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ZTE-Temporary General License

On March 8, 2016, Chinese telecommunications company Zhongxing Telecommunications Equipment (ZTE) was added, along with several related entities, to BIS’ Entity List.  This was a result of ZTE signing contracts in 2012 to ship U.S. made telecom hardware and software to Iran via a series of shell companies, a violation of U.S. Iranian sanctions. Due to increasing pressure from Chinese officials, and acknowledgement that the sanction would cause disruption to companies throughout ZTE’s global supply chain, BIS has created a temporary general license to restore the prior licensing policy for ZTE and ZTE Kangxun of March 7, 2016.  This temporary license will be in effect starting on March 24, 2016. It will expire on June 30th, 2016, but may be extended if the U.S. government believes ZTE to be cooperating in the investigation.

 

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