US firms will be granted temporary licences to continue doing business with Huawei
US president Donald Trump has granted a 90-day amnesty period which will allow US companies to continue doing business with Chinese tech giant, Huawei. The move is intended to limit the impact of the ban on existing Huawei smartphone users, as well as provide potential leverage for the US in its protracted trade war with China.
The US department of commerce will grant temporary licences for US companies to continue to supply products and services to Huawei for the next three months.
“The temporary general licence grants operators time to make other arrangements and the [commerce] department space to determine the appropriate long-term measures for Americans and foreign telecommunications providers that currently rely on Huawei equipment for critical services,” US commerce secretary, Wilbur Ross, said in a statement to the press.
However, in a recent interview with the press, Huawei’s founder Ren Zhengfei said that US politicians had overhyped the impact of the ban, underestimating his company’s capabilities in the process.
"We can make the same chips like the US counterparts. However, that doesn’t mean we will not buy U.S. chips. We do need to learn from U.S. technology in terms of width and depth. But in the 5G area, Huawei is at the forefront," he said.
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