Security agencies in the United States are debating whether to place Honor, the former Huawei brand, on an export blacklist, The Washington Put up experiences.
Staff individuals of the Pentagon and Vitality Department want the novel company effect on the entity checklist (a checklist of companies that is banned from trading with US companies except they obtain a special permission), while the Commerce Department and State Department adverse.
Personnel at these agencies was split whether Honor deserves its place on the checklist as a threat to US national security. The head Republican on the House Foreign Affairs Committee has stated that “same concerns about know-how exports” must apply to Honor since it is miles a state-backed company.
Then again, The Washington Put up reminded the brand is now owned by Zhixin Sleek Information Technology – a company formed by two state-backed investors, tied to the Shenzhen municipal authorities.
The opposing facet argues Honor does no longer make nuclear materials or parts, nor its gadgets are sold in the United States, so it makes no sense to ban the brand from trading with US companies, and that would wound extra the US financial system instead of China.
Some specialists say that Honor must discontinue up on the entity checklist simply because it is miles a former unit of a “properly-investigated bad actor”, while others say if there isn’t any longer always a proof that the brand is secretly funneling chips and know-how to Huawei, there’s no justification for any sanctions.
Honor hasn’t commented on the matter at this level.