The Trump administration has extended a deadline for U.S. businesses to cut ties with Chinese telecommunications firm Huawei, according to a statement by Department of Commerce Secretary Wilbur Ross on Monday.
The reprieve given to Huawei permits the Chinese firm to buy components from U.S. companies to supply existing customers, but also added more than 40 of Huawei’s units to its economic blacklist.
The 90-day extension “is intended to afford consumers across America the necessary time to transition away from Huawei equipment, given the persistent national security and foreign policy threat,” the Commerce Department said in a statement on Monday.
“As we continue to urge consumers to transition away from Huawei’s products, we recognize that more time is necessary to prevent any disruption,” said Ross. “Simultaneously, we are constantly working at the Department to ensure that any exports to Huawei and its affiliates do not violate the terms of the Entity Listing or Temporary General License.”
A statement by the Commerce Department indicated that it has added over one hundred persons or organizations to the Entity List in connection to Huawei.
The U.S. government blacklisted Huawei in May, alleging the Chinese company is involved in activities contrary to U.S. national security or foreign policy interests.