US Will Extend Respite For China's Huawei To Cooperate With US Companies - Reports

US Will Extend Respite for China's Huawei to Cooperate With US Companies - Reports

The administration of US President Donald Trump intends to extend the permission to US companies to cooperate with Chinese tech giant Huawei, the New York Times reported citing sources familiar with the matter

MOSCOW (UrduPoint News / Sputnik - 16th November, 2019) The administration of US President Donald Trump intends to extend the permission to US companies to cooperate with Chinese tech giant Huawei, the New York Times reported citing sources familiar with the matter.

In May, the US government blacklisted Huawei and restricted the company's access to the purchase of US hardware and technologies over its close ties to the Chinese government. Huawei is banned from doing business with US companies without the appropriate licenses, so Google announced the termination of business cooperation with Huawei. Subsequently, the United States granted Huawei respites, allowing them to purchase US-made products to maintain networks and software updates for existing phones. Most recent 90-day respite was granted on August 19.

According the publication's sources familiar with the discussions in the administration, the authorities intend to extend the license for cooperation.

The term of such an extension has not yet been specified.

For many months, Huawei has been in limbo, while US authorities were pondering over how to deal with the Chinese company. According to the newspaper, although the Huawei case is formally not part of US-China trade negotiations, Trump plans to use the situation with Huawei as an element of pressure on Beijing.

The US and several other countries have accused Huawei of being sponsored by the Chinese government and spying on its behalf through its devices. Last year, Australia, Japan, New Zealand and the US banned the company from participating in government contracts over security concerns. Huawei has refuted the accusations, claiming that they are unfounded, politically motivated and violate the principles of market competition.

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