Government Authorizes US Companies to Return to Trade with ZTE

The government authorized local companies to re-establish trade relations with ZTE, after the Commerce Department banned the sale of components to the Chinese telecommunications giant in April, official sources said today. an agreement reached last May between the government authorities and the Chinese company which envisaged a series of mechanisms to certify that ZTE does not violate a previous agreement concluded in 2017.

"Although we have lifted the ban, the department will remain vigilant while controlling the actions of ZTE to ensure that the company complies with US laws and regulations, "said Secretary of Commerce Will Ross in a statement released Friday.

The secretary lists three key elements for the future of the company's operations on US soil: the deposit of a $ 400 million dollar guarantee, the withdrawal of his statement of rejection charges and acceptance of the presence in the company of a "selected" team by Washington.

USA. He issued sanctions against ZTE last year and extended them in April, banning domestic companies from selling components to the Chinese giant for seven years, arguing that the company had illegally maintained trade relations with Korea. North and Iran. 19659002] Last June, the company reached an agreement to withdraw these measures in exchange for a fine of $ 1 billion and to reshape its board of directors.

These measures had in principle been accepted by ZTE last year, although Washington has accused the Chinese firm of not fulfilling its commitments, which has forced this new dispute between the two parties in recent months.