Billions Worth of American Tech Licenses Approved for Blacklisted Chinese Companies

Suppliers to two blacklisted Chinese companies-telecom giant Huawei and China's top chipmaker SMIC-were approved to receive billions of dollars worth of licenses for U.S. technologies shipments between November and April, documents released by the House Committee on Foreign Affairs on Oct. 21 detail.

Some 301 licenses worth a total of $103 billion were approved for suppliers to sell goods to Huawei and SMIC, according to the documents prepared by the Commerce Department.

Their addition means that American companies seeking to sell to them must apply for a license with the department.

Further, the department wrote that the aggregate numbers of licenses noted in the documents do not necessarily reflect the real number of licenses that were utilized for exports to the two companies.

This is because the documents do not include those licenses that were earmarked for denial but had not yet been denied, as well as the fact that approved licenses do not correspond directly to actual shipments made.

The Commerce Department stated that, generally, about half of such licenses are utilized, and warned that the release of the data to the public would not improve efforts to understand the effectiveness of U.S.-China trade policy.

Of the 113 licenses approved for Huawei during the period, 80 were for non-sensitive items that only required a license because the recipient was blacklisted.

https://www.theepochtimes.com/billions-worth-of-american-tech-licenses-approved-for-blacklisted-chinese-companies_4062081.html