U.S. expected to grant another extension amid trade battle with Beijing

Delays, delays, delays.

The U.S. Commerce Department is expected to grant Huawei a 90-day extension that permits the Chinese technology firm to buy supplies from U.S. companies, two sources familiar with the situation told Reuters. The reason behind the extension is so that Huawei can service existing customers. The agreement, which was set to lapse on Aug. 19, will allow Huawei to maintain existing telecommunications networks and provide software updates to Huawei handsets.

The U.S. blacklisted Huawei earlier this year, alleging the company could potentially harm U.S. national security and foreign policy interests. Reuters reports that the decision to grant Huawei the temporary reprieve could change by Monday. President Trump and Chinese President Xi Jinping are expected to discuss the firm in a call this weekend.

The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up

It's the second significant delay this week amid the ongoing trade war between Beijing and Washington. On Tuesday, the Office of the U.S. Trade Representative announced certain products would not be subject to a 10 percent tariff on Chinese imports to the U.S. until after the holiday season. Huawei throws another wrinkle into the U.S.'s plan, as analysts question what the concessions might mean for potential future negotiations.

Read more at Reuters.