UPDATED 1:31 PM PT — Monday, August 19, 2019
Commerce Secretary Wilbur Ross said the U.S. plans to ease sanctions on Huawei to allow U.S. companies to wean themselves off their dependence on the Chinese tech giant.
In an interview Monday, Ross said some companies require more time to purge the remaining need for Huawei products. He said the administration would give U.S. telecom industries 90-days before the next deadline, which would be around November 19th. The secretary also said the Commerce Department has placed 46 more Huawei subsidiaries onto the entity list.
On Sunday, President Trump said he would rather not do business with the Chinese company for national security concerns.
“Huawei is uh, a company we may not do business with at all…I don’t want to do business at all because it is a national security threat, and I really believe that the media has covered it a little bit differently than that,” he stated. So, we’re looking really not to do business with Huawei.”
The extension comes as U.S. companies fear Huawei will turn to foreign competitors if sanctions continued. U.S. intelligence agencies claim Huawei devices could possibly be used to transfer spyware for the Chinese communist government.