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U.S. Commerce Dept. bans U.S. firms from selling components to China's ZTE Updated: 2018-04-17 12:12:43 KST

The U.S. Commerce Department is banning American companies from selling components to China's leading telecom equipment maker ZTE for SEVEN years for violating the terms of a sanctions violation case.
ZTE allegedly violated the terms of a 2017 settlement, where the company pleaded guilty in a Texas federal court to illegally shipping U.S. equipment to North Korea and Iran.
The company paid 890 million U.S. dollars in fines and penalties, with an additional penalty of 300 million that could be imposed.
The action is seen as another addition to the mounting pressure on Chinese telecommunications companies and a broader escalation of the tariff tussle between Washington and Beijing.
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