Last week the US put Huawei on a list of companies that American firms cannot trade with unless they have a license.

Axar.az reports citing BBC.

The ban applies to goods having 25% or more of US-originated materials, according to reports.

The restrictions mark an escalation in US efforts to block Huawei, which it says poses a security risk.

"Panasonic announced in [an] internal notification that it should suspend transactions with Huawei and its 68 affiliates that were banned by the US government," the firm said in a statement.

Last week the Trump administration added Huawei - the world's second largest smartphone maker - to its "entity list" which bans the company from acquiring technology from US firms without government approval.