Last week, Huawei has been banned in the US, and later on, Google and other tech companies also loosen their ties with the Chinese telecom giant. Today, a new report claims that Huawei has been given temporary relief from this ban to serve its existing customers in the region.
According to Reuters, The US Government has temporarily eased trade restrictions imposed last week on Huawei, to minimize disruption for its existing customers.
“The US Commerce Department will allow Huawei to purchase American goods in order to maintain its existing networks and provide software update solution to existing Huawei handsets.”
It was recently reported that the US is considering to roll back some of its ban from Huawei, that nearly made impossible for the Chinese telecom giant to serve its existing customers.
Although, Huawei is still prohibited from buying America-made parts and components to produce new products without license approval in the US that will surely be denied.
In contrast, the US government said it posted these restrictions because of Huawei’s involvement in activities contrary to national security or foreign policy interest.
The timeline of this temporary license will end on August 19, and Huawei’s supply chain will immediately receive changes according to new sanctions.
“The goal seems to be to prevent internet, computer and cell phone systems from crashing,” said Washington lawyer Kevin Wolf, a former Commerce Department official. “This is not a capitulation. This is housekeeping.”
At last, the US Commerce Department said it will discuss whether to extend this trial period beyond 90 days.
Well, for now, it’s better than nothing for Huawei and the company has already said it was already prepared and expecting this action from the US.
Last Wednesday, Donald Trump officially signed a trade blacklist, adding restrictions that’ll make the company very difficult to do business with American firms, which labeled as an action against national security threats.
The US believes that telecom equipment made by Huawei Technologies could be used to spy on the country and is under control by the Chinese state government. On the other hand, Huawei has always denied these allegations and said their equipment has no such threats.