<pre><pre>Trump says he can lift Huawei sanctions after Xi meeting

The G20 summit in Japan today, where US President Donald Trump met with Chinese President Xi Jinping. After their meeting, Trump announced that the two countries would resume trade negotiations and that the US would stop implementing new rates indefinitely. He also indicated that US companies should resume sales to Huawei, although it is unclear when or how that will happen.


In May, Trump signed an execution order that allowed the US government to block the sale by US companies to foreign companies as a security risk. It is not immediately clear what – or if any – steps have been taken to lift the restriction on sales to the besieged Chinese technology company. According to The Washington Post, Trump told reporters that he will have a meeting with US officials to reduce pressure on Huawei, but also that they have not yet taken a formal decision to lift them while The Wall Street Journal reports that he indicated that until the end of the negotiations the two countries will fail to do what they will do with the company.

Huawei is caught in the middle of the larger American-Chinese trade war. Although both countries have charged tariffs against each other, US security officials have warned of the possibility that the telecommunications company may have links with the Chinese government and may pose a security risk to the US. Trump's executive order led to immediate headaches for Huawei: Google withdrew the Android license, chip makers stopped supplying parts, Microsoft stopped selling Huawei laptops and the company should not use microSD cards on its devices.

China allegedly planned to make a delay from Huawei a condition to return to the negotiating table. Last month, Trump stated (as US Finance Minister Steven Mnuchin confirmed in June) that the US could lift restrictions against the company, provided that the US sees a forward movement in trade negotiations, which essentially demonstrates that the order has less to do with national security and more to do as a negotiating tactic. The countries are said to resume talks soon, and the way the US deals with Huawei is likely to be a central part of that discussion.