Chinese corporation Huawei Technologies has not been removed from the US Department of Commerce’s “blacklist,” despite President Donald Trump’s statement.
Huawei did not escape from the US restrictions
After the meeting with Chinese President Xi Jinping at the G20 Conference, US President Donald Trump suddenly announced to allow US companies to continue selling to Huawei. However, that did not mean Huawei has completely escaped from the US restrictions.
According to the South China Morning Post, the US Department of Commerce had recently made a confirmation. Huawei can only deal with US companies after the order had been confirmed. In addition, it also had been granted a special license from the US government.
All orders with Huawei “will be under the strictest level of inspection to ensure national security,” the agency said. The US Department of Commerce will not remove Huawei from the blacklist.
In an email to Reuters, the agency affirmed that the confirmation and the certification followed the standard of “default is refused.” This means that the review will be difficult.
What will happen to Huawei?
It was days after Mr. Trump made a statement at the G20 Conference. However, both Huawei and many US companies stayed wondering what the new policy for Chinese companies would be like.
“It seems that no one has decided what the policy will be in the future, so we can all consider that there is nothing change” said Douglas Jacobson, international trade lawyer, told SCMP.
Jacobson said he still advises customers not to apply for a special license. Because it only takes time and cost for the process to wait for the confirmation.
White House trade policy adviser, Peter Navarro said the US government would allow exportation of “less technology” chips. This will not affect national security.
“If Mr. Trump agrees to reverse Huawei sanctions, he has made a disastrous mistake. We will have to restore them through the law, ” said Marco Rubio, Republican Senator.
As for the American companies, their statement on Huawei was still uncertain. Google did not comment on this information. Meanwhile, a Microsoft spokesman said the company gave a preliminary assessment of the Commerce Department’s decision to the Chinese giant. Furthermore, they will “continue to provide software updates for devices suffered from Huawei.”
Many other organizations, including the trade and industry association behind the semiconductor industry in the United States, continued to support easing restrictions on Chinese companies.