The US Department of Commerce said on Wednesday that the department has begun to issue licenses for some US companies. This allows them to resume some business transactions with Huawei. As of now, we still do not know the exact products that Huawei can purchase. However, Huawei, as the world’s second-largest smartphone maker, has been waiting for Google to obtain relevant licenses to provide Google Mobile services to its latest models.
US Companies submits 300 applications
A US official said that US companies have submitted about 300 license applications. According to him, half of these are already in processing. In addition, about 25% of the applications have gotten approval for now. Certainly, not all the applications will get approval. An insider source claims that the US government approves sales licenses for some mobile phone parts and non-electronic parts.
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The US Department of Commerce said in a statement: “The Ministry of Commerce is issuing licenses for these narrower coverages. Thereby authorizing specific trading activities that do not pose a security risk to US national security and foreign policy interests”
Prior to this, the US Department of Commerce renewed the Huawei Temporary General License for another 90 days. This is to help mitigate the impact on network operators in rural areas of the US.
According to Republican Senator, Marco Rubio, “Huawei has become an increasingly obvious threat to the economic and national security of the US and its allies…I firmly believe that the US will maintain or enhance Huawei’s capabilities. Export licensing is a violation of US national security interests.”
Back in May, Huawei was added to the US trade backlist. It claims it is due to national security concerns. Companies on the list may not trade with US companies without the special permission of the US Department of Commerce. However, in June, US President Trump said it would allow partial sales to Huawei.