Under the order, which relies on emergency powers, the Commerce Department secretary can block transactions involving technology that poses a risk of sabotage or "catastrophic" effects on American interests. In January 2018, USA carriers shunned Huawei's newly-launched flagship, the Mate 10 Pro.
Analysts believe the order is mainly targeting Chinese telecom giant Huawei.
Huawei did not immediately respond to a request for comment.
Federal Communications Commission (FCC) Chairman Ajit Pai, who has called Huawei a threat to USA security, said Wednesday that "given the threats presented by certain foreign companies' equipment and services, this is a significant step toward securing America's networks".
Huawei: Indian government "open and welcoming" on 5G Despite reports to the contrary, Huawei says it is continuing to work on 5G tests with Indian carriers while the Indian government remains open and welcoming towards its networking solutions.
Beijing has condemned the measure as discriminatory, reacting to the reports in multiple U.S. media outlets that the emergency order was in the works.
Huawei leaders have insisted their company operates independently of the Chinese government and that its products aren't used for spying.More news: Texas explorer completes deepest ocean dive in history
"It signals to US friends and allies how far Washington is willing to go to block Huawei", said Adam Segal, cybersecurity director at the Council on Foreign Relations.
Mr Trump does not name any company specifically in the order.
It cleared the way to ban Huawei from America's 5G networks.
The order's existence in draft form was first reported by The Washington Post last June.
In the past, Huawei has denied that it spies for the Chinese government and earlier this year company chairman Liang Hua said that if asked to spy by the government, he would defy them.
"Having said that, of course, what matters for North Atlantic Treaty Organisation is that these decisions are made in a way that makes sure that they have secure networks", Stoltenberg said. That doesn't include the extra cost of next-generation equipment and upgrades from more expensive Western suppliers. The sweeping indictments accuse the company of using extreme efforts to steal trade secrets from American businesses - including trying to take a piece of a robot from a T-Mobile lab.
In December, Huawei CFO Wanzhou Meng was arrested in Canada on suspicion of violating US sanctions concerning Iran. The US is seeking to extradite her.