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There maybe a new push to cut Chinese telecoms gear out of the US in the New Year. According to sources, President Donald Trump is considering an executive order to declare a national emergency, and bar US companies from using equipment made by Huawei and ZTE. It would be the latest step by the administration against the two Chinese giants, which the US alleges have been working for the Chinese government, that their equipment could be used to spy on Americans.
The executive order has been under consideration for more than eight months and could now be issued as early as January. It would direct the Commerce Department to block US companies from buying equipment from foreign telecom makers that post significant national security risks. The order won't likely name Huawei or ZTE, as source tells Reuters, but it's expected that officials would interpret it as authorization to limit the spread of equipment made by the two companies.
It would invoke the International Emergency Economic Powers Act, a law that gives the President the authority to regulate commerce in response to a national emergency that threatens the United States. Huawei and ZTE did not respond to request for comment, but both companies have denied spying allegations in the past.
In early May, the Wall Street Journal first reported that the order was under consideration, but it was never issued.