The US Dept of Commerce's Bureau of Industry and Security has added 27 companies to its list of entities prohibited from doing business with the USA on grounds they threaten national security – and one of the firms is associated with HPE’s Chinese joint venture H3C.
A preliminary announcement [PDF] of the bans lists a company named New H3C Semiconductor Technologies Co., Ltd on the grounds of its “support of the military modernization of the People’s Liberation Army.”
The addresses given by Uncle Sam for this semiconductor business matches those listed on the website of New H3C, the Chinese company formed as a joint venture between HPE and Tsinghua Unigroup to build networking products. H3C is still the exclusive provider of HPE servers, storage, and associated technical services in China.
"I can confirm that the company is associated with New H3C. We are looking into the Commerce Department’s action today," an HPE spokesperson told The Register.
We await the results of that investigation with great interest, as even though the US-based giant does not hold a majority position in H3C, the allegation that a firm with American connections has been named as acting against America's interests is eyebrow-raising.
Secretary of Commerce Gina Raimondo characterized another eight newly banned Chinese firms as working to advance Beijing’s “efforts that support military applications, such as counter-stealth and counter-submarine applications, and the ability to break encryption or...
Read Full Story: https://www.theregister.com/2021/11/25/us_chinese_ban/
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