According to an announcement, according to an order issued by the U.S. Department of Commerce’s Bureau of Industry and Security, a seven-year refusal order suspended in accordance with the settlement agreement was activated from April 15, 2018 (U.S. time) until March 13, 2025 ( US time) Stop.
Afterwards, ZTE again published on the official website the "ZTE Statement on the US Department of Commerce's Activation Decline Order."
ZTE stated that before the relevant investigation has been concluded, the US Department of Commerce’s Bureau of Industry and Security insists on imposing the most stringent sanctions on the company, which is extremely unfair to ZTE and cannot be accepted!'
The following is the original statement:
ZTE Statement on U.S. Department of Commerce's Activation of Refusal Order
Since April 2016, ZTE has learned from its past experience in export control and compliance, and has attached great importance to export control compliance. It regards compliance as the cornerstone of the company's strategy and the premise and the bottom line of its operations.
ZTE has established a compliance management committee directly under the leadership of the president; established a global team of senior export control compliance experts; introduced a number of world-class consultants to provide professional guidance, and built and optimized ZTE’s export control compliance management framework. Institutions and processes; Introduction and implementation of SAP's Trade Compliance Management Tools (GTS); Compliance training for organizations covering more than 65,000 employees; Fully coordinated with US-appointed independent Compliance Ombudsman to implement relevant agreements with ZTE Corporation with U.S. government And the construction of export control compliance is conducted in real time and transparently. It provides more than 132,000 pages of documents. In 2017 alone, ZTE Corporation invested more than US$50 million in export control compliance projects, and plans to invest more resources in 2018.
However, on April 16, 2018, the US Department of Commerce’s Bureau of Industry and Security (BIS) used ZTE’s employees to revoke bonuses and issue disciplinary letters in a timely manner on certain employees involved in historical export control violations, and on November 30, 2016. In two letters submitted to the U.S. government on July 20, 2017 and on the basis of false statements, the decision was made to activate the refusal of ZTE and ZTE Kangxun.
BIS ignored ZTE's arduous efforts in complying with export control compliance in the past two years, making huge investments and making great progress; disregarding the problems in the above two letters was the company’s self-inspection and discovery and prompt and proactive notification; disregarding the company’s handling of the first time This may have negligent owners, and quickly correct the problem, and hire an independent US law firm to investigate independently. Until the relevant investigation is concluded, BIS insists on imposing the most stringent sanctions on the company. It is extremely unfair to ZTE and we cannot accept it. !
Refusal orders will not only seriously endanger the survival of ZTE, but also hurt the interests of all ZTE's partners, including a large number of US companies.
ZTE will not give up its efforts to resolve problems through communication and dialogue, and it is determined to safeguard its legitimate rights and interests through all legally permitted means. It will safeguard the legitimate rights and interests of all its employees and shareholders and fulfill its obligations to global customers, consumer users, partners and suppliers. Responsibility!
As a global company that has grown up in China, ZTE will unite all its employees, strengthen its confidence, unite and work together to tide over the difficulties!