Huawei is suing the United States government in a federal court in a bid to overturn part of a provision in the National Defense Authorization Act, which was signed by president Donald Trump in August.
The Act specifically forbids government agencies from using technology from Huawei and its Chinese rival, ZTE. Huawei alleges that a portion of the law violates the US constitution by singling out an individual or group for punishment without trial.
Huawei filed the lawsuit in Texas, where the company's American headquarters are located.
"This ban not only is unlawful but also restricts Huawei from engaging in fair competition, ultimately harming US consumers," said Guo Ping the deputy chairman of Huawei at a news conference at the company's headquarters in the Chinese city of Shenzhen.
"The US Congress has repeatedly failed to produce any evidence to support its restrictions on Huawei products. We are compelled to take this legal action as a proper and last resort."
US prosecutors have previously filed criminal charges against Huawei in Washington state and New York.
The ongoing spat between US and Huawei has intensified in the battle for dominance of the 5G market.
Huawei’s chief financial officer Meng Wanzhou, the daughter of former general and Huawei founder Ren Zhengfei, was detained in Canada at the behest of the US for allegedly defrauding multiple financial institutions in breach of US-imposed bans on dealing with Iran. China, in turn, arrested Canadian diplomats and citizens.
The FBI, CIA and NSA have also warned consumers to avoid buying phones built by Huawei, while Australia and New Zealand have banned wireless carriers from using Huawei’s equipment for new 5G networks. Japan has also banned its government agencies from buying equipment from either Huawei or ZTE.
In Europe, the Czech Republic’s national cybersecurity agency has urged against using software and hardware from Huawei and ZTE, the University of Oxford is suspending all new research grants and donations from Huawei, and Britain’s BT Group is making plans to remove Huawei’s equipment from its core 4G network within two years.