US to give Huawei another 90 days to buy from US companies – News

The US Department of Commerce should grant Huawei Technologies a stay to allow the Chinese company to buy supplies from US companies to serve existing customers, said two sources close to the situation.

The "temporary general license" will be extended for Huawei by 90 days, the sources said.

The trade initially allowed Huawei to purchase US-made products in May, shortly after blacklisting, in an effort to minimize disruption to its customers, many of whom operate networks in rural America.

An extension will extend a contract that will expire on Aug. 19, strengthening the Chinese company's ability to manage existing telecommunication networks and deliver software updates to Huawei handsets.

The situation around the license, which has become an essential negotiating tool for the United States in their trade negotiations with China, remains fluid and the decision to maintain Huawei's stay could change before Monday's deadline, indicated sources.

US President Donald Trump and Chinese President Xi Jinping are expected to discuss Huawei during a phone call this weekend, said one of the sources.

Huawei had no immediate comment. The Chinese Ministry of Foreign Affairs did not immediately respond to a request for comment sent by fax.

When the Commerce Department prevented Huawei from buying US goods earlier this year, this was seen as a major escalation of the trade war between the two major world economies.

The US government blacklisted Huawei, saying that Chinese society was involved in activities contrary to national security or foreign policy. As an example, the blacklisting order cites an ongoing criminal case against the company in federal court, following allegations that Huawei allegedly violated US sanctions against l & # 39; Iran.

Huawei pleaded not guilty in this case. The order stated that the indictment also accused Huawei of "deceptive and obstructionary acts".

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