US extends ZTE sanctions reprieve to February 2017
ZTE won a further three month reprieve on US export restrictions imposed by the country’s commerce department in March, over allegations of trade breaches.
The US hit China’s ZTE with trade restrictions earlier in the year after the company allegedly breached exports rules to Iran, but was granted temporary relief from the controls up until November.
In a statement, ZTE said it had been granted an extension of its Temporary General Licence from the US commerce department for another 90 days, up to 27 February 2017, as it reiterated its commitment to work with the US government.
“We are working toward resolving the investigation, which include both removal from the Entity List as well as conclusion of the investigation,” it said.
The reprieve until February comes after ZTE said last week it had appointed Matthew Bell as its new chief export compliance officer, based in the US.
If the ban is eventually imposed, US firms will not be able to do business with ZTE, cutting off a huge chunk of the Chinese firms’ supply chain.