US companies are temporarily allowed to trade with Huawei again

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American companies are temporarily allowed to resume trading with the Chinese manufacturer Huawei. This has been announced by the US government. The move is aimed at limiting the effects of the trade ban.

For example, Huawei can still supply network equipment it would already supply to small carriers in the US, while it can work with Google on Android upgrades for its existing smartphones. The responsible ministry emphasizes to Reuters that it is a temporary measure. “This is not a capitulation, this is keeping the household running.”

Huawei will remain on the Entity List, the blacklist of companies that are not allowed to trade with American companies, but the Chinese manufacturer will receive a General Temporary License to do so for three months, the ministry says.

The blacklisting of Huawei has major consequences. For example, Google withdrew Huawei’s Android license, which means that future smartphones may not have Google services on board. In addition, chip designers such as Intel, Qualcomm and Broadcomm can no longer supply chips for Huawei’s smartphones, laptops and network equipment. As a result, Huawei can no longer produce it without looking for alternatives.

The US government has blacklisted Huawei for suspected spying through network devices. Earlier, another Chinese manufacturer of smartphones and networking equipment, ZTE, was added to that list. That was because of non-compliance with sanctions. That took several months.

Huawei P30 and P30 Pro, with Google services

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