US gov't approves Huawei's applications to buy auto chips

Huawei has been blacklisted in the US for a while now. But now, the US gov't approved the company's application to buy automotive chips from America.

Huawei gets licenses for auto chips from US gov't

Huawei can now buy auto chips

It's worth noting that this approval is solely pertaining to auto chips. Huawei is still banned in terms of buying chips for use in or with 5G devices. The licenses for auto chips are for vehicle components such as video screens and sensors. The approvals came as Huawei leaned towards tech and products that are less restricted by the US government's trade bans.

However, critics like US Republican Senator Tom Cotton called the move unacceptable. He believes that the Biden administration must continue the pressure campaign against Huawei, which he deems to be a Chinese spy company. Senator Marco Rubio stated that the move is another example of the new administration's failure to protect America's economic and national security.

The US Department of Commerce said that the government is continuously applying licensing policies with consistency. It aims to still restrict Huawei's access to commodities, software, or technology for activities that could harm America's national security and foreign policy interests. The department, however, is prohibited from disclosing license approvals and denials.

Huawei declined to comment on the licenses but stated that it is positioning the company as a new component provider for intelligent connected vehicles and help OEMs build better vehicles.

What do you guys think?

Source: Reuters