US Announces 90-Day Delay On Huawei Ban

Huawei
(Photo: REUTERS/Tyrone Siu)

Huawei was barred from doing business with the American companies after Donald Trump blacklisted the tech giant for allegations of engaging in activities that could put the U.S. national security at risk. The Chinese company firmly denied the accusations but the president of the United States remained firm with his beliefs and consequently imposed a ban on Huawei last week.

Now, officials from the U.S. government announced on Monday that it will delay the ban on Huawei. It appears that Washington has softened a bit and ordered the postponement of the restrictions on American technology exports to China's leading tech company. The delay has been set for 90 days which means that Huawei has until mid-August to work things out before the order takes effect again.

According to Channel News Asia, Donald Trump's government will not enforce the ban yet to give Huawei and its affiliates some time "to maintain and support existing and currently fully operational networks and equipment, including software updates and patches." It was added that the suspension of the ban order is an indication that the officials saw wider indirect and unintended consequences to many companies not just Huawei.

"It appears the intention is to limit unintended impacts on third parties who use Huawei equipment or systems," Kevin Wolf, a former official at the U.S. commerce department, said in a statement. "It seems they're trying to prevent network blackouts."

Then again, although Huawei's 90-day ban delay is somehow positive news, it was clarified that it does not change the ban order handed down by Donald Trump.

In any case, the temporary lifting of the ban will immediately restore the Chinese tech company's ability to maintain its network and continue purchasing tools and equipment as well as provide software updates to existing Huawei smartphones.

"The Temporary General License grants operators time to make other arrangements and the Department space to determine the appropriate long term measures for Americans and foreign telecommunications providers that currently rely on Huawei equipment for critical services," Wilbur Ross, U.S. Secretary of Commerce, said via press release.

"In short, this license will allow operations to continue for existing Huawei mobile phone users and rural broadband networks."

Meanwhile, China called the ban on Huawei as "bullying and blackmail" and stated that it will retaliate as the U.S. continues with its moves against the said Shenzhen-based firm. Chinese officials said that Beijing will not just watch and do nothing as the U.S. threatens the company's legal rights, South China Morning Post reported.

"This is the wrong behavior so there will be a necessary response," Zhang Ming, China's envoy to the EU, said. "Chinese companies' legitimate rights and interests are being undermined, so the Chinese government will not sit idly by."

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