US continues export reprieve for ZTE, could be permanent
The Commerce Department has issued its third extension of trade reprieves for Chinese manufacturer ZTE, allowing the company to source parts from the US until at least February 27.
ZTE and its parts suppliers initially faced its sanctions after a 2012 investigation into its secret trading practices with Iranian businesses, a no-go for the US. The company has since been cooperating with the government on its extended investigations while it has continued buying components such as Qualcomm’s Snapdragon processors for use in products sold in the US.
One financial analyst believes that ZTE may be able to permanently shake off the restrictions, though there’s uncertainty surrounding that decision with an incoming President Donald Trump potentially escalating the US’s trade pressure toward China.