In response to the company’s sanctions imposed by the US Department of Commerce, ZTE issued an internal employee letter called “Strengthening Confidence and Striving for Shorter Time to Solve the Problem” late on yesterday. ZTE said that it has officially filed an application to BIS to suspend execution of the refusal order. Submits supplementary materials according to BIS guidelines.
The U.S. Department of Commerce announced on April 16th that it would ban U.S. companies from selling components, goods, software and technology to ZTE for seven years until March 13, 2025. ZTE responded promptly by saying that Resolutely oppose the US Department of Commerce to make such a decision, resolutely oppose unfair and unreasonable penalties, and even more oppose the politicization of trade issues, which will have a great impact on businesses.
At the press conference held on April 20, Yin Yimin, chairman of ZTE Corporation, said that the ban in the United States will have a significant impact on the company, resulting in the interests of all employees, operators around the world, end consumers and shareholders. Direct damage. In a previous statement, ZTE also responded that the sanctions were unfair and unacceptable.
ZTE stated: 'We will not give up our efforts to solve problems through communication and dialogue, and we will use all means permitted by law to safeguard our legitimate rights and interests. ' ZTE also said that it will continue to maintain close communication with all parties and do its best in a shorter time. Solve the problem internally.
The following are the main contents of ZTE's internal letter:
"Strengthening Confidence and Trying to Solve the Problem in Less Time"
After learning of the US refusal to activate the company on April 16th, as a global company that has grown up in China, the company has always been in keeping with the national strategy. It has consistently adhered to the guidance of the Chinese government and has taken actions to solve the problem as soon as possible.
At the same time, since the occurrence of the incident, the company has actively communicated with relevant US government agencies. The company has formally submitted an application for suspension of execution refusal orders to BIS and submitted supplementary materials in accordance with the BIS guidelines. The company will not give up on the communication dialogue to solve the problem. Efforts will also use all legal means to safeguard their legitimate rights and interests.
The company always regards compliance as the cornerstone of the company's development strategy. Upon learning of the refusal order, the company issued a code of conduct to be followed in the event of an activation denial order. It strictly enforced the EAR control and required all employees to firmly observe the bottom line of compliance. 4. The company carefully rethought, learned lessons, strengthened internal control compliance, and fulfilled the standards of the world's first-rate export control compliance company.
The company has always insisted on independent innovation of core technologies and strengthened R&D investment. In 2017, R&D investment ranked first among domestic A-share listed technology companies. The company’s first-quarter report showed that, without considering the impact of refusal orders, the company achieved operating income of RMB 28.88 billion, 12.18% growth, net profit of RMB 1.687 billion, an increase of 39.01% year-on-year.
After the incident, the company’s nearly 80,000 employees held their positions to express their utmost support to the company through practical actions. At the same time, customers, partners, and suppliers all over the world expressed their current difficulties in different ways. Understanding and support. These are all sources of confidence in our firm belief in doing our utmost to relieve the crisis.
The company will continue to maintain close communication with all parties and do its best to solve the problem in a shorter time.
The long road also has a long destination. The night is long and there is an end. Let us strengthen our confidence and hopefully welcome the dawn!