9 ms·

How exactly does US sanctions restrict/constrain a Chinese or any other nationality company from doing business with Iran? Do China have sanctions on Iran?

meragrin_ 6y ago
Foreign companies must agree to those sanctions/restrictions prior to the purchase of equipment with export restrictions.
- billfruit 6y ago
  But is it a criminal matter for which individuals will get arrested? That is, the agreement is agreed to at risk of what? But really though I doubt it is hardly enforceable, if you look to buy lot of high tech equipment is available to buy, without much of paperwork. This case seems to be about HP computers. I doubt it is normally feasibile for any one to keep track of sales and reselling world over.
  - TechBro8615 6y ago
    IANAL, but my understanding is that sanctions are generally enforced by restricting access to the US financial system (banks and such) for companies that violate them. In some cases there may be criminal repercussions as well.
- ShorsHammer 6y ago
  Not sure if that's entirely correct. I don't remember seeing that clause the last time we bought some servers off Ebay.
  - mthoms 6y ago
    Are you in one of the countries facing export restrictions?
  - ganoushoreilly 6y ago
    Ebay has clear clauses within their TOS that the seller is responsible for making sure the purchases complies. https://www.ebay.com/help/policies/prohibited-restricted-items/international-trading-policy?id=4338 https://www.ebay.com/help/policies/prohibited-restricted-ite...
jorblumesea 6y ago
The article states that the sold equipment was from the US, and subject to US export restrictions. They [Huawei] realized this and tried to cover it up by creating pseudo-affiliates to mask their involvement.
deleted 6y ago
[deleted]
wil421 6y ago
They resold American servers to Iran not Chinese (Huawei) products.
rgbrenner 6y ago
Meng was arrested for fraud for the claims she made to banks as part of the sale of HP servers to Iran. She knew it was illegal, so she lied to cover it up so the banks would transfer money to Hauwei. This is the US.. fraud is a crime. If you or me went into a bank and lied to get a loan, you would get arrested too. Meng wasn't arrested for selling goods to Iran. The truth is Huawei is free to sell to Iran. But action have consequences... and if Huawei wants to sell to Iran, the US isn't going to help them do it. They can't use our banks, buy our equipment, or sell their goods here. They can make a choice: do business with Iran or do business with the US. That's their free choice to make. Huawei is upset because they want to sell to Iran, but still do business here. They don't like the consequences of their actions. They want to force the US to engage in commerce that we've decided we don't want to engage in.
- chrischen 6y ago
  I think that makes little practical difference. It’s like pointing a gun to one’s head and claiming they have a choice between getting shot or doing what they say.
  - rgbrenner 6y ago
    Why doesn't the US have the freedom to choose what commerce they want to engage in? You have that freedom: if a company does something you don't like, you go to their competitor. You would (rightly) be outraged if the cops showed up and forced you to spend money at a company you hated.
    - drapred7 6y ago
      Why doesnt china have the freedom to choose what commerce they want to engage in? If the US didnt want the chinese selling HP servers to Iran, they should not have sold them to China. If China jailed Tim Cook for selling iPhones to Taiwan that were intended for export to Europe, the US would rightly flip out.
      - ganoushoreilly 6y ago

meragrin_ 6y ago

Foreign companies must agree to those sanctions/restrictions prior to the purchase of equipment with export restrictions.

billfruit 6y ago
But is it a criminal matter for which individuals will get arrested? That is, the agreement is agreed to at risk of what? But really though I doubt it is hardly enforceable, if you look to buy lot of high tech equipment is available to buy, without much of paperwork. This case seems to be about HP computers. I doubt it is normally feasibile for any one to keep track of sales and reselling world over.
- TechBro8615 6y ago
  IANAL, but my understanding is that sanctions are generally enforced by restricting access to the US financial system (banks and such) for companies that violate them. In some cases there may be criminal repercussions as well.
ShorsHammer 6y ago
Not sure if that's entirely correct. I don't remember seeing that clause the last time we bought some servers off Ebay.
- mthoms 6y ago
  Are you in one of the countries facing export restrictions?
- ganoushoreilly 6y ago
  Ebay has clear clauses within their TOS that the seller is responsible for making sure the purchases complies. https://www.ebay.com/help/policies/prohibited-restricted-items/international-trading-policy?id=4338 https://www.ebay.com/help/policies/prohibited-restricted-ite...

jorblumesea 6y ago

The article states that the sold equipment was from the US, and subject to US export restrictions. They [Huawei] realized this and tried to cover it up by creating pseudo-affiliates to mask their involvement.

deleted 6y ago

[deleted]

wil421 6y ago

They resold American servers to Iran not Chinese (Huawei) products.

rgbrenner 6y ago

Meng was arrested for fraud for the claims she made to banks as part of the sale of HP servers to Iran. She knew it was illegal, so she lied to cover it up so the banks would transfer money to Hauwei. This is the US.. fraud is a crime. If you or me went into a bank and lied to get a loan, you would get arrested too. Meng wasn't arrested for selling goods to Iran. The truth is Huawei is free to sell to Iran. But action have consequences... and if Huawei wants to sell to Iran, the US isn't going to help them do it. They can't use our banks, buy our equipment, or sell their goods here. They can make a choice: do business with Iran or do business with the US. That's their free choice to make. Huawei is upset because they want to sell to Iran, but still do business here. They don't like the consequences of their actions. They want to force the US to engage in commerce that we've decided we don't want to engage in.

chrischen 6y ago
I think that makes little practical difference. It’s like pointing a gun to one’s head and claiming they have a choice between getting shot or doing what they say.
- rgbrenner 6y ago
  Why doesn't the US have the freedom to choose what commerce they want to engage in? You have that freedom: if a company does something you don't like, you go to their competitor. You would (rightly) be outraged if the cops showed up and forced you to spend money at a company you hated.
  - drapred7 6y ago
    Why doesnt china have the freedom to choose what commerce they want to engage in? If the US didnt want the chinese selling HP servers to Iran, they should not have sold them to China. If China jailed Tim Cook for selling iPhones to Taiwan that were intended for export to Europe, the US would rightly flip out.
    - ganoushoreilly 6y ago