ZTE has revised its first-quarter earnings report to take into account the effects of the trade war between the US and China — from a $250 million profit to a $793 million loss.
Back in April, a ban was imposed on ZTE, preventing the company from sourcing vital components from US electronics firms. The company was able to strike a deal with the Trump administration to reverse the ban, but was ordered to pay a $1 billion fine and put a further $400 million into an escrow account, among other demands.
The company has estimated it will suffer net losses of between 7 and 9 billion CNY ($1.03 billion – $1.32 billion) in the first half of 2018, versus a net profit of 2.29 billion CNY ($336 million) during the same period in 2017.
