The White House Office of Management and Budget has asked Congress for more time to phase in a ban on federal contracts with companies that do business with Huawei.
Huawei has repeatedly denied it is
controlled by the Chinese government, military or intelligence services.
It has filed a lawsuit against the U.S. government over the
restrictions in the defense policy bill, Reuters reported.
The National Defense Authorization
Act (NDAA), placed a broad ban on the use of federal money to purchase
products from Huawei, citing national security concerns. It included a
ban on direct federal purchases of Huawei equipment, which will take
effect this year.
But now, the White House says the
government needed two more years to work out rules for another part of
the law, which requires third-party suppliers and contractors to
restrict their purchases and use of Huawei equipment. “This is about
ensuring that companies who do business with the U.S. government or
receive federal grants and loans have time to extricate themselves from
doing business with Huawei and other Chinese tech companies listed in
the NDAA,” Jacob Wood, a spokesman for the White House OMB, said in a
statement. Continue Reading