23 Apr 2018
AP — ZTE Corp., one of China’s biggest tech companies, said Sunday that it is taking steps to comply with a U.S. technology ban and that it is seeking a solution to the issue it says threatens its survival.
The ban on state-owned ZTE was imposed last Monday in a case involving exports of telecoms equipment to Iran and North Korea. U.S. companies are barred from selling technology to ZTE for seven years.
The penalty comes as tensions mount between Beijing and President Donald Trump over technology policy, though the case dates to before Trump took office in January 2017.
ZTE pleaded guilty in March 2017 and agreed to pay a $1.19 billion penalty for having shipped equipment to Iran and North Korea in violation of U.S. regulations. The company promised to discipline employees involved in the scheme, but the U.S. Commerce Department said last week that they were paid bonuses instead.
The company said Sunday in a statement on the Hong Kong Stock Exchange that since 2016, it has “learnt from its past experiences on export control compliance” and “attaches significant importance” to the work.
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