Huawei Tries To Reverse The Sanctions Imposed By Donald Trump

Billions of dollars in US transistor and technology sales to Huawei depend on how the new Joe Biden government enforces the restrictions.

Tech companies are seeking a change on measures taken by the government of former President Donald Trump regarding sales to the Chinese group Huawei.

These companies hope that Joe Biden will reverse the restrictions imposed in the previous US administration.

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What are these restrictions? The main one was applied in 2019 when then-President Trump issued a ban on the use of telecommunications equipment from companies like Huawei.

Then the measure was revised in May 2020 and extended until May of this year.

But the possibility of lifting the restriction seems remote, according to five sources consulted by Reuters.

Business executives do not believe that Biden will moderate the position of the United States. “Everyone is discouraged,” said one of them.

Business on hold

Billions of dollars in US chip and technology sales to Huawei depend on how the new government enforces export restrictions.

Some companies, whose license applications were rejected, asked the Commerce Department for more than the usual 20 days to appeal the denial. The department has granted 90-day extensions to some of these companies.

Since Trump blacklisted Huawei “for national security reasons,” the United States has approved a series of USD 87 billion worth of sales requests to Huawei.

And it has denied others that represent USD 11,000 million.

The Biden White House has described Huawei as an “unreliable supplier” and a threat to national security.

“I don’t think you will see a change in policy on Huawei,” said James Lewis of the CSIS security think tank.

“I think (the Biden administration) is primarily saying: We are going to do the same, but trying to do it in a more business-friendly way,” he added.

The Biden administration is reviewing its strategy with regard to China. Sources say it is too early to tell which path the president will take with regard to Huawei.



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