Things may be looking good for Huawei has some US companies have resumed shipping products to the Chinese company. US chipmaker, Micron is said to be one of the top firms that have begun shipping goods to Huawei.
The chip manufacturer is able to do this without breaking any law thanks to the ban which sanctions only goods that contain 25% or more of components or materials sourced from the US. It also doesn’t affect goods that are not manufactured in the US or those not labeled as “Made in the US”.
Intel and some other market leaders have also been reported to have resumed shipping products to Huawei.
Mr. Sanjay Mehrotra who is the top official at Micron warned investors that there is “ongoing uncertainty” with respect to Huawei’s predicament, so they can’t “predict the volumes or duration” they will be able to continue shipping products to Huawei.
He added that the Huawei ban cost the company 200 million dollars in revenue for its fiscal third quarter which ended on May 30 as the Chinese giant is its biggest client. The ban is expected to affect over a thousand American companies too.
Micron’s shares rose by as much as 13.8% today following the news that it has resumed shipping to Huawei.
The Huawei-US saga is still on and is part of a trade war between the US and the Chinese governments.
Micron used to own the storage brand Lexar before it was acquired by Longsys, a Chinese-based company. Early this year, Micron announced the first 1TB MicroSD card in the world.
