Under what law, can the U.S. forbid other countries and companies from selling products to Huawei?


Under what jurisdiction or law, is the U.S. permitted to do a blanket ban on a Chinese product without going through some kind of legal process with a legal body? In my knowledge, the U.S. jurisdiction should have no power on what TSMC should be able to sell to Huawei, and yet the U.S. is somehow exercising power over TSMC it seems. How does that work?

1 Answer 1


The original order was recently extended: that order relied on the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of title 3, U.S Code. The order does not specifically mention Huawei, but the inclusion of Huawei is a result of determinations by the

Secretary of Commerce (Secretary), in consultation with the Secretary of the Treasury, the Secretary of State, the Secretary of Defense, the Attorney General, the Secretary of Homeland Security, the United States Trade Representative, the Director of National Intelligence, the Administrator of General Services, the Chairman of the Federal Communications Commission, and, as appropriate, the heads of other executive departments and agencies

This is analogous to orders to not trade with Iran. If business X has absolutely no connection to the US, then an order for X to not do business with some other entity is effectively unenforceable. However, TSMC does do business in the US, for example is is listed on the NYSE, and it does business with many US companies. Jurisdiction exists when a government claims jurisdiction. Enforcement exists where a government can force its will on others, the US can’t enforce its will on China or Huawei but it can on companies operating or based in the US.

  • As well as using its economic muscle to force compliance on non-US companies, the US has trade agreements with other countries that in some cases mean one government is obliged to recognise and enforce restrictions imposed by another. Jan 4, 2023 at 22:24

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .