US allows ZTE to temporarily resume limited business activities

The administration of US President Donald Trump has decided to allow Chinese smartphone maker ZTE to resume certain business activities. Meanwhile, the government, the Senate and the House of Representatives are looking for a final verdict.

A document from the US Department of Commerce reveals that until August 1, ZTE will be allowed to resume a number of activities, including operating existing networks and network equipment that were already in use before the date of April 15, 2018. That’s the date the US decided that US companies were no longer allowed to supply components to ZTE. The company is also allowed to make and receive payments again.

It is still unclear what will happen after August 1. It recently emerged that the US Senate, unlike the government, is less optimistic about the deal signed with ZTE, which will allow the company to resume operations. Senators from both sides oppose the deal, partly because it would endanger American security. Trump wants to get rid of a possible law to block the ZTE deal.

Donald Trump’s administration previously ended the existing trade ban. The US banned US companies from supplying components to ZTE because the Chinese company evaded US sanctions by making deliveries to Iran. The trade ban prevented it from exporting or importing goods or services from US companies, such as Qualcomm processors.