Huawei loses legal challenge of US federal purchase ban

Washington has the right to block US federal agencies from buying products by Huawei on cybersecurity grounds, a judge ruled on Tuesday, dismissing the Chinese telecom giant’s legal challenge to a purchase ban.

Huawei filed the suit last year and claimed Congress had failed to provide evidence to support a law that stopped government agencies from buying its equipment, services, or working with third parties that are Huawei customers.

But the court ruled there was no constitutionally guaranteed right to a contract with the federal government.

The ban was justified in the context of a congressional investigation “into a potential threat against the nation’s cybersecurity,” wrote US District Judge Amos Mazzant.