The United States on Wednesday has blacklisted Chinese telecom giant Huawei along with 70 affiliates citing threats to national security.
"Huawei is engaged in activities that are contrary to US national security," the US Commerce Department has been quoted as saying by Sputnik as the department placed the Chinese company on a trade blacklist.
The latest measure come amidst an escalating trade spat between the US and China.
Washington recently imposed fresh tariff hikes on Chinese imports amounting to USD 200 billion, alleging that Beijing had backed out of the trade deal as it neared fruition. In response, China announced its intent to increase tariffs on US goods entering the country starting from June 1.
US President Donald Trump had on Wednesday declared a national emergency by signing an executive order which bars American companies from using telecommunications equipment manufactured by foreign companies believed to pose a "national security risk."
The move also gains significance as Huawei has been on a spotlight over Uncle Sam's assertions for nearly a year. Authorities in Canada, last year, arrested Chinese telecom giant Huawei's Chief Financial officer, Meng Wanzhou, in Vancouver. It has been reported that Wanzhou could be extradited to the US, where she faces charges over suspected violations of the US sanctions against Iran.