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This article is more than 2 years old
This article is more than 2 years old
The Chinese state-backed company Huawei has been allowed to participate in a multibillion-dollar private equity fund in a sign that the US no longer wants to limit China’s tech sector.
The confirmation by the US Committee on Foreign Investment (CFIUS) of an approval for the fund by the Trump administration “is a major win for Huawei”, the company said.
CFIUS, which reviews foreign investments for possible national security risks, had previously blocked the firm’s participation in a fund called TPG Growth in 2017. The company said it was “pleased” with its success.
Huawei spokesman, James Zhang, said: “We’re pleased with CFIUS’s decision and that it didn’t place any restrictions on our business.
“We welcome all the investors who are looking for the right strategic partners in the Chinese market.”
The CFIUS ruling comes two days after Trump said the US would no longer impose sanctions on Chinese telecoms firm ZTE.
Huawei said on Thursday the Trump administration’s move was “positive for the US-China relationship” and “gives ZTE new opportunity to continue operating in the US market”.
Last month ZTE was hit with a severe export ban and put under intense pressure from the Trump administration to hand over user data from its servers.
ZTE, which is the world’s second-largest telecoms equipment maker, has denied allegations of violating US sanctions and said it would fight the ban."Gorilla glue" is a term used to describe an adhesive used in