(Editor's note: This story has been updated with a statement from an NDIA spokeswoman.)
The Pentagon's limited waiver allowing some contractors to continue using equipment made by Chinese vendors like Huawei and ZTE has been extended for two years, according to a Defense Department spokeswoman.
The temporary waiver, approved by the office of the director of national intelligence in August, was initially set to expire Sept. 30. DOD spokeswoman Jessica Maxwell said the waiver has now been extended until Sept. 30, 2022.
The original waiver could only be used for "low-risk, high-volume items," and Maxwell said the extended waiver has the same scope.
"To our knowledge, DOD has not received and is not seeking any additional waivers for different categories of procurements," she told Inside Defense.
The waiver applies to a new law, mandated by Section 889 of the Fiscal Year 2019 National Defense Authorization Act, that prohibits the government from contracting with companies that use telecommunications and surveillance equipment made by Huawei, ZTE and other Chinese companies because of security concerns. The ban went into effect Aug. 13.
"The waiver received is not for our major weapon systems or any support activity related to them," Maxwell said in August regarding the original waiver. "Instead, it covers items that are considered a low risk to national security such as food, clothing, maintenance services, construction materials that are not electronic, and numerous other items that DNI has identified as low risk."
Despite the limited waiver, industry groups are still asking Congress to call off the ban.
In an Oct. 6 statement, the National Defense Industrial Association said the limited terms of the waiver leaves "most of our members, including many small businesses, to contend with a very problematic interim rule." The group wants to suspend implementation of the rule through the end of FY-21, "allowing for adjustments to the law or for a broader, risk-based strategy making implementation more effective and efficient," according to NDIA spokeswoman Evamarie Socha.
"There could not be a worse time to implement this provision as laid out in the law and in the interim rule, as the economic uncertainty surrounding COVID-19 continues," Socha continued. "NDIA hopes the decision-makers in the executive branch and Congress will continue to seek a workable solution."
In a Sept. 25 letter to the House and Senate Armed Services committees, the Acquisition Reform Working Group -- comprising multiple industry associations -- outlined its concerns with some provisions in the fiscal year 2021 defense authorization bill.
The group specifically asks lawmakers to include a provision suspending implementation of the Chinese vendor ban to give industry more time to "identify covered equipment in systems and replace the items of concern."