NEWS: Huawei encourages suppliers to move business out of the US
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Chinese telecom giant Huawei is encouraging its suppliers to violate US laws by urging them to move their businesses out of the us to avoid US sanctions, commerce secretary Wilbur Ross told Reuters on Tuesday.
In May, the U.S. government blacklisted Huawei for national security, forcing some suppliers to apply for special licenses to sell equipment to China.
But according to Reuters last week, the U.S. government was frustrated by the limitations of the blacklist because it could not cut off foreign suppliers from supplying China.
In an interview Tuesday, rose said Huawei's push to move its supply chain overseas also caused such frustration.
Rose said Huawei "has been openly advocating that suppliers move production overseas to avoid the fact that we have blacklisted them." "Those who move production out of the country and deliberately avoid sanctions... Violate U.S. law," he added. So Huawei's move is to encourage us suppliers to break the law. "