This is why Trump caved in to US chipmakers' demands

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Huawei is on the US Commerce Department's entity list, which effectively bans US companies from selling equipment and components to the Shenzhen-based manufacturer, while Washington has also frozen the company out of the US 5G network. "Evaluate the associated license review policy under part 744", he wrote, citing regulations that include the Entity List and the "presumption of denial" licensing policy that is applied to blacklisted companies.

On Saturday, Trump had promised Chinese President Xi Jinping that he would allow USA companies to resume selling products to Huawei, which had been under severe restrictions.

A senior US official this week told the US Department of Commerce's enforcement staff that China's Huawei Technologies Co Ltd (華為) should still be treated as blacklisted, days after US President Donald Trump sowed confusion with a vow to ease a ban on sales to the firm. Well, Huawei was already prepared for the ban, and after the ban, it collaborated with many companies which showed it could go well without Huawei.

"All we've done basically is to allow the sale of chips to Huawei, and these are lower-tech items which do not impact national security whatever", Navarro said.

Lawyers for the US Department of Justice challenged that claim in a filing on Wednesday, saying the law wasn't unconstitutional punishment, but rather the "logical next step" to protect the country and ensure China isn't given "a strategic foothold" in USnetworks.

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The US Huawei ban may not be coming to an end any time soon after all following new reports that the Chinese phone giant is still under severe restrictions.

According to Reuters, the memo was the sole piece of guidance Commerce Department staff had been sent about the president's tweet, sent during the G20 in Japan.

"But, subsequent to the President's statements at the G20 [Conference] that Huawei would be allowed to buy from American companies, there's been a tremendous amount of speculation about whether and what it will be allowed to buy from American companies", he said. He also said the decision on whether to take Huawei off the entity list would be left to later. And the day after the Trump administration gave Huawei a limited 90-day reprieve, Google announced that it was following suit.

To date, few details have been revealed about the measures that Washington will take vis-a-vis Huawei and, in fact, the Treasury Department still must decide if it will lift the ban it imposed on the company in May which prevents it from using U.S. components. "We will still focus on doing our own job right".

There is widespread support among US -based companies for selling technology to Huawei, and very little expressed concern regarding national security issues, he said.

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