ZTE Disconnection: Telecom giant closing major operations due to US ban
Chinese telecom giant ZTE has closed its main business operations due to a US government ban on using American suppliers. Our reporter He Weiwei tells us more.
HE WEIWEI GUANGZHOU "Chinese telecom giant ZTE says it's closing its major business operations as a result of the US sales ban targeting the company. That came in a statement on Wednesday that said ZTE has enough cash to pay its creditors. The company said it's actively communicating with relevant government agencies to push for revisions in the order, or its reversal. ZTE has filed paperwork seeking to end the ban, which the company says is a threat to its survival. The firm estimates as much as 30 percent of its components are imported from the US. On Tuesday, Taiwan-based chipmaker MediaTek received a permit from authorities allowing it to resume sales to ZTE. These sales were suspended after the US ban. At the moment, customers aren't able to place orders on online portals that sell ZTE devices. But ZTE's brick-and-mortar stores remain open for now. HWW, CGTN, GZ."