Addressing the Threat Posed by WeChat, and Taking Additional Steps To Address the National Emergency With Respect to the Information and Communications Technology and Services Supply Chain
Executive Order 13943, signed by President Donald J. Trump on August 6, 2020, builds on the administration’s broader effort to reduce perceived national security risks from Chinese information and communications technology (ICT) and services. The order specifically targets WeChat, a Tencent-owned messaging, social media, and payments app, arguing that it collects data on users (including Americans) and could allow the Chinese Communist Party to access personal and proprietary information or influence content. Beginning 45 days after the order, it prohibits certain transactions related to WeChat or Tencent Holdings Ltd. (and identified subsidiaries) that are within U.S. jurisdiction. The order authorizes the Secretary of Commerce to identify the prohibited transactions and to implement enforcement measures, while preserving other legal authorities and not creating new rights.
Key Points
- 1Prohibition period and scope: Starting 45 days after August 6, 2020, the order bans any transaction related to WeChat by any person or with respect to any property under U.S. jurisdiction with Tencent Holdings Ltd. or its identified subsidiaries, as designated by the Secretary of Commerce.
- 2Prohibition reach: The ban covers transactions by U.S. persons or within the United States that would violate or evade the prohibitions, and it also prohibits conspiracies to violate the order.
- 3No prior notice for certain actions: For those with constitutional presence in the United States, the order allows measures to take effect without prior notice of identifications to ensure effectiveness, due to the ease of transferring funds or assets.
- 4Definitions: The order defines “person,” “entity,” and “United States person” to clarify who or what is subject to the prohibitions (e.g., U.S. citizens, permanent residents, U.S.-organized entities, or people in the U.S.).
- 5Implementation and enforcement: The Secretary of Commerce is authorized to issue rules and regulations and to use IEEPA powers to implement the order. Agencies are required to cooperate and implement the measures within their authority.
- 6Legal context and limits: The order states it does not impair other legal authorities or guarantee rights; it operates within the framework of existing law and appropriations.