White House Acting Budget Chief Seeks to Delay Implementation of Huawei Restrictions - Report

Earlier, Beijing reportedly warned the US-based tech giants, as well as major tech companies from other countries about dire consequences if they attempt to pull their production from China amid US crackdown on Huawei.

Meanwhile, Acting White House Budget Director Russell Vought is seeking to delay the implementation of imposed restrictions against the Chinese-based tech giant Huawei, The Wall Street Journal reported Sunday.

According to a media report, the acting director of the Office of Management and Budget has made the request in a letter to Vice President Mike Pence and members of the US Congress.

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Vought has also reportedly asked for a delay in the implementation of the National Defence Authorization Act, signed by US President Donald Trump last year and which envisages provisions that target Huawei.

The provisions will reportedly result in a “dramatic reduction” of the number companies able to supply the government, according to Vought.

“While the Administration recognizes the importance of these prohibitions to national security [...] A number of agencies have heard significant concerns from a wide range of potentially impacted stakeholders who would be affected”, the letter said, cited by The Wall Street Journal.

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The US Department of Commerce blacklisted Huawei Technologies and around 70 of its affiliates in May, banning them from buying equipment from US partners without a government go-ahead.

US companies now must seek permission to trade with the Chinese telecommunications. As a result, Google had to suspend business operations with Huawei, including the transfer of all hardware, software and technical services, except those publicly available via open source licensing.

Several countries have also accused Huawei of being sponsored by the Chinese state and spying on its behalf through its devices. Last year, Australia, Japan, New Zealand also banned the company from participating in government contracts due to security concerns.

The White House has been lobbying its European allies against granting Huawei access to its networks, claiming the Chinese government wields significant control over the company, despite its denials.

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

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