ZTE he has to pay a huge fine in the coming weeks to be able to continue selling products in the USA, it being imposed by the American government after his products were banned for import and export. Following some negotiations with the American government, ZTE agreed with them to pay 1 billion dollars to be able to get rid of the imposed bans and to be able to make money again with sales in the country.
ZTE has had bans imposed against it by the US government due to the fact that it violated sanctions imposed on Iran and North Korea and delivered telecommunications products to the countries during the past year. ZTE would have delivered these products through the subsidiary in the US, not the one in China, and from here came the power of the US government to impose a ban on the import and sale of Chinese products in the country, starting this year.
ZTE: HUGE FINE Imposed against the Chinese
ZTE agreed last year to pay a fine of 1.19 billion dollars and to fire some employees, but Donald Trump decided this year to also impose bans on it, but in the end he reduced the amount of the fine and those employees probably will not they will be fired again. ZTE still agreed to fire the president, who was part of the Chinese Communist Party, and agreed to post a $400 million bond to pay any future fines.
"After much negotiation with the Trump Administration, Secretary of Commerce Wilbur Ross confirmed this morning that ZTE, the Chinese telecommunications giant, has agreed to a $1 billion fine. In addition to a $1 billion fine, the company has made several personnel changes, including rotating out the company's Communist Party leader. The company is also believed to have agreed to a $400 million escrow that would be used to pay for future penalties."
ZTE "escaped" very easily, despite the fact that many people from the American security agencies vehemently opposed the president's plan saying that the company's products are used for espionage. Of course, Trump didn't care, and thus ZTE "gets away" quite easily from the problems with the violation of American embargoes, although last year many analysts were of the opinion that the imposed bans will lead to the closure of the subsidiary in the USA.
