WASHINGTON _ The Trump administration is putting the finishing touches on a deal with ZTE Corp. that would allow the Chinese telecom-equipment maker to resume purchases from its American suppliers, according to two people familiar with the matter.
The tentative agreement is under review by both U.S. and Chinese officials and could fall apart under final reviews, according to one of the people, who spoke on condition of anonymity to discuss internal deliberations. Reuters earlier on Tuesday reported that ZTE has signed an agreement in principle that would allow the crippled company to resume operations.
A U.S. Commerce Department spokesman said no definitive agreement has been signed by the two parties.
The Commerce Department blocked ZTE's access to U.S. suppliers in April, saying the company violated a 2017 sanctions settlement related to trading with Iran and North Korea and then lied about the violations. The company announced it was shutting down just weeks after the ban was announced.
President Donald Trump reversed course last month, saying he was working with Chinese President Xi Jinping to keep the firm in business.
Trump later said his administration would allow the company to stay in business after paying a $1.3 billion fine, changing its management and board and providing "high-level security guarantees." Both Republican and Democratic lawmakers condemned the reversal, saying the move would undermine national security.
