Source:
https://scmp.com/news/china/article/3010759/us-may-scale-back-restrictions-chinas-huawei-after-putting-it-trade
China

US may scale back restrictions on China’s Huawei after putting it on trade blacklist

  • US Commerce Department may issue temporary licence to give companies and people with Huawei equipment time to maintain reliability of networks
  • The possible general licence would not apply to new transactions and would last for 90 days
The Huawei logo on display near the company’s research and development centre in Dongguan in December. Photo: AP

The US Commerce Department may soon scale back restrictions on Huawei Technologies after a recent blacklisting made it nearly impossible for the Chinese company to purchase goods made in the United States, a department spokesperson said on Friday.

The Commerce Department may issue a temporary general licence to allow time for companies and people who have Huawei equipment to maintain reliability of their communications networks and equipment, the spokesperson said.

The possible general licence would not apply to new transactions, according to the spokeswoman, and would last for 90 days.

A spokesman for Huawei did not immediately respond to a request for comment.

The Commerce Department on Thursday added Huawei to a list of entities that are banned from doing business with US companies without licences.

The “Entity List” identifies companies believed to be involved in activities contrary to the national security or foreign policy interests of the United States.

Potential beneficiaries of the temporary licence could include internet access and mobile phone service providers in thinly populated places such as Wyoming and eastern Oregon that purchased network equipment from Huawei in recent years.