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Eli Lake

The Huawei Ban Is Worth the Pain

The national security issues raised by the company’s technology transcend any trade dispute.

Sign of a new tech cold war?

Sign of a new tech cold war?

Photographer: Krisztian Bocsi/Bloomberg

Make no mistake: The U.S. decision to blacklist Chinese telecom giant Huawei Technologies Co. will cause short-term economic pain. U.S. chipmakers such as Qualcomm Inc. have already announced they won’t be selling to Huawei until further notice. The Chinese government has threatened to retaliate, with a strong chance that it will limit or cut off U.S. exports of rare earth metals — key components used in everything from mobile phones to wind turbines. To quote my Bloomberg Opinion colleague Tim Culpan: The tech cold war has begun.

To which I can only say: It’s about time.