On Wednesday, the Commerce Department said it had begun licensing some U.S. companies to restart partial sales to China, Providing a long-awaited clear message to Huawei’s U.S. supplier partners, Reuters reported. It is not clear which products have been approved for sale to Huawei, the world’s top telecoms equipment supplier.
But Huawei, the world’s second-largest smartphone maker, has been waiting for Google to get permission to offer its latest model. Google declined to comment.
A U.S. official said U.S. companies have filed about 300 permit applications, half of which are already being processed. Of the applications processed, about half (or one-fourth of the total number of applications) have been approved and others rejected.
Another person familiar with the process added that the U.S. government has approved licenses for some of the phone parts and non-electronic parts.
“The Department of Commerce is issuing these narrow-coverage licenses to authorize limited and specific transaction activities that do not pose a significant security risk to U.S. national security and foreign policy interests,” the Commerce Department said in a statement. “
It comes after the Commerce Department on Monday extended Huawei’s temporary generic license for another 90 days in an effort to help mitigate the impact on network operators in rural Areas of the United States.
Republican Senator Marco Rubio said in a statement that Huawei “poses an increasingly visible threat to the economic and national security of the United States and its allies.” “I firmly believe that U.S. export licenses that will maintain or enhance Huawei’s capabilities are against U.S. national security interests. He added that the Commerce Department should inform lawmakers of the permits issued.
But the trade group Semiconductor Industry Association welcomed the Move by the U.S. Department of Commerce, saying sales of non-sensitive products would help ensure the competitiveness of U.S. chipmakers, “which is critical to national security.” We hope to continue to approve licences in an appropriate and timely manner. “
The Trump administration blacklisted Huawei in May, saying it was for national security reasons. Companies on the list are not allowed to trade with U.S. companies without special permission from the U.S. Department of Commerce.
But in June, U.S. President Donald Trump said he would allow partial sales of Chinese-made products, and U.S. officials urged companies to apply for licenses that would be available if they were readily available in other markets around the world and would not harm national security.
Several U.S. companies applied for permits in the months that followed, but it wasn’t until Wednesday that the Commerce Department formally responded to the request.
“The White House is not ready to stop Huawei because it will do almost as much damage to U.S. businesses,” said James Lewis, a technology expert at the Center for Strategic and International Studies in Washington. “