US industry rallies against ban on Chinese tech products

Major US business groups are pushing back against a new law that restricts government purchases of Chinese technology equipment.

In a letter sent on April 4 to congressional leadership, the industry groups warned that the law could lead to retaliation and limit federal agencies' access to cutting edge technologies. The letter was signed by the U.S. Chamber of Commerce, TechAmerica, BSA-the Software Alliance, the Information Technology Industry Council, the Software & Information Industry Association and others. The restriction on Chinese products was part of a U.S. funding bill that President Barack Obama signed last week. The law bars select federal agencies from buying information technology (IT) that has been "produced, manufactured or assembled" by a company with ties to the Chinese government unless the FBI or a similar agency first determines the purchase would be in the national interest.