US delays Huawei licenses as China halts farm purchases
Aug 9, 2019
The Trump administration is delaying a decision on handing out licenses for US companies to resume shipping to China’s Huawei as the trade conflict continues, Bloomberg reported on Friday.
Why it matters: The move indicates there is no let-up from the US in its trade blacklisting of Huawei as it approaches the August 19 deadline of a 90-day-reprieve.
- The decision came after Beijing said it was halting purchases of US farming goods, according to people familiar with the matter cited by Bloomberg.
- Companies seeking to export US-made components and technology to Huawei must apply for a special license after the Department of Commerce put the company on a trade blacklist on May 16.
Details: Commerce Secretary Wilbur Ross said last week he had received 50 requests and that a decision on them was pending, according to Bloomberg.
- US chipmakers such as Intel, Qualcomm, and Broadcom sent their chief executives to meet with President Trump in July in a bid to accelerate the process of obtaining licenses to sell to Huawei.
- Trump said last week there were no plans to go back on his commitment made at the G20 meeting in Japan in June to allow more sales of non-sensitive products from US suppliers to Huawei.