Reuters is reporting that Google has suspended transactions with Huawei that require the transfer of hardware and software products except those covered by open source licenses.
Citing an unnamed source, the report said the move deals a blow to the Chinese tech giant as Huawei will immediately lose access to Google's Android operating system.
New Huawei smartphone releases will lose access to popular applications and services, including the Google Play Store, Gmail and YouTube.
This comes as the U.S. Commerce Department officially added Huawei Technologies and its 68 affiliates to a trade blacklist late last week.
Amid continued trade tensions between the world's two largest economies, the top diplomats of Beijing and Washington held a phone conversation on Sunday to discuss possible solutions.
According to Beijing's foreign ministry, Chinese foreign minister Wang Yi told U.S. Secretary of State Mike Pompeo (quote) "not to go too far."
He also stressed that Washington's recent words and actions have harmed the interests of China and its businesses.
While explaining that Beijing is willing to resolve differences through negotiations, Wang added they should be on an equal footing, hinting that it might be difficult to solve the prolonged trade war.
Kim Hyo-sun, Arirang News.