"While we lifted the ban on ZTE, the Department will remain vigilant as we closely monitor ZTE's actions to ensure compliance with all USA laws and regulations", Commerce Secretary Wilbur Ross said in a statement.
The US Commerce Department has lifted an export ban that blocked Chinese mobile giant ZTE from doing business with US companies.
And the Trump administration has yet to resolve other issues in its trade war with China.
The senators not only requests that the penalties be reinstated, but that the USA henceforth prohibit all government and military personnel from "using or procuring equipment from, or entering into contracts with ZTE or Huawei", because of the potential espionage threat which the companies pose.
The company had made false statements about disciplining 35 employees involved with illegally shipping US -origin goods to Iran and North Korea, Commerce Department officials said.
The letter notes the serious threat that the operations of Chinese telecom companies, and their agents represent to the national security of the United States of America. The ban was imposed in April after ZTE broke an agreement it reached after pleading guilty in United States federal court previous year for illegally shipping U.S. goods and technology to Iran, in violation of USA sanctions. ZTE pleaded guilty past year over the sanctions violations.
We write to express our strong support for measures in the Senate-passed Fiscal Year 2019 National Defense Authorization Act (FY 2019 NDAA) that would reinstate USA government penalties against ZTE, a Chinese state-directed telecommunications company, and modernize the Committee on Foreign Investment in the United States (CFIUS). Last month, the Senate voted unanimously to reinstate the ban on the company citing national security concerns.
The ban stripped ZTE of its access to crucial US -based suppliers, including Qualcomm.
A group of six lawmakers sent a letter on July 12 to the Senate and House Armed Services Committee which is preparing the NDAA FY2019 Conference Report before a final vote to confirm the annual defense plan and spending bill. He said ZTE buys parts from USA companies and that the deal was "also reflective of the larger trade deal we are negotiating with China and my personal relationship with President Xi".