03:19 GMT +321 November 2018
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    This picture taken on May 3, 2018 shows the ZTE logo on an office building in Shanghai

    Saving Private ZTE: Trump Moves to Rescue Victim of US-China Trade War

    © AFP 2018 / Johannes EISELE
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    The leaders of the United States and China move to provide reprieve to a major Chinese company that fell victim to US sanctions, as the two countries attempt to resolve their trade disputes via negotiations.

    US President Donald Trump has announced that he and China’s President Xi Jinping are working on finding a way for the Chinese telecommunications equipment giant ZTE "to get back into business" after the company found itself in a dire situation amid the ongoing economic standoff between the two countries.

    In his May 13 tweet, Trump lamented that "too many jobs in China" were lost already, adding that he already instructed the US Department of Commerce to handle the situation.

    ​The US president also remarked that past negotiations between Washington and China "have been so one sided in favor of China, for so many years, that it is hard for them to make a deal that benefits both countries," adding however that "it will all work out."

    ​The Chinese government praised Trump’s move, which comes ahead of high-level trade talks between the two countries this week.

    "We highly commend the positive remark from the US on the ZTE issue and now we are communicating with the US side on the details," Chinese Foreign Ministry spokesperson Lu Kang told a regular press briefing.

    Chinese Foreign Minister Wang Yi, right, and Iranian Foreign Minister Mohammad Javad Zarif, left, attend a bilateral meeting Tuesday, Sept. 15, 2015 in Beijing, China
    © AP Photo / Lintao Zhang/Pool Photo
    Last week ZTE announced the cessation of all of its major operations due to US export sanctions, which brought the company’s main businesses to a standstill.

    Earlier in April the US Department of Commerce blocked American companies from selling parts or providing services to ZTE until 2025, as Washington accused the company of violating US sanctions against Iran and North Korea.

    READ MORE: 'Soft Bluff' vs 'Hard Bluff': Unexpected Fruits of US-Chinese Trade War

    The US Department of Defense also declared that it would ban the sale of phones manufactured by ZTE and Huawei at its military bases around the world due to concerns that Beijing could hack into phones for intelligence-gathering purposes.

    The Chinese companies, however, denied any wrongdoing.

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    Tags:
    rescue, economic sanctions, US Department of Commerce, ZTE, Donald Trump, United States, China
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