China’s ZTE wins partial US reprieve, but loses out in Italy
Concessions announced by the US came too late for a €600m contract in Italy, which it lost to Ericsson because it could not buy US technology
Washington — The Trump administration is letting ZTE resume some business activities while the US weighs an end to a seven-year ban on the Chinese telecommunications company. The easing of restrictions didn’t come soon enough for ZTE’s bid to win a contract in Italy to supply wireless equipment to Wind Tre. ZTE lost the deal because it is barred from buying US technology, and Ericsson won the €600m contract instead, people with knowledge of the matter said, asking not to be identified because it has not been announced. ZTE’s shares in Hong Kong rose about 2%. The mixture of good and bad news is just the latest chapter in the saga of ZTE, whose prospects and stock price have risen and fallen in the past few months over access to the technology it needs to sell telecoms gear across the globe. The US imposed the ban against the Chinese company earlier this year, saying it had failed to comply with punitive measures imposed after allegations of lying about equipment sold to Iran and Nor...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.