Such a designation can make it virtually impossible for a company to complete transactions in U.S. dollars.
The plan was allegedly seen as an important option among many policies to sanction the company.
But that plan was ultimately shelved.
Huawei is the world’s second-largest smartphone producer.
The U.S. government has brought criminal charges against the telecoms giant. It’s alleging theft of trade secrets, bank fraud, and violations of U.S. sanctions against Iran. The government has also tried to convince allies to ban Huawei from all 5G networks over concerns that the company would be used by the Chinese Communist Party for spying on those nations.