U.S President Donald Trump had a meeting with Chinese President Xi Jinping after which he has announced to lift the sanctions from the Huawei Company. Trump said that the two countries will resume talking on trade and they have levied tariffs against each other. It is also indicated by Trump that U.S Companies are allowed to do business and resume the sales of tech equipment with Huawei Company. However, it is still not known how and when this will happen.
A month ago in May, Trump passed an executive order and blocked all the sales from U.S Companies with Huawei, a Chinese Company. As a result of this blacklisting from the U.S government, Huawei faced a difficult time. Google was forced to cut off ties and pulled their Android License of Huawei tech giant, chipmakers also decided to stop their supply, Microsoft stopped the sale of Huawei laptops. Not just this, MicroSD cards banned for Huawei phones. That was indeed a headache for the technology company.
Donald Trump and Xi Jinping Meeting at G20 Summit
Now after a successful meeting of two competitors at G20 Summit in Osaka, Japan, Trump said that he will definitely ease the pressure on Huawei after talking with the U.S officials. However, no formal decision has been made yet and the pattern of lifting the restriction is still not known.
Trump has clearly mentioned that U.S companies will be allowed to sell equipment to Huawei but these technologies only include things which do not pose a security threat to US national security. The prior blacklisting of Huawei was due to the fear of U.S security officials that this telecommunication company may have close ties with the Chinese government and may be a threat to their national security.
As recent shut down of Huawei to use Android may have put Google at risk to lose more than 700 Million customers. But it is still uncertain whether Google will also be allowed to resume business with Huawei or not.
Trump also said that they had a great meeting with President Xi of China or what you call it an excellent meeting as they have talked about a lot of things. He said that the two countries are right back on track and they will see what happens next.
Donald Trump has further explained the reason for lifting the restrictions as the U.S have seen some forward movements on trade talks. So, to them, it is more of negotiation tactics and less sort of a national security reason. Well, they have decided to resume talks with China which have become a centre of discussion in the technology and trade circle.