U.S. reached deal to keep Chinese telecom ZTE in business: congressional aide


"If President Trump won't put our security before Chinese jobs, Congress will act on a bipartisan basis to stop him", said Maryland Democratic Senator Chris Van Hollen, the author of the Senate provision. Trump rejected the initial offer and provided a tough counteroffer.

If ZTE accepts, the government will lift an order banning U.S. companies like the technology hardware firm Qualcomm from doing business with ZTE for seven years - preventing ZTE from buying microchips and other components and crippling its operation. On Thursday, the House passed a bill - which will now need to pass through the Senate - that would ban U.S. government employees from using ZTE products and stop the Defence Department from dealing with the company's vendors.

The telecom company has become entwined in high-stakes trade talks between the USA and China. "It is a great deal ... for #ZTE & China", Senator Marco Rubio, a Florida Republican, tweeted on Friday. Instead of reprimanding ZTE staff and senior management, ZTE rewarded them.

On Thursday, members of the House of Representatives, citing national security concerns, voted to ban government agencies from using ZTE technology and the Defense Department from renewing contracts with vendors that work with the company.

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Even if ZTE concedes, the deal will likely face opposition in the United States as well. $1.3 billion? And the other sanction, guess what it is?

Democratic Sen. Chuck Schumer of NY criticized the reported deal: "President Trump would be helping make China great again".

"As a favor to the president [of China], I am absolutely taking a look at it", Trump said this week about ZTE.

News of the ZTE agreement came almost a week after the USA and China suspended plans to impose tariffs on as much as $200 billion of each other's goods, putting them on the brink of a trade war.

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Commerce Secretary Wilbur Ross is scheduled to travel to Beijing on June 2 for further discussions over China's aggressive push to challenge USA technological dominance. Trump has said helping ZTE would actually help American companies as well, as it would allow them to continue selling their products overseas.

Many lawmakers support boosting exports to China, but numerous Democrats and Republicans have opposed including help for ZTE as part of any package.

"We urge you not to compromise lawful USA enforcement actions against serial and premeditated violators of USA law, such as ZTE", numerous lawmakers, including Sen.

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