Trump relaxes US ban allowing US companies to sell to Huawei

Finally, good news for Huawei as Trump relaxes the US trade ban on Huawei at the G20 meeting in Tokyo. This surprise move allows American companies to go back in business with Huawei. Huawei could get Android license from Google and everything could go back on track. But all is not in Huawei’s favor.

Trump hasn’t completely revoked the ban, which means Huawei can’t still sell smartphones, computers, and network infrastructure equipment in the US.

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On the trade concession, Trump commented as follows:

One of the things I will allow, however, is, a lot of people are surprised we send and we sell to Huawei a tremendous amount of product that goes into the various things that they make. And I said that that’s okay, that we will keep selling that product. These are American companies… that make product and that’s very complex, by the way, and highly scientific. And in some cases we’re the ones that do it, we’re the only ones that do it. What we’ve done in Silicon Valley is incredible, actually and nobody has been able to compete with it, and I’ve agreed and pretty easily, I’ve agreed to allow them to continue to sell that product. So American companies will continue and they were having a problem, the companies were not exactly happy that they couldn’t sell because they had nothing to do with whatever it was potentially happening with respect to Huawei, so I did do that.

The US president hasn’t particularly commented on whether Google could sell its software license to Huawei. However, his current stance seems a positive nod for Google, which could probably sell Android to Huawei.

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Trump and Xi Jinping held their bilateral talks at the G20 meeting in Japan. They have apparently agreed to hold off the ongoing cold war for the sake of the global economy. The Chinese state-run press agency Xinhua observed the two leaders agreeing – “to restart trade consultations between their countries on the basis of equality and mutual respect.”

This would be appreciated by industry and economic experts. However, we are yet to see what would be the Huawei’s response. It is already alleged of baking its own Android replacement. So, where happens next? What do you think?

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