The United Stated has warned Indian companies against supplying equipment or products of American origin to Huawei. The US administration in a letter to India’s External Affairs Ministry said that any engagement with Huawei or its units could face punitive action.
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Huawei, a leader in cutting edge 5G mobile technology, has been accused of stealing trade secrets, fraud and violating US sanctions against Iran. In a swift move, the Trump administration, citing national security concerns, banned government agencies from purchasing Huawei equipment. It also barred American companies from selling components to Huawei, but the decision has been put on hold until August 19.
Meanwhile, the Chinese tech-giant has filed a lawsuit against the US government and is making efforts to block Washington’s efforts to contain the company. Huawei’s Chief Legal Officer Song Liuping during a news conference said politicans in the US are using strength of an entire nation to come after a private company. He said this is ‘not normal’, almost never seen in history. “The US government has provided no evidence to show that Huawei is a ‘security threat’.”
The US’s latest warning to India comes at time when the Indian government is holding internal top-level discussions to make a final decision on Huawei’s participation in the upcoming 5G trials. Experts say a ban on Huawei would open doors for Ericsson and Nokia. However, there are speculations that these two companies would source equipment from China.
The Economic Times said the MEA is talking to the Department of Telecom (DoT), Niti Aayog, Ministry of Electronics and Information Technology, Department of Commerce and the principal scientific adviser on the implications of US’s take on Huawei on Indian companies.