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ZTE: 'Won't accept' US technology ban

By MA SI in Beijing | China Daily USA | Updated: 2018-04-20 23:03

Chinese telecom-equipment maker ZTE Corp said on Friday that it won't accept the United States' ban on the company, which it called "extremely unfair" and that has ignored all its efforts made to comply with US export control laws and regulations.

The response came after the US Department of Commerce earlier this week prohibited ZTE from buying any US technology for seven years, a decision that may deal a severe blow to the Chinese company and negatively affect the global telecom industry.

ZTE said on its official website that the Shenzhen-based company has devoted massive amounts of resources, including more than $50 million in 2017, to learn about and comply with US export control laws and regulations after it had pleaded guilty in 2016 to violating relevant US sanctions.

Despite those efforts, the US government imposed the toughest ban on ZTE because the Chinese company failed to discipline its 35 employees by reducing their bonuses or reprimanding them, as agreed to in a sanctions settlement.

"The US government did not take into account that ZTE found the problem itself and took the initiative to report such problem to the regulator," the company said. "We also moved very quickly to punish people who made the mistake and hired US law firms to independently investigate the issue."

"Before the investigation was done, the US government imposed the toughest ban on us. We won't accept it. And we are determined to safeguard our legitimate rights and interests through all legally available means and dialogues," ZTE said.


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