There is a possibility that China’s Huawei Technologies Co. Ltd. could get more reprieve on its U.S ban as the bilateral trade negotiation between the U.S and China has just ended in Shanghai.
There is no information on the outcome of the trade talks but it is expected that details would be released by both the White House and the Chinese Foreign Ministry.
Amongst other things, the trade talks was expected to deescalate the apparent tariff war between China and the U.S. as well as sanctions imposed on China’s Huawei Technologies Co. Ltd.
It would be recalled that the U.S Department of Commerce placed Huawei, the world’s largest telecoms equipment maker in its ‘entity list’, a decision that barred the telecoms giant from doing business with American companies.
However, there are signs that the negotiations did not go well because the talks ended abruptly, a signal to the global markets that the tariff war between China and the U.S could last longer. This is a sign that short and medium-term volatility will get an extension.