Aug. 19 (UPI) -- Commerce Secretary Wilbur Ross said Monday that penalties on Huawei Technologies will be delayed until Nov. 19 so rural companies have more time to find alternative suppliers.
China-based Huawei faces scrutiny from President Donald Trump's administration out of concern that the telecom company installs spying equipment on its phones and network equipment, making it a national security risk. This is the second time the Trump administration has delayed putting the company on its "Entity List," which makes it difficult for Huawei to do business with U.S. companies.
"It's another 90 days for the U.S. telecom companies," Ross said. "Some of the rural companies are dependent on Huawei. So we're giving them a little more time to wean themselves off. But no specific licenses are being granted for anything."
Trump said Sunday a reprieve wasn't likely.
"At this moment, it looks much more like we're not going to do business," Trump said.
In all, more than 100 Huawei subsidiaries have been placed on the Entity List, which makes it harder for the Chinese to circumvent the sanctions.
Huawei has been anticipating being put on the black list for months now, announcing its own operating system earlier this month that will connect phones to smart Internet of Things devices, including smart televisions.