• The US government has stopped accepting licenses.
• For American businesses to sell the majority of their goods.
• Washington has accused Huawei of cooperating with the Chinese Communist Party.

The US government has ceased accepting licenses for American businesses to sell the majority of their goods to the Chinese technology giant Huawei.

It happens as the Biden administration keeps tightening the laws governing US technology exports to China.

Huawei has already been charged by Washington of cooperating with the Chinese Communist Party and posing a threat to US national security.

The claims have been frequently refuted by the firm and the Chinese government.

According to the Financial Times, which broke the story, the US Commerce Department informed some American businesses that it would no longer grant licenses for US technology exports to Huawei.

The action was taken as Washington moved closer to outright banning the sale of US technology to the big Chinese telecom equipment company, according to the newspaper.

“Working closely with our interagency export controls partners at the Departments of Energy, Defense and State, we continually assess our policies and regulations and communicate regularly with external stakeholders,” a US Commerce Department spokesperson told the Media.

“We do not comment on conversations with or deliberations about specific companies,” they added.

While political tensions between Washington and Beijing over Taiwan, where the majority of the world’s computer chips are produced, have escalated, the Biden Administration has continued to impose stricter regulations on Huawei.

In October, US Under Secretary of Commerce for Industry and Security Alan Estevez said “the threat environment is always changing.”

“We are appropriately doing everything in our power to protect our national security and prevent sensitive technologies with military applications from being acquired by the People’s Republic of China’s military, intelligence, and security services,” he added.

For several years the Shenzhen-based Huawei has faced US export restrictions on items for high-speed fifth generation (5G) telecoms equipment and artificial intelligence technology.

In 2019, during the presidency of Donald Trump, US officials added the company to a so-called “entity list.”

It implies that US businesses must acquire a government permit before exporting or transferring some technologies, particularly if there is a chance that the Chinese military would utilise them.

However, during that time, some US businesses, like Intel and Qualcomm, were granted licences to provide Huawei with technology unrelated to 5G.

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