Chip supplier asks the U.S. to allow large shipment to Huawei

Xilinx a supplier of key component used in mobile phone networks said its financial results were hurt by the US government’s action against Huawei and it has asked for permission to resume broader shipments to its Chinese customer reported Bloomberg.

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Xilinx’s earning report also highlights it’s business issues originated due to the trade disputes between China and the US. Although, Xilinx has previously resumed some of the sales to Huawei but it’s not enough to hold its share market up. Therefore the company is seeking to add more supplies in the shipment.

“We determined that we could lawfully resume shipping select products,” said Victor Peng, Xilinx Chief Executive Officer. “What we’ve applied for is for some additional products but certainly not all of them.

Back in May, the US Commerce Department added Huawei into a trade blacklist, which bars the company from purchasing U.S. technologies required to produce smartphones and other products.

To comply with US trade ban rules companies including Intel, Qualcomm, Broadcom, Xilinx and more stopped their current business with the Chinese tech giant, which costs them a big sum of money.

Later in June, U.S. President Donal Trump announced relief in the trade restriction for Huawei by allowing to resume some of the tech supplies, which the Commerce Department is preparing to apply for suppliers who wish to do business with Huawei.