Ericsson of Sweden and Nokia of Finland are currently the only companies besides Huawei that provide complete 5G wireless networks.
Smartphones including Huawei's will also need to have Bluetooth Low Energy to run Google-Apple's upcoming contact tracing tool.
The move comes as ties between Washington and Beijing grow more strained, with both sides trading barbs over who is to blame for the spread of the coronavirus.
The document was drafted to address the concerns of party rebels who see Huawei as a threat to national security.
Last week, UK announced it was giving Huawei a role in its new generation of telecoms infrastructure.
Samsung bags the first position with a 20 percent share whereas Apple is in the third position with a 13 percent share.
Huawei mainly competes with two Scandinavian rivals, Finland's Nokia and Sweden's Ericsson, for wireless infrastructure contracts
Former Orange official insists that strict security conditions would not create delays in the rollout of 5G tech on the continent.
Merkel's right-left government is under pressure from the United States to bar Huawei.
The US is trying to persuade Britain not to use Huawei's equipment over what Washington says are security risks.
US Secretary of State Mike Pompeo had been expected to press British Foreign Secretary Dominic Raab over Huawei.
The UK is slated to decide whether to upgrade its telecoms network with Huawei equipment.
Huawei official says the firm was unlikely to grow as rapidly as it did in the first half of this year.
Huawei participation in India's 5G trials a step in the right direction; could speed up commercial 5G rollout
In the absence of hard evidence, it would be foolish to rely on the whims and fancies of the Trump government when making policy decisions for India.
India’s nod to Huawei comes at a time when the global rollout of 5G technology has been complicated by US sanctions against the company.
US says gear provided by Huawei contains 'back doors' that would enable China to spy on other countries.
Zhengfei said that Huawei is working on a "large scale" solution to tackle the ban it faced in the US.
The Commerce Department confirmed it had begun issuing licenses for some companies to sell goods to Huawei.
Apple is not known to have made any investments in 5G telecoms infrastructure to date and is yet to release a 5G device.
A few Huawei suppliers have started getting US approval to revive their sales with the blacklisted firm
The Trump administration put Huawei on a trade blacklist, citing national security concerns in May after trade talks broke down.