As reported by foreign media, the US Department of Commerce said in a local announcement on Monday that ZTE attempted to circumvent the US ban by establishing a shell company to export telecommunications equipment to the Middle East. The US Department of Justice will restrict American companies (Qualcomm, Intel, etc.) from providing hardware and software support to ZTE. Many of ZTE's equipment (including smart phones) exported to the Middle East (Iran) use chips from Qualcomm and Intel. This violates the ban of the US Department of Commerce on the export of US enterprise technology products to Iran.

This restriction of the U.S. Department of Commerce will seriously affect ZTE's supply chain of communication devices (including smart phones), and a large number of Qualcomm chips (Snapdragon 615, Snapdragon 810, etc.) are used in ZTE's and Nubia's low - and high-end smart phones. Due to this impact, ZTE shares were suspended from the relevant stock exchanges and A-shares yesterday. The US ban on ZTE will take effect on Tuesday, and relevant US departments will continue to investigate the situation of ZTE. The head of the US Department of the Ministry of Commerce of China commented on the matter, saying that China said Strong dissatisfaction And firmly oppose

ZTE issued a statement:

1. As a global company listed in Shenzhen and Hong Kong, ZTE is committed to following international industry practices and the laws and regulations of the host country.

2. ZTE has been actively cooperating with all relevant US agencies in the investigation, and will continue to maintain a cooperative attitude. At the same time, ZTE will maintain communication with all parties concerned and strive to seek solutions to the incident as soon as possible.