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Home / Business / Official: US firms can be nodded to start Huawei sales in two to four weeks | Money

Official: US firms can be nodded to start Huawei sales in two to four weeks | Money



  The United States may approve licenses for companies to start new sales to Huawei in as little as two weeks. - Reuters pic
The United States can approve licenses for companies to start new sales to Huawei in as little as two weeks. – Reuters pic

WASHINGTON, July 15 ̵

1; United States may approve business licenses to resell Huawei in as little as two weeks, according to a senior US official, in a sign. President Donald Trump's recent attempt to ease the restrictions on the Chinese company could move forward rapidly

Huawei, the world's largest producer of telecommunications equipment, was added to a trading department list in May which forbids US companies to supply it with new US goods and services less they get licenses that are likely to be denied.

But last year, after meeting with Chinese President Xi Jinping, President Donald Trump said US companies could sell products to Huawei. And in recent days, trade secretary Wilbur Ross said that licenses would be issued where there was no threat to the nation

Trump's reversal and rapid implementation of the Commerce Department suggest that lobbying lobbying, combined with Chinese political pressure, could benefit from US technology sales to Huawei.

Two US chip makers supplying Huawei, Reuters recently told, they would apply for multiple licenses after Ros's comments. They asked to remain anonymous.

A customer management company and a company that simulates cross-sectional radar for Huawei will also add applications in the coming days, according to Craig Ridgley, a commercial consultant in Washington. [19659005] Out of US $ 70 billion (RM288 billion) that Huawei's used purchasing components in 2018, it made around $ 11 billion to US firms, including Qualcomm, Intel and Micron Technology.

"Since there is no disadvantage, companies are sending out applications, as required by the regulations," said Washington lawyer Kevin Wolf, a former trade department official.

A Huawei spokesman said that "Entity list restrictions should be removed completely, rather than temporary licenses applied for US vendors. Huawei has been found guilty of no relevant error and represents no cyber security risk for any country, so the restrictions are untouched. "US companies can currently sell goods to maintain existing networks and provide software updates to existing Huawei phones, but are prohibited from re-selling US-made goods and services.

Moreover, not all US sales to Huawei are hinged on governmental approval of license requests. Some US chipmaker sales to Huawei may not need licenses because their products may be out of the scope of US export controls since many are produced overseas with few US components.

US officials have been trying to clarify the new policy in recent weeks, saying they will allow the sale of non-sensitive technology readily available overseas if national security is protected. But they also stated that Huawei remains on the device list, and relief would be temporary.

The US semiconductor industry has been lobbying for broader relief, claiming that US security targets should be advanced in a way that does not undermine the ability to compete globally and retain technological leadership.

Suppliers will be allowed to provide customer support for chips they build and sell abroad, or approval to send new US equipment to Huawei and its subsidiaries around the world. [19659005] Nevertheless, it is unclear which products should be awarded licenses. Some US vendors sought clarity at a trade department meeting held in Washington this week.

A manufacturer's representative was told by the senior US official that licenses could be given in two to four weeks at the conference Thursday.

The person, who did not want to be identified, said that the official had not delimited the approval approval criteria, but she came away and thought that they would be done in each case, at least first, as the agency has intention to form more broad opinions.

When asked about the guidance of the senior official, a Trade Department spokesman said that the agency "currently considers all licenses and determines what is in the nation's best national security interest."

The United States has pending cases against Huawei for allegedly stealing US intellectual property and violating Iran's sanctions. It has also launched a lobbying to persuade US Allies to keep the Huawei out of the next-generation 5G telecommunications infrastructure, citing its ability to spy on customers. Huawei has denied the allegations.

Eric Hirschhorn, former trade minister, said that the problem for government officials now undergoing the licenses is that they do not know where the administration goes.

"The policy two minutes ago Can't be the politics two minutes from now," says Hirschhorn. – Reuters


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