BUSINESS/CHINA/COMMERCE/CONGRESS/TRADE DEALS/TRUMP AS PRESIDENT: “The Trump administration has told lawmakers it has reached a deal that would keep the Chinese telecom firm ZTE alive, a person familiar with the matter said. The move could allow trade negotiations with China to move forward, but would probably provoke an intense backlash in Congress. Under the agreement brokered by the Commerce Department, ZTE would pay a substantial fine, hire American compliance officers to be placed at the firm and make changes to its current management team. In return, the Commerce Department would lift a so-called denial order that is currently preventing the company from buying American products, the person said. The move would allow ZTE to once again begin doing business with American companies, including Qualcomm, the chipmaker based in San Diego that is a key ZTE supplier. The Chinese company was recently banned from buying American technology components for seven years as punishment for violating United States sanctions against Iran and North Korea. The administration has been eager to reach a deal on ZTE in exchange for trade concessions from China, including purchases of agriculture and energy products. Officials are poised to announce the compromise deal soon, perhaps as early as Friday [5-25-18].”
-Ana Swanson, “Trump Administration Tells Congress It Has a Deal to Revive ZTE,” The New York Times online, May 25, 2018