ZTE requests that US Department of Commerce suspend seven-year ban

Adjust Comment Print

ZTE said on Wednesday in a public filing that it has halted "major operating activities" after a U.S. ban against the company became effective.

The Chinese OEM said in its exchange filings that their major operating activities have been halted after the enforcement of the Denial Order. Last month, the US Commerce Department blocked US firms from selling parts or providing services to ZTE until 2025. And ZTE's larger telecom gear-making operation probably ran afoul of the same component shortages, said Huang Leping, an analyst with CICC.

"ZTE's false statements only were reported to the U.S. Government after BIS requested information and documentation showing that employee discipline had occurred". The ban is a massive blow to ZTE, as it blocks the company from its supply chains in the United States. Stock trading ZTE suspended for a few weeks, says New York Times with reference to the stock springs. ZTE was slapped with a seven-year ban prohibiting it from any transactions with the USA for breaching the terms of a settlement related to its business dealings with Iran.

ZTE, a major supplier of telecoms networks and smartphones based in southern China, earlier said the ban threatened its existence by choking off access to USA suppliers of key technology and components like microchips.

Yankees, Red Sox to clash in London in 2019
Both the Red Sox and Yankees have played games on worldwide soil in recent years, visiting the Tokyo Dome for season openers. The league has, however, played games in Mexico, Japan , Puerto Rico and Australia .

Chinese mobile phone maker, ZTE, survives to fight another day, but its business continues to be hampered by restrictions imposed last month by the United States administration.

"We are hopeful that ZTE will be able to reach a resolution to this matter soon so that we can recommence selling Telstra-branded ZTE devices", the Telstra executive wrote.

"As of now, the Company maintains sufficient cash and strictly adheres to its commercial obligations subject to compliance with laws and regulations", ZTE said in a market announcement. But ZTE reportedly failed to follow the stipulations of the settlement when it provided bonuses to those employees involved in illegal activities who were allowed to remain employed by ZTE. ZTE settled the sanction case with the US government last March after admitting to illegally shipping products with USA technology to countries including Iran and paying a record fine of almost $900 million.