Friday, 26 June 2020 09:04

US claims Huawei owned or controlled by Chinese military: report Featured

US claims Huawei owned or controlled by Chinese military: report Image by David Mark from Pixabay

The US Government claims that a number of top Chinese companies, including telecommunications equipment maker Huawei and video surveillance firm Hikvision, are owned or controlled by the Chinese military, Reuters reports.

This would provide the groundwork for Washington to hit these firms with fresh sanctions, the British news agency said, adding the list of 20 companies had been prepared by the Department of Defence.

The document also lists China Mobile Communications Group, China Telecommunications Corporation and Aviation Industry Corporation of China.

The DoD compiled the list under a 1999 law that mandated the creation of a list of Chinese military companies which had operations in the US, including those which are owned or controlled by the People's Liberation Army and provide commercial services, or are involved in manufacture, produce or export.

The Reuters report said the presence of a company on this list did would not mean any fresh penalties, but the president could impose sanctions including blocking all property.

As the 3 November US presidential poll approaches, Donald Trump is trailing in the polls and appears desperate to adopt any tactic that will boost his ratings. This may account for this further hyping of the alleged threat from China.

In May last year, the US placed Huawei and Hikvision on its Entity Black List which meant the two firms could not buy any product with more than 25% American content unless the seller obtained a licence.

Last month, the Department of Commerce said it would be raising the stakes by changing the Foreign Direct Product Rule in order to try and block Huawei's purchase of advanced semiconductors which it uses in its smartphones and 5G base stations.

The DoD list also includes China Railway Construction Corporation and China Aerospace Science and Industry Corporation, as well as CRRC, the world’s largest maker of passenger trains, which has clinched contracts in Boston, Philadelphia, Chicago and Los Angeles.

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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