U.S. Department of Commerce lifts ZTE ban still needs to determine some necessary details

Reuters, June 28 - A spokesman for the US Department of Commerce said on Thursday that some details needed to cancel the ZTE ban have not yet been completed, although an official said last week that he will complete the final step in 'a matter of days'.

'The Ministry of Commerce continues to work with ZTE to advance this work,' said a spokesperson for the US Department of Commerce. He declined to comment on the delay.

China's second largest communications equipment manufacturer ZTE did not respond to requests for comment.

In the settlement agreement reached on June 7, ZTE agreed to pay an extra US$1 billion in fines, and deposited US$400 million in a escrow account to be re-approved to purchase US-made components.

If ZTE violates the latest settlement agreement, the US government will be able to obtain funds from the escrow account. The settlement agreement requires the company to change the board and management, and many other conditions.

A US Department of Commerce spokesman said on Thursday that the Ministry of Commerce is still working with ZTE to complete the $400 million fund custody and ban.

Some members of the US Congress have questioned the settlement agreement on the grounds that ZTE and the Chinese government are related to each other, calling it a national security threat. The US issued a ban on ZTE, during the Sino-US trade negotiations.

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