US government considers ban on independent Honor
Honor has not belonged to Huawei for a while. The manufacturer has made this choice in order to do business with American companies again. However, that idea is now in jeopardy. According to sources, the US government also wants to impose sanctions on Honor, even though it no longer belongs to Huawei.
Sanctions for Honor?
It may just be that the former Huawei brand Honor will be blacklisted by the US government. Pentagon and Department of Energy staffers want the new Honor to be placed on the Entity List as well. This is a list of companies that are not allowed to trade with companies based in the United States, unless an exception is made. The Ministry of Foreign Affairs and Commerce are against this move.
According to proponents of a ban, there are similar concerns about technology exports. These applied to Huawei, and should apply to Honor as well, as it is a state-backed company. The counterparty reports that Honor does not make components or nuclear materials, and that the devices are not sold in the United States. It would do more damage to the US economy than China’s.
It is not yet known whether Honor will indeed be placed on the list. In any case, it doesn’t look like the fuss about Huawei Honor and the US government is coming to an end any time soon.
