The U.S. Commerce Department will reportedly extend a reprieve given to Huawei Technologies that permits the Chinese firm to buy supplies from U.S. companies so that it can service existing customers.
The “temporary general license” will be extended for Huawei for 90 days, Reuters reports citing unnamed sources.
Commerce initially allowed Huawei to purchase some American-made goods in May shortly after blacklisting the company in a move aimed at minimizing disruption for its customers, many of which operate networks in rural America.
An extension will renew an agreement set to lapse on August 19, continuing the Chinese company’s ability to maintain existing telecommunications networks and provide software updates to Huawei handsets.
The situation surrounding the license remains fluid, according to the report.
U.S. President Donald Trump and Chinese President Xi Jinping are expected to discuss Huawei in a call this weekend.
The U.S. government blacklisted Huawei alleging the Chinese company is involved in activities contrary to national security or foreign policy interests.
Out of $70 billion that Huawei spent buying components in 2018, some $11 billion went to U.S. firms including Qualcomm, Intel and Micron Technology.