they set the law for companies that want to do business in and with the USA, anything else would just lead to ridiculous shell games where corporations could break laws with impunity by farming it out to "completely independent foreign companies".

Its fine if Huawei doesn't want to follow US law, but they shouldn't expect to do business with Americans or American companies either.

The allegations have not been proven in court yet, but US is already disrupting Huawei's business and US companies are cancelling the contracts. That's not how law works.

These aren't American companies. America's actual position is something more like this:

"If you do business in any way with any Americans at any point, regardless of who you are or where you're based, then you will be thrown in jail the moment we can get your hands on you, if you do business with anyone on this list, or with anyone who does not implement our rules either"

See how companies like ARM are being forced to stop doing business with Huawei despite not being American companies. It's massive overreach.