A few days ago, we informed you about the end of ZTE's complications with the United States Department of Commerce. Well, this is more official than ever since the firm has officially announced the lifting of the ban in which ZTE was prohibited from doing business with US companies. This will now allow the Chinese company, which is one of the main telecommunications equipment manufacturers in this territory, to resume its main commercial operations in this country.
As part of the agreement, the company has deposited $ 400 million into an escrow account. The escrow agreement is part of another $ 1.400 billion deal it reached with the nation's Department of Commerce last month to regain access to US providers whose phones depend on their components.
The new agreement also includes a $ 1.000 billion fine. that ZTE paid the US Treasury last month and the $ 400 million in an escrow account guarded by the United States. Notably, the government could take the amount of the account into escrow if ZTE violates the latest agreement. What's more, The Chinese company was required to change its board of directors and management within 30 days. You must also hire an external compliance supervisor selected by the Department of Commerce.
Lastly, It was agreed to allow the US government to visit the company's facilities without restrictions to verify that US components are being used as claimed by the company. In addition, you must publish the details of the US components of your products on your website in Chinese and English.