The Trump administration said earlier this month that it would only provide exemptions when it can determine there is no national security threat.
Chinese telecoms giant Huawei, which is subject to USA sanctions over concerns about its ties to the government in Beijing, is planning to make major job cuts at its U.S. operations, The Wall Street Journal reported Sunday. Another one added that Huawei's Chinese employees in the United States were being given an option to return home and stay with the company.
Huawei is stated to have about 1,500 employs in the US who mainly sell equipment to rural wireless carriers.
In June though US President Donald Trump announced American firms could sell products to Huawei.
The US Commerce Department to put Huawei on its so-called entity list, which is essentially a USA sales ban on Chinese telecommunications giant Huawei Tech preventing US companies from supplying it with computer chips, software and other components without government approval.
The news from Huawei comes as Trump is under increasing pressure from United States workers who are increasingly discontented with the fall-out from the trade war.
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A Huawei spokesman said at the time that the company had cut USA jobs but did not address whether it was discontinuing United States inverter sales.
Huawei declined to comment to the newspaper.
Separately, Huawei has shut down its U.S. sales of solar inverters, Roth Capital Partners said in a research note in June.
"U.S. companies can sell their equipment to Huawei", Trump said during a news conference following his meeting with Chinese President Xi Jinping at the G-20 summit in Japan. While it looked as though Huawei might be getting a bit of a reprieve from the U.S. ban on sales last month, the Trump administration has indicated that things likely won't change until the two countries resolve their differences.
When requested concerning the steerage from the senior official, a Commerce Division spokesman mentioned the company is "presently evaluating all licenses and figuring out what's within the nation's finest nationwide safety curiosity". Huawei has denied the allegations.