Explainer | US export rule that hammered China’s Huawei teed up to hit Russia if Putin invades Ukraine
- Biden administration weighing its response as Russia masses troops on border with Ukraine
- Foreign Direct Product Rule could be used to curb Russia’s access to global electronics supplies
While it is unclear how the rule could impact Russia, the restrictions hobbled Huawei’s smartphone business. Last month, the company said it expected 2021 revenue to have declined nearly 30 per cent and predicted continued challenges this year.
What is the restriction?
The Foreign Direct Product Rule, as it is called, may be adapted to halt Russia’s ability to import smartphones, key aircraft and automobile components, Reuters reported last month.
The Biden administration is considering restricting chips and products with integrated circuits bound for Russia, a senior official said, imposing its authority over items made abroad if they are designed with US software or technology, or produced using US equipment.
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What exports to Russia could be impacted?
