Japanese tech company Panasonic has announced it is suspending business with Huawei, in a bid to comply with the U.S. ban on the Chinese firm.
Panasonic's spokesman Joe Flynn told AFP on Thursday, that the company has stopped all business transactions with Huawei and its 68 affiliates that are covered by the U.S. ban.
Panasonic, which manufactures a wide range of devices for smartphones, cars and factory equipment, stopped short of saying exactly which components are subject to the ban.
The previous day, a major British-based chip designer ARM decided to cut all ties with Huawei.
The BBC reported that the company instructed all its staff to follow suit to go in line with the ban.
The latest announcements are expected to deal a significant blow to Huawei, as the Chinese company depends highly on ARM to develop its smartphone processors and on Panasonic for electronic components.
Since last year, the Trump administration had been encouraging a boycott against Huawei, citing concerns over national security.
Washington's allies Australia and New Zealand hopped in, with both countries limiting their transactions with Huawei in their 5G network business.
Meanwhile, South Korea's foreign ministry said on Thursday that Washington had been expressing security concerns regarding Huawei's 5G equipment, adding that Seoul is well aware of Washington's position.
The ministry said that the two sides are negotiating on the matter, but stopped short of mentioning the details of their talks.
Kim Mok-yeon, Arirang News.