- The U.S. said to have lifted part of its trade ban on ZTE.
- This would let the company update and provide support for phones sold before April 15.
- ZTE is thought to be close to complying with the conditions required for the sanctions to be fully lifted.
The U.S Commerce Department has apparently given ZTE authorization to temporarily restart some business activities in the U.S. Bloomberg says that the authorization will last until Aug. 1, by which time ZTE is expected to have met all the demands to have its U.S. sanctions lifted.
During the period, ZTE is allowed to support networks and equipment sold before April 15, according to documents seen by Bloomberg. This would also allow it to provide software updates to its phones.
U.S. companies were banned from selling products to ZTE for seven-years after it violated trade sanctions with Iran. The ban deprived ZTE of crucial smartphone components including Snapdragon processors made by Qualcomm. This led the company to stop major operating activities earlier in the year.
However, in May, President Trump announced that it would lift the ban if ZTE was able to meet certain conditions, namely: paying a $1.3 billion fine, making security guarantees, and changing the management and board.
Bloomberg says ZTE is close to meeting these conditions after sacking its board, appointing a new Chairman, and paying the majority of the fine.
July 4, 2018 at 10:29PM