All manufacturers who were saved by Trump step forward – not so fast ZTE
It looked like Trump was going to save ZTE, but now Senate Democrats and Republicans have joined forces to stop that by adding language to the National Defense Authorization Act that would reintroduce the ban.
I’m conflicted about the ZTE mess from what I know of it. Seems that greedy bastards in the company were greedy bastards, violated embargoes, got their money, and now all of ZTE’s employees (74,000+ all over the world,) customers, and suppliers will be paying the price.
Seems a little like tossing the top tier out and revoking monies earned might be the way to go with this punitively. Maybe a flame thrower.
The suppliers, which include Intel and Qualcomm, US-based companies, will probably suffer for a bit as ZTE goes away and the remaining smartphone companies realize they’re not ready to produce a quarter of all phones sold in the US overnight.
I have a feeling the ensuing supply chain glut is going to suck somewhere down the line for someone.
But that all sort of depends on if the House goes along with the measure, and then whether Trump signs it or vetoes it, and if vetoed whether enough legislators are willing to fight.
Shares of ConAgra, owners of Orville Redenbacher popcorn brands closed up eleven tenths of a percent on the news.