Chinese technology giant Huawei loss its legal challenge of the constitutionality of a US law that restricts federal agencies from purchasing its products.
A US judge ruled on Wednesday ruled that Washington has the right to ban the said agencies from buying the equipment and availing the services of Huawei and another Chinese tech firm ZTE.
It can be remembered that Huawei filed the lawsuit in 2019 arguing that the US Congress failed to provide concrete evidence to support a law that stopped government offices in doing business with them.
Huawei likewise claimed that the National Defense Authorization Act (NDAA) infringed harmed them by infringing on their constitutional rights.
US District Judge Amos Mazzant pushed back those allegations and said in a statement that the ban was defensible in the context of a congressional inquiry “into a potential threat against the nation’s cybersecurity.”
“The court finds Huawei’s arguments unpersuasive…Contracting with the federal government is a privilege, not a constitutionally guaranteed right — at least not as far as this court is aware,” Mazzant wrote.
In response, Huawei told the media that it will “continue to consider further legal options” after being disappointed with the ruling.
Washington has taken several steps to limit Huawei’s business which it considered to be a national security threat due to the connection of its founder, Ren Zhengfei, to the Chinese government. US officials firmly claim that Huawei could be utilized by Beijing for espionage.
The American court, however, explained that the telecommunications-equipment maker was not barred from its existing line of work as it “can still conduct business with every other company and individual in America as well as the remaining 169 countries and regions it currently does business with throughout the world.”