US President Donald Trump’s addition of Huawei Technologies Co and its non-US affiliates to a trade blacklist is likely to force dozens of US companies to stop business dealings with the Chinese tech giant. The ban could also extend to non-US suppliers that use US technology in their products, depending on how those companies are affected by the US Bureau of Industry and Security’s Entity List and other applicable trade laws.
Moreover, as some US allies have either joined the Huawei ban or are delaying the release of new Huawei smartphones, the effect of Washington’s action on the Shenzhen-based telecoms equipment maker and smartphone brand is likely to be far more significant than trade sanctions on Chinese telecom equipment maker ZTE Corp.