The rule only includes chips designed by Huawei and does not cover shipments if they are sent directly to Huawei's customers.
Trump declared a national emergency and barred US companies from using telecommunications equipment made by firms posing a national security risk.
If the bill were passed and Huawei designated, the company would be shunned by US banks in certain dealings with customers worldwide, since most dollar payments clear through US financial institutions.
Huawei is beings investigated in the US for allegedly misleading global banks about its business in Iran.
The loss of access to Google’s Android system may hurt the sales of Huawei, benefitting Samsung.
China believes that US has fabricated lies to mislead Americans, and now they are inciting ideological opposition.
Huawei devices to face cut off from Android OS updates is the reason behind this reluctance.
Though Microsoft has delisted all Huawei products, it has remained silent on the potential Windows ban.