security or foreign policy interests of the United States," the notice, which is dated June 18, said.

According to the notice, the department's End-User Review Committee (ERC) determined that the activities of the five entities raise sufficient concern to impose a license requirement for all items subject to US export regulations.

The five entities that will be added to the entity list include Chengdu Haiguang Integrated Circuit, including two aliases; Chengdu Haiguang Microelectronics Technology, including two aliases; Higon, including five aliases; Sugon, including nine aliases; and Wuxi Jiangnan Institute of Computing Technology, including tow aliases.

The new rule will take effect on Monday, June 24, the notice said.

In May, the Commerce Department blacklisted Chinese tech giant Huawei and around 70 of its affiliates, banning them from buying equipment from US partners without a government go-ahead.

Huawei has repeatedly rejected US intelligence agencies' accusations that it allegedly installs "backdoor" access in its devices at the behest of the Chinese government in order to help Beijing spy on users.