The tension between America and China is in red after Donald Trub’s decree that puts it on the blacklist for national security reasons.
Yesterday Google has excluded Huawei from future upgrades of the Android operating system. At the same time, China’s new smartphones will lose access to popular Google apps like Google Play, Gmail, Chrome, YouTube, and Google Maps.
Now the US government has issued a special permit that allows US companies to continue trading for another three months with Huawei.
The three-month extension granted by the US Department of Commerce states, according to the Financial Times and Reuters, that it allows agreements “that are necessary to maintain and support existing and current fully functioning networks and equipment, including software upgrades and repairs safety gaps “. It also allows contracts “necessary to provide service and support, including software upgrades or security blanks for existing Huawei devices”.
Huawei – the world’s largest telecom equipment manufacturer and number two in the mobile phone market after Korean Samsung – will continue to be unable to buy American parts and accessories to produce its new products without getting approval from the US authorities.
The three-month relaxation of restrictions until August 19th, as Trade Minister Wilbur Ross said, will help telecoms companies and others, who depend on Huawei’s equipment, find alternative suppliers for the future. After the end of the quarter, any new extension will be reviewed.
Huawei founder Ren Zengfei, however, said that the three-month license for trading with US companies does not mean much for his company, which was prepared for the worst case scenario.
“The actions of the US government underestimate our potential,” he said on Chinese television. As Huawei said, it is in juxtaposition with the US government and not the US companies.