On Friday, the U.S. Department of Commerce lifted a ban on companies from the U.S. that sell goods to ZTE Corp., allowing the second largest telecom equipment maker in China to continue with its business.

Ban Removal

The Department of Commerce lifted the ban quickly after ZTE deposited $400 million to the United States. This was a part of the agreement that they reached with the U.S. last month, which also included a penalty of $1 billion that ZTE paid in June to the U.S. Treasury.

Wilbur Ross, the U.S. commerce secretary, stated that the department will stay vigilant as it is monitoring ZTE's actions. The Department of Commerce wants to make sure that the company follows all U.S. regulations and laws. He also stated that these terms are the strictest ever announced for such a case.

He added that these terms will allow the Commerce Department to protect the national security of the United States.

Critics of the Ban Removal

Federal lawmakers have clashed with the Trump administration over China-related issues in the past, and this issue was no different. Republican Sen. Marco Rubio criticized the ban removal on Friday.

Rubio stated that ZTE should be forbidden to do business. He said that the U.S. should make no deal with a company that’s associated with the Communist party and the Chinese government. Rubio said that the company engineers its products to steal from and spy on Americans, a practice that caused its phones and telecom equipment to be banned from U.S. military bases earlier this year.

A person familiar with the matter said that a photograph had circulated among ZTE employees through the night. The photograph showed the new chief executive of ZTE and 10 other managers all giving a thumbs-up to the news.

ZTE’s Response

ZTE declined to comment on anything. The company relies on components from the United States for its networking gear and smartphones. After the government announced the ban in April, the company stopped all of its major operations.

U.S. President Donald Trump tweeted in May that he had banned ZTE, but that he would like to see the company continue for the sake of its many employees. However, the government and ZTE had not reached an agreement until now.