From: Center on National Security at Fordham Law School
Amid flaring trade tensions between the world’s two largest economies, the Trump administration zeroed in last week on two of China’s top technology companies. On Monday, regulators in Washington restricted U.S. companies from selling equipment to ZTE Corp. for seven years, saying the Shenzen-based telecom giant ran afoul of a sanctions violations settlement deal last year.
Then on Tuesday the Trump administration pushed forward with a plan that would prevent federally-subsidized telecom carriers from using suppliers that pose a national security risk. Analysts say the decision was directed at Huawei, another of China’s leading tech makers. However, Huawei has largely been locked out of the U.S. market since it and ZTE were the subject of a 2012 congressional report that warned U.S. operators against doing business with them. (WSJ, NYT, Reuters, Bloomberg)