U.S. reaches deal to repeal export ban on ZTE; company gets fined and agrees to management shake up
by Alan Friedman / May 25, 2018, 3:45 PM
According to a senior congressional aide, the U.S. reached a deal on Friday that will lift the U.S. export ban that has practically put China's ZTE out of business. The ban prevented the Chinese phone and network equipment manufacturer from sourcing hardware, software and components from the states. ZTE had violated U.S. sanctions by selling goods and services to Iran. The Commerce Department fined the company over $1 billion, and ordered that ZTE employees involved in the Iran sales have their bonuses withheld and a letter of reprimand placed in their files. The agency also ordered a seven year export ban be placed against the manufacturer, although that was stayed as long as ZTE kept its corporate nose clean. When ZTE failed to comply in a timely fashion, the export ban was put into effect.
In exchange for lifting the export ban, ZTE has agreed to a substantial fine, and will shake up its management team. In addition, U.S. compliance officers will be installed inside the company. The ban was originally supposed to run to March 2025.
In 2012, a Congressional Report called ZTE and Huawei threats to National Security and suggested that their products be banned from the U.S. For the first quarter of this year, ZTE was the fourth largest smartphone brand in the U.S. based on sales. The company had 10% of the stateside market during the three month period.
Posts: 366; Member since: Feb 11, 2015
I wonder the hatred on Iran. They have never meddle in anything in the middle or outside. Isreal and Saudi Arabia who are perpetrators of evil are free
posted on May 25, 2018, 5:38 PM 1
Posts: 7385; Member since: Feb 17, 2016
Disregarding your second statement (which is definitely accurate) Iran’s government has secretly backed terrorist organizations for decades now. Not to mention Iran is a direct enemy of the Israeli government. Not saying Iran is as awful as NK (whom ZTE also sold stuff to) just stating facts.
posted on May 25, 2018, 5:42 PM 8
Posts: 6640; Member since: Feb 10, 2012
I would say they're even worse than NK. NK doesn't have terrorist organisations like Hizbullah and the Houthis planted in other countries and having full control on them due to the immense armed force they have.
posted on May 25, 2018, 7:33 PM 1
Posts: 1275; Member since: Aug 31, 2016
Maybe the fact that they keep taking US Navy officers passing close by as prisoners and promising to kill all Americans.
posted on May 25, 2018, 6:56 PM 2
Posts: 6640; Member since: Feb 10, 2012
What? Lol Them and Saudi Arabia are the main reason why the Middle East is a mess, and this coming from a Muslim Sunni man. They planted their terrorist organisations in Lebanon, Syria, Iraq, and Yemen and they have been fighting their inhuman battles in these lands, resulting in hundreds of thousands of dead people. Yeah sure the US started the whole mess, but SA and Iran took advantage of this mess and reignited the thousands years old war between Persians and Arab using their own twisted versions of Islam as an excuse for this war.
posted on May 25, 2018, 7:26 PM 2
Posts: 3240; Member since: Jul 22, 2014
Did you watch argo? It's not 100% accurate but all the sanctions they get today started on that US embassy breach. You should also read Iran's history, they were as capitalist as US and UK until they changed their government.
posted on May 25, 2018, 8:47 PM 0
Posts: 1334; Member since: Mar 16, 2017
All this is just smoke and mirrors. It's all just part of the trade spat between the US and China. The US decided to use ZTE as a pawn in this and China retaliated by threatening to scupper Qualcomm's deal to buy NXP for $44 billion. The US were not expecting the Chinese to threaten the Qualcomm deal hence the repeal on ZTE. China will now sign off on the Qualcomm NXP merger and boom! everyones happy.
posted on May 26, 2018, 12:56 AM 1
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