U.S. Department of Commerce offers 90 days trade extension to Huawei
Category: #headlines  By Deeksha Pant  Date: 2019-08-21
  • share
  • Twitter
  • Facebook
  • LinkedIn
U.S. Department of Commerce offers 90 days trade extension to Huawei

The extension would enable Huawei to maintain existing telecommunications networks and provide software updates to its handsets.

U.S. Commerce Secretary Wilbur Ross has recently announced that the government has decided to extend a reprieve offered to Chinese telecom giant Huawei Technologies which permits it to purchase supplies from U.S. firms so that it can offer services to its current customers, even as nearly 50 of its units are added to the U.S. economic blacklist.

According to sources, the ‘temporary general license’, which is about to expire in August, will be extended for 90 days for Huawei. Moreover, around 46 Huawei affiliates will be added to the Entity List, raising the total number of company entities that are affected by these restrictions to over 100.

Commenting on the move, Ross said that the extension was mainly targeted towards supporting U.S. customers, many of whom who operate networks in rural America. He claims that the department is basically giving them more time to wean themselves off.

Reportedly, after blacklisting Huawei, the Commerce Department initially permitted the Chinese firm to purchase some U.S. goods to minimize disruption for its customers. As for the recent extension, the agreement would further Huawei’s ability to sustain its existing telecommunications networks and offer software updates to its handsets.

For the uninitiated, the U.S. government recently blacklisted Huawei, alleging it for being involved in activities contrary to national security or foreign policy interests. The blacklisting order also included a pending federal criminal case concerning Huawei violating U.S. sanctions against Iran. Moreover, the indictment accused Huawei of obstructive and deceptive actions.

Currently, Huawei is still prohibited from buying American parts and components to manufacture new products without additional special licenses. Owing to this restriction many Huawei suppliers have requested special licenses to sell supplies to the firm.

According to Ross, recently the department has received over 50 applications, and is expected to receive more in the coming days. However, he claims that no specific licenses have been granted.

Source Credit: https://www.cnbc.com/2019/08/19/us-grants-huawei-another-90-days-to-buy-from-american-suppliers-ross.html

  • share
  • Twitter
  • Facebook
  • LinkedIn

About Author

Deeksha Pant

Deeksha Pant    

Endowed with a master’s degree in finance and management, Deeksha Pant brings forth a qualitative approach in her writings. Deeksha presently pens down news articles for groundalerts.com and other websites, harnessing her passion toward working for digital media, PR...

Read More >>

More News By Deeksha Pant

Uber to implement new safety features to revive its U.K. license
Uber to implement new safety features to revive its U.K. license
By Deeksha Pant

Uber had received only a 2-month operating license in September for London   The company touts close to 45,000 licensed drivers in the city Ride-hailing leader Uber has reportedly launched new safety features for its U.K. business, as it s...

BFM partners with Triton Digital to enhance streaming audio content
BFM partners with Triton Digital to enhance streaming audio content
By Deeksha Pant

With the penetration of the internet, the demand for podcast have surged significantly across the globe. This growing trend has encouraged companies to partner with potential podcast service providers to enhance their business reach.  Triton Di...

Balderton launches $400 million fund for European tech startups
Balderton launches $400 million fund for European tech startups
By Deeksha Pant

Tech sector in Europe is seen as lagging behind when compared to its Chinese and U.S. counterparts   Interest from American investors in private tech sector of Europe encouraged Balderton to launch a new fund Balderton, a venture capital f...