The US Department of commerce has pulled a potential regulation. Sources say the rule would have made it more difficult for us companies to sell to Huawei. Pentagon and Treasury Department protested the rule.

Us companies can sell chips or other electronic goods to Huawei from their overseas locations without an export license. The goods are made with less than 25 percent of materials or patents that are n’t made by US companies.

The Commerce Department had proposed a new rule to the office of management and budget (OMB) that would have lowered that percentage to 10 percent. The Pentagon objected because it believed it would hurt us companies by limiting how much they could sell to Huawei.

President Trump declared an executive order last May that barred American businesses from working with the company without a license from the US government. Google ca n’t license Android to Huawei to use on phones.