US to extend Huawei license to buy American goods for 90 days
The US is set to extend a reprieve given to Huawei that allows the Chinese tech firm to buy supplies from US companies so that it can continue serving existing customers.
The “temporary general license” will be extended for a further 90 days, according to Reuters.
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Huawei had been temporarily allowed to purchase American-made goods in May, shortly after being blacklisted, in a move made to limit disruption for customers.
A further extension has now been granted to an agreement that was set to lapse on 19 August.
Huawei’s license situation has become a key bargaining chip for the US in its trade war and a decision to extend the deal could be changed before Monday’s deadline, sources said.
US President Donald Trump and Chinese President Xi Jinping are expected to discuss Huawei in a call this weekend.
Huawei did not immediately respond to request for comment.
The decision to stop the firm buying US goods was seen as a major escalation in the trade war, with the US alleging Huawei is involved in activities contrary to national security and could use new technology to spy on the country; allegations that have been denied.
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Huawei, which is the world’s largest telecommunications equipment maker, still cannot buy American parts and components to manufacture new products without extra licenses.
The US commerce department has declined to comment, but comments on CNBC earlier this week said an update would come on Monday.