The US is ramping up its pressure on Chinese firms, with plans to ban any government contractor from using equipment from five companies.
Huawei, Hikvision, Hytera Communications Corp, ZTE and Dahua are the five companies that are expected targets of the new regulations. As Reuters points out, the five companies cross a variety of tech sectors. Huawei and ZTE are well-known smartphone and wireless equipment makers. Hikvision and Dahua are top camera and surveillance equipment vendors, and Hytera Communications Corp makes two-way radios.
If this regulation should pass, it will have far-reaching impacts on the tech industry and government contractors. Each contractor will have to prove they are not using any equipment, goods or services from any of the blacklisted companies, not to mention the cost incurred in replacing any equipment they were using.
This is just the latest escalation in the battle between the US and Chinese companies, which officials accuse of being a national security risk. This move will likely have an impact on US/China relations, and could well lead to retaliation on the part of Beijing.