The US government is imposing new restrictions on Chinese tech giant Huawei by limiting its ability to use American technology to build its semiconductors.
The Commerce Department said Friday the move aims to cut off Huawei’s undermining of existing US sanctions.
The new restriction is separate from an ongoing Trump administration reprieve on US technology sales to Huawei.
The US government blacklisted the Chinese tech company a year ago, deeming it a national security risk, but the limited reprieve allows wireless companies to keep offering service in remote parts of the US.
The Commerce Department said this week that reprieve is being extended for another 90 days.
But numerous loopholes have been exploited, especially as U.S. companies continued to supply Huawei with chips made outside the United States.
The Commerce Department said the new restriction will narrowly and strategically” target Huawei’s acquisition of semiconductors built in overseas foundries but using US software and technology. (AP)