A man trip past a Huawei P20 smartphone advertisement is reflected in a glass door in front of a Huawei logo, at a shopping mall in Shanghai, China December 6, 2018.
Aly Long explanation | Reuters
Chip stocks have been struggling of late as trade tensions between China and the U.S. increase. The Trump charge’s latest move on that front could add pressure to the chipmakers.
President Donald Trump declared on Wednesday a governmental emergency over threats to American technology, which was followed by the Commerce Department adding China’s Huawei Technologies to its Subdivision of Industry and Security (BIS) Entity List. This move makes it harder for U.S. companies to do business with the Chinese telecom behemoth.
The move could hurt semiconductor companies like