Acacia says ZTE business to remain suspended until ban lifted

Senators Move To Reverse Trump's Deal Lifting Sanctions On China's ZTE

Senators Move To Reverse Trump's Deal Lifting Sanctions On China's ZTE

Confirming details of the USA deal, ZTE said late on Tuesday it would replace its board of directors and that of its import-export subsidiary ZTE Kangxun within 30 days of the June 8 order being signed by the United States. Under the agreement, the Chinese company will have to pay a fine of $1 billion, set aside another $400 million, completely overhaul its senior management and bring on board an American monitoring team.

China's No. 2 telecommunications equipment maker was crippled when the United States imposed a seven-year supplier ban on the company in April after it broke an agreement to discipline executives who conspired to evade USA sanctions on Iran and North Korea.

"It's only prudent that no one in the federal government use their equipment or services and that they receive no taxpayer dollars", said Sen. We need to solve the larger puzzle of trade and national security in addition to the enforcement action for the violation of sanctions."-Sen". That's the ban that President Trump and his Twitter account helped to remove.

"These companies have direct links to the Chinese government and Communist Party". The intelligence community suspects the company's devices are mechanisms for espionage that can be remotely tracked and used to steal intellectual property. Marco Rubio, Florida Republican and a co-sponsor of the legislation.

US lawmakers have attacked the agreement and planned legislation to roll it back, citing intelligence warnings that ZTE poses a national security threat. But the Trump administration and the Commerce Department later announced a deal struck with ZTE that would again allow it to access US-manufactured parts. North Korea is largely dependent on economic ties with China, where leaders had claimed that absent a ZTE deal, the telecom giant would collapse.

But a bipartisan group on Capitol Hill was upset from the moment that the president first got involved. Rubio supports the new language in the defense bill.

The measure is being included as part of a package of changes agreed upon by committee leaders, meaning that the Senate is likely to include it as part of the defense bill later this week. The Senate's bill will have to be reconciled with the US House version of the defence bill that passed in May. It would block the deal by retroactively reinstating financial penalties and upholding the ban on ZTE selling products to the US government.

"We're just continuing the conversation", said Sen.

It's expected that this new amendment will make its way into the National Defense Authorization Act which is also expected to make its way through Congress and finally signed into law by President Trump. "I want to keep the conversation going".

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