On June 28 and 29, the G20 was held in Japan. The opportunity for Donald Trump to converse with Chinese President Xi Jinping and announce an easing of trade relations between China and the United States. American firms could be allowed to resume trading with Huawei. However, no modality was communicated by Donald Trump, point The Verge. Could
Huawei (finally) blow? The question arises following recent statements by Donald Trump. In Japan, following the G20 and his meeting with Chinese President Xi Jinping, he said that the two countries would resume their trade negotiations and that US authorities refrain from introducing new export taxes for products made in China. Huawei could also be concerned by this visibly softened posture of Donald Trump: Ren Zhengfei's firm is notably about to resume trading with US companies (including Google, Intel, Microsoft ...).
Huawei still far from being out of business
The latter had been forced, last May, to suspend their trade with Huawei following the Executive Order mandated by Donald Trump. In Japan, however, President Trump has hinted that these sanctions could be lifted, at least in part, but it is unclear whether any instructions have already been issued to the US Department of Commerce.
According to the Washington Post, quoted by The Verge, Donald Trump reportedly told reporters that he would meet senior US officials in order to lessen the pressure on Huawei, but no formal decision has yet been made. The Wall Street Journal, also quoted by the media, reports for its part that the fate of Huawei would be decided at the end, only, of ongoing negotiations between China and the United States.
The White House's statements to Fox News are a little more specific. Asked, Larry Kudlow (chairman of the National Economic Council ) explained that the Commerce Department "would grant additional licenses in case of general availability " for certain components. " National security concerns will remain paramount, " he said.
Pressure on Huawei: a lever for negotiations
The Executive Order issued in May by Donald Trump had immediately - and heavily - impacted Huawei in its activities. Google, Intel, Microsoft or ARM had indeed been forced to give up their exchanges with the Chinese giant, leaving it devoid of OS for its smartphones and laptops (Android and Windows falling under the US sanctions), but also some components for its various electronic devices. The defection of ARM was also among the most dramatic since the British company provides licenses used by Huawei to design its own mobile processors(via its subsidiary HiSilicon). More recently, the firm was also banned from using micro SD cards.
At the end of May, however, Donald Trump suggested that sanctions could be lifted in the event of significant progress in trade negotiations with China. Contrary to the White House's official argument, these sanctions could therefore primarily be a strategic objective for the United States and serve as a lever for the ongoing negotiations with the Chinese government. The dialogue between the two countries will resume soon ... and the case of Huawei will be more central than ever in these exchanges.
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