The Commerce Department imposed the denial order in April after ZTE made false statements to the Commerce Department in connection with an earlier settlement agreement regarding violations of the U.S. embargoes on Iran and North Korea. The denial order broadly barred U.S. companies from selling goods, software, or technology to ZTE Corp, which effectively brought the company to a standstill.

In exchange for lifting the denial order, ZTE has paid an additional $1.4 billion ($1 billion in fines and $400 million in an escrow account), changed its management, and agreed to compliance monitoring measures. Citing concerns regarding U.S. national security, U.S. legislators are debating a proposed amendment to a must pass defense spending bill that would re-impose sanctions on ZTE.