Huawei gets another 90-day reprieve from the U.S. trade ban

Huawei gets another 90-day reprieve from the U.S. trade ban

The Trump administration is extending a reprieve for Huawei Technologies and U.S. companies working with the telecom giant by 90 days, the U.S. Department of Commerce announced on Monday.

U.S. President Donald Trump and Chinese President Xi Jinping are expected to discuss Huawei in a call this weekend, one of the sources said.

The Commerce Department is also adding 46 Huawei affiliates to the list of 69 already affected by sanctions.

However, the ban was later delayed by 90 days during which the company was allowed to buy components made by the United States companies in a bid to maintain existing networks and also for delivering software updates for existing Huawei devices.

The US, which has long claimed Huawei poses a national security risk, blacklisted the company in May. So we're giving them a little more time to wean themselves off. Ross said the next deadline will be around November 19.

The decision follows a meeting between President Trump and Tim Cook, Apple's chief executive, at the U.S. president's golf club in New Jersey.

President Trump told reporters he doesn't want to do business with Huawei "at all".

Trump directed the Commerce Department in May to place Huawei on its "Entity List", known to some as the "death penalty".

The headlines and details concerning the Trump administration's blacklisting of Huawei have come in fast and furious over the past week. For Huawei, this will very likely provide the company with a comfortable timeline in which to stock up on components necessary for its 2020 production schedule.

USA stocks climbed Monday after the Trump administration signaled progress on trade negotiations and Ross announced the extension. The extension will last 90 days, and is a repeat of the previous 90-day extension, granted back in May. But trade talks with Beijing ground to a halt and China refused to resume purchases of American agricultural products. "I don't want to do business at all, because it is a national security threat".

The Commerce Department said on Monday it is now requiring the exporter, re-exporter, or transferor to obtain a certification statement from any Huawei entity prior to using the temporary general license.

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