Donald Trump declares national emergency over threats against American telecom

Donald Trump to issue order effectively blocking Huawei from US

Huawei is not controlled by China, executive says

The pair of actions risk aggravating Beijing as the president seeks to pressure China's leaders into agreeing to a wide-ranging trade deal with the U.S. Trump has threatened to impose tariffs on nearly all imports from China after last week hiking duties on some $200 billion in Chinese products.

Trump previously resisted signing the order, partly because he did not want to jeopardise a potential trade deal with China.

However, analysts suggest it is mainly directed at Chinese telecommunications giant Huawei.

Roger Entner, founder of telecom research firm Recon Analytics, tweeted: "Banning Huawei in the USA has the FCC in a conundrum: Low cost Huawei equipment helps to build out broadband in rural America faster". That would likely include the parameters under which a company can be deemed to pose a national security risk. US justice and intelligence officials say Chinese economic espionage and trade secret theft is rampant.

The U.S. started a soft ban on Huawei equipment around December 2017, when a group of U.S. lawmakers sent a letter warning about Huawei's role in Chinese "espionage". Commerce, in conjunction with national security agencies, is expected to determine who's considered an adversary as part of regulations to be written in the next 150 days.

The executive order gives Commerce Secretary Wilbur Ross, after consulting with other officials, the ability to block transactions involving communications or information technology that "poses an unacceptable risk to the national security of the United States". He has not met any government officials, according to The Guardian.

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This escalated a damaging trade war which only recently seemed to be nearing a conclusion. The comments are not only aimed at the US but also at the Britain decides how wide a berth it will allow Huawei in the country.

Meng remains under house arrest in Vancouver while the legal proceedings unfold. In August, Trump signed a bill that barred the US government from using equipment from Huawei and China's ZTE Corp.

The new order, if enacted, won't change much for big wireless carriers, which aren't using Huawei equipment, Reuters says.

Washington believes equipment made by Huawei could be used by the Chinese state to spy - an allegation the Chinese company has repeatedly denied.

The person familiar with the order said it would not mention any countries or companies by name.

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