Trump Admin To Delay Penalty On Chinese Tech Giant, Ross Says

Daily Caller News Foundation logo
Font Size:

Commerce Secretary Wilbur Ross announced a 90-day reprieve to Chinese tech company Huawei on Monday.

President Donald Trump’s administration had put Huawei on an entity list that banned the company from using U.S.-made materials for its products without government approval in May. National security concerns arose after the Department of Justice charged the company for alleged bank fraud, wire fraud and violating Iranian sanctions.

The reprieve will allow the tech giant to continue to purchase materials from the United States for another three months, Ross explained. (RELATED: China Says Trump Admin’s Currency Manipulator Label Will ‘Cause Chaos’)

“It is another 90 days for the U.S. telecom companies. Some of the rural companies are dependent on Huawei. So we’re giving them a little more time to wean themselves off. But no specific licenses are being granted for anything,” Ross said on “Mornings with Maria.”


Ross further explained that the penalty against the tech giant is set to be implemented in November.

The Commerce Department is adding 46 Huawei subsidiaries to the United States’ entity list, which includes a number of entities American companies cannot sell to unless they get a specific license, to make it more difficult of Huawei to evade those sanctions, Ross said.

“It’s under legislation, and its purpose is to make sure that we don’t endanger U.S. security,” Ross said. “The president, yesterday in his news conferences, made clear his concerns about national security in Huawei. Adding more entities makes it for difficult for Huawei to get around the sanctions.”

“As we continue to urge consumers to transition away from Huawei’s products, we recognize that more time is necessary to prevent any disruption,” Ross said in a Commerce Department press release Monday. “Simultaneously, we are constantly working at the Department to ensure that any exports to Huawei and its affiliates do not violate the terms of the Entity Listing or Temporary General License.”

Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact