{"id":120467,"date":"2019-05-29T09:11:00","date_gmt":"2019-05-29T09:11:00","guid":{"rendered":"https:\/\/www.bnreport.com\/trump-signs-order-setting-stage-to-ban-huawei-from-us-2\/"},"modified":"2019-05-29T09:11:00","modified_gmt":"2019-05-29T09:11:00","slug":"trump-signs-order-setting-stage-to-ban-huawei-from-us-2","status":"publish","type":"post","link":"https:\/\/www.bnreport.com\/en\/trump-signs-order-setting-stage-to-ban-huawei-from-us-2\/","title":{"rendered":"Trump signs order setting stage to ban Huawei from US"},"content":{"rendered":"

WASHINGTON \u2014 President Donald Trump on Wednesday signed an executive order<\/a> laying the groundwork to block Chinese telecommunications companies like Huawei from selling equipment in the U.S., a move aimed at neutralizing Beijings ability to compromise next-generation wireless networks and U.S. computer systems.<\/p>\n

The order prohibits the purchase or use of any communications technology produced by entities controlled by \u201ca foreign adversary\u201d and likely to create an \u201cundue risk of sabotage\u201d of U.S. communications systems or \u201ccatastrophic effects\u201d to U.S. infrastructure.<\/p>\n

The Commerce Department has 150 days to produce rules that can identify \u201cparticular countries or persons\u201d as foreign adversaries. Those rules are almost certain to name China, Huawei, or both.<\/p>\n

\u201cForeign adversaries are increasingly creating and exploiting vulnerabilities in information and communications technology and services,\u201d Trump said in his executive order, \u201cin order to commit malicious cyber-enabled actions, including economic and industrial espionage against the United States and its people.\u201d<\/p>\n

The order is sure to raise Beijings ire at a time when the worlds two largest economies are struggling to resolve a market-shaking trade war. The directive also comes as the Justice Department seeks the extradition from Canada of a Huawei executive charged<\/a> with violating sanctions on Iran.<\/p>\n

Trumps long-awaited executive order invokes the International Emergency Economic Powers Act and declares a national emergency to empower the government to block the purchase of technology linked to foreign adversaries.<\/p>\n

The order declares that \u201cthe unrestricted acquisition or use\u201d of such technology \u201caugments the ability of foreign adversaries to create and exploit vulnerabilities\u201d in U.S. infrastructure \u201cand thereby constitutes an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States.\u201d<\/p>\n

Commerce on Wednesday took a separate but related action that would effectively prohibit U.S. companies from doing business with Huawei by adding it to the so-called \u201centity list.\u201d The administration took a similar action against ZTE, another Chinese telecom firm, for apparent violations of U.S. sanctions on Iran, but Trump reversed the decision and slapped the company with a huge fine instead.<\/p>\n

As POLITICO reported<\/a> in February, the White House initially planned for Trump to sign the order that month before a major wireless industry conference in Barcelona. The move would have buttressed the Trump administrations argument<\/a> that U.S. allies should not let Chinese firms build and operate the 5G networks that will soon power cellphones and the growing ecosystem of internet-connected devices.<\/p>\n

The order was delayed, however, after Trump indicated<\/a> his displeasure with it and after he extended the deadline for trade negotiations with Beijing. Administration officials did not want the order to disrupt the trade talks, sources said.<\/p>\n

But the apparent breakdown<\/a> of those talks this week opened the door for the executive order, according to a former Trump transition official who requested anonymity to speak candidly.<\/p>\n

\u201cThe Administration has no qualms about poking the Chinese this week compared to the weeks and months prior,\u201d this person said.<\/p>\n

While the order comes amid warnings about Huawei enabling Chinese spying through 5G networks, it is written in a neutral way that is meant to give Commerce flexibility to name any adversaries it identifies \u2014 and to insulate the U.S. from Chinese criticisms.<\/p>\n

\u201cThe executive order is company and country-agnostic,\u201d a senior administration official told reporters during a briefing.<\/p>\n

Huawei did not immediately respond to a request for comment.<\/p>\n

In addition to the Commerce-led process of identifying foreign adversaries and promulgating rules to block purchases, the order requires the Office of the Director of National Intelligence to assess threats from dangerous technology and produce an initial report on them within 40 days. It also requires DHS to produce annual reports on communications technology that presents security vulnerabilities, with the first report coming within 80 days.<\/p>\n

White House press secretary Sarah Sanders said in a statement that the order was part of Trumps commitment to combating \u201cforeign adversaries who are actively and increasingly creating and exploiting vulnerabilities in information and communications technology infrastructure and services in the United States.\u201d<\/p>\n

Trumps allies in Congress cheered the order and urged Commerce to blacklist Chinese firms.<\/p>\n

\u201cChinese components remain a Trojan horse for telecommunications infrastructure around the globe,\u201d Sen. Tom Cotton<\/a> (R-Ark.) said in a statement, \u201cand the Department of Commerce should deny their adoption entirely.\u201d<\/p>\n

The order authorizing a telecom ban is the latest salvo in a broad campaign to combat what U.S. officials call Chinas unfair and disruptive practices. While Trumps trade war has dominated the headlines, his administration has been pursuing a parallel campaign to disrupt Chinese cyber espionage, which since the early 2000s has led to staggering amounts of intellectual property theft and the most devastating counterintelligence breach in U.S. history, the hacking<\/a> of more than 20 million peoples highly sensitive background documents from the Office of Personnel Management.<\/p>\n

Most of the governments law enforcement actions have focused on trade-secrets theft. In December, the Justice Department brought indictments<\/a> against two Chinese hackers on charges of running a decadelong economic espionage campaign. Chinese operatives allegedly stole hundreds of gigabytes of data from U.S. businesses and government agencies during that campaign.<\/p>\n

But Wednesdays executive order, which languished<\/a> for months after passing an interagency review, responds to a different concern.<\/p>\n

The directive is part of a government-wide effort to grapple with the threats that foreign governments pose to the U.S. \u201csupply chain,\u201d the massive, convoluted and often opaque web of firms that produce goods and services for American companies and government agencies.<\/p>\n

As globalization transformed how and where companies made their products, it created new security risks as governments struggled to identify the sources of components used in sensitive technology. And the increasing awareness of these vulnerabilities has opened new fronts in how the government approaches cybersecurity.<\/p>\n

In the wake of embarrassing data breaches, government agencies have focused on simple solutions like multi-factor authentication \u2014 which requires a temporary code in addition to a standard password to access an account \u2014 and diligent patching of software flaws. But experts say that until the government can fully map out who is producing its hardware and software, there remains a more pernicious risk of stealthy technological tampering by advanced adversaries like China and Russia.<\/p>\n

As a result, securing the U.S. supply chain has become a top priority for the federal government in recent years. Complementary activities are underway at the Pentagon<\/a>, the Department of Homeland Security<\/a>, the Federal Energy Regulatory Commission<\/a>, the telecom agency NTIA<\/a> and the technical standards agency NIST<\/a>. And a law signed in December created a multi-agency council<\/a> to consider proposals to ban risky technology from government networks.<\/p>\n

New procurement<\/a> rules<\/a> will apply tighter cybersecurity standards to contractors in an effort to close vulnerabilities in that part of the governments acquisition process. Regulators are working on a rule<\/a> to ban Huawei and ZTE products from government networks; a similar rule targeting the Russian cybersecurity firm Kaspersky Lab took effect<\/a> in July. And a House panel is considering<\/a> Read More \u2013 Source<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

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