BIS Temporary General License Allows Some Huawei Transactions Without License

The Commerce Department Bureau of Industry and Security is issuing a general license temporarily allowing certain transactions with Huawei and 68 of its affiliates without new licensing requirements set by their recent addition (see 1905160081) to the entity list. The general license authorizes exports, re-exports and in-country transfers under pre-listing conditions if they are related to continued operation of existing networks and equipment; support for existing Huawei handsets; cybersecurity research and vulnerability disclosure; or engagement necessary for the development of 5G standards by a recognized standards body. The general license is set for Federal Register publication Wednesday and remains in effect until Aug. 19. "The Temporary General License grants operators time to make other arrangements and the Department space to determine the appropriate long term measures for Americans and foreign telecommunications providers that currently rely on Huawei equipment for critical services,” said Secretary of Commerce Wilbur Ross Monday. “This license will allow operations to continue for existing Huawei mobile phone users and rural broadband networks.” The steps the U.S. government is taking are “long overdue,” blogged Roslyn Layton, visiting scholar at the American Enterprise Institute, on Tuesday. “The actions follow two decades of intelligence gathering and experience documenting the risk of the products and services of firms associated with the Chinese government and military, repeated trade violations, and cyberattacks, including the one on the Office of Personnel Management.”