U.S. and China have agreed on the broad outline of a deal that would save ZTEMay 22, 2018
U.S. and China have agreed on the broad outline of a deal that would save ZTE
The U.S. and China have agreed on the broad outline of a deal that would save China's ZTE WSJ reports, as the two nations move closer to resolving their trade dispute. It would be required to make significant changes to management and the board, as well as pay possible fines, to lift a ban on U.S. companies selling the telecom giant components and software.
ZTE ran into trouble in 2016 for violating US laws restricting the sale of American technology to Iran. An 2017 agreement called for it to pay as much as US$1.2 billion and penalize the workers involved, in what was the largest criminal fine for the US Justice Department in an export control or sanctions case.
But in April, the Commerce Department said ZTE instead paid full bonuses to employees who engaged in the illegal conduct, failed to issue letters of reprimand and lied about the practices to US authorities. That led to the seven-year ban.