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Trump Vows to Help ZTE 'Get Back Into Business'

The tweet is puzzling given that Trump's Commerce Department last month banned US companies from selling components to ZTE for seven years.

 & Chloe Albanesius Executive Editor, News

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President Trump on Sunday said he's working with China to help ZTE "get back into business, fast" and prevent further job loss in China.

"President Xi of China, and I, are working together to give massive Chinese phone company, ZTE, a way to get back into business, fast. Too many jobs in China lost. Commerce Department has been instructed to get it done!" Trump tweeted.

The tweet is puzzling given that the Commerce Department last month banned US companies from selling components to ZTE for seven years for violating the terms of a 2017 settlement regarding ZTE's sale of goods and services to Iran.

ZTE denies any wrongdoing, and said in a late April statement that the ban will "cause damages to all partners of ZTE including a large number of US companies" since it uses chips from Qualcomm, glass from Corning, and optical components from various US suppliers.

Last week, ZTE said the ban means "major operating activities of the company have ceased."

Trump, of course, made jobs a focal point of his campaign, during which he had harsh words for China. "They're using our country as a piggy bank to rebuild China, and many other countries are doing the same thing," he said during a September 2016 debate.

Prior to announcing his run for president, meanwhile, Trump frequently tweeted about China stealing US jobs.

Another Chinese manufacturer, Huawei, is also under fire in the US. Earlier this month, the Pentagon banned the sale of Huawei and ZTE phones in retail stores on US military bases, citing security concerns, The Wall Street Journal reports.

The FCC also recently eliminated a government subsidy for any US telecom carrier that buys from Huawei or ZTE. And Best Buy in March reportedly cut ties with Huawei, following the lead of US carriers like AT&T and Verizon, which decided not to sell the company's Mate 10 Pro due to pressure from the US government.

The campaign against Huawei and ZTE dates back to 2012 when the House Intelligence Committee issued a report warning that the firms might be using their entrance into the US market as a way to spy for the Chinese government, allegations Huawei and ZTE have both rejected.

About Our Expert

Chloe Albanesius

Chloe Albanesius

Executive Editor, News

My Experience

I started out covering tech policy in DC for The National Journal, where my beat included state-level tech news and all the congressional hearings and FCC meetings I could handle. I later covered Wall Street trading tech before switching gears to consumer tech. I now lead PCMag's news coverage.

My Areas of Expertise

Getting my start in DC means I still have a soft spot for tech policy; Congressional hearings can sometimes be as entertaining as a Bravo reality show, for better or worse. But PCMag is all about the technology we use every day, as well as keeping an eye out for the trends that will shape the industry in the years ahead (or flop on arrival). I've covered the rise of social media, the iOS vs. Android wars, the cord-cutting revolution that's now left us with hefty streaming bills, and the effort to stuff artificial intelligence into every product you could imagine. This job has taken me to CES in Vegas (one too many times), IFA in Berlin, and MWC in Barcelona. I also drove a Tesla 1,000 miles out west as part of our Best Mobile Networks project. Of late, my focus is on our hard-working team of reporters at PCMag, guiding and editing their robust coverage.

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