SIA has succeeded! Delivery to Huawei has been lifted

After SIA lobbying for relief on China chip ban (we have write about it here), it seem that their and others lobbying appears to have been successful! At the G20 Summit the ban on selling components, equipment and services to Huawei appears to have been lifted with it possibly taking effect this week.

However the US pressure not to buy Huawei switchgear still seems to be in place, so goal is half way succeeded. Good for SIA for production, but still bad for Huawei sales.

“One of the things I will allow,” said President Donald Trump at the G20 in Osaka, “is, a lot of people are surprised we send and we sell to Huawei a tremendous amount of product that goes into the various things that they make. And I said that that’s okay, that we will keep selling that product. These are American companies… that make product and that’s very complex, by the way, and highly scientific.”

“And in some cases we’re the ones that do it, we’re the only ones that do it,” added Trump, “what we’ve done in Silicon Valley is incredible, actually and nobody has been able to compete with it, and I’ve agreed and pretty easily, I’ve agreed to allow them to continue to sell that product.’

“So American companies will continue and they were having a problem, the companies were not exactly happy that they couldn’t sell because they had nothing to do with whatever it was potentially happening with respect to Huawei, so I did do that.”

The good news is the end of the Huawei trade ban means that US companies can sell good to the smartphone and network supplier, at least for now. It should also mean that any Android, Google and even Windows lockouts for users will be instantly resolved.

Later this week the US Department of Commerce is expected to remove Huawei from the “Entity List”, a list of companies banned from buying US supplies.

Advert