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International Regulatory Enforcement (PHIRE)
U.S. Department of Commerce Imposes Further Restrictions Directed at Huawei
May 19, 2020
Tom Best, Behnam Dayanim, Scott Flicker , Charles Patrizia , Shaun Wu, Quinn Dang & Talya Hutchison
On May 15, 2020, the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) issued an interim final rule to expand the prohibitions on items that can be provided to Huawei and its Entity List-designated affiliates (collectively, “Huawei”). The long-expected move to amend the foreign direct product rule further restricts the ability of Huawei to use certain U.S. technology and software to design and manufacture its semiconductors, and is the latest in a succession of U.S. regulatory, law enforcement and diplomatic actions that may have the cumulative effect of significantly curtailing Huawei’s ability to operate around the world.