The government of China is reportedly unhappy and dismayed over the sanctions imposed by the US on ZTE. The mobile technology giant from the Asian country received trade restrictions from the United States' Commerce Department after it alleged violated export sanctions to Iran.

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"The US move will severely impair normal commercial activities of the Chinese firms," China's Ministry of Commerce disclosed in a statement on Tuesday, shared by China Daily. "China will continue to engage with the US side on the issue."

Prior to the release of its official statement, the MOC of China warned on Monday that the US must revoke its decision against ZTE so that bilateral ties and economic cooperation would not be affected.

The restrictions placed on the Chinese telecommunication equipment producer is bad news for the company's American technology suppliers and vendors, according to Handel Jones, a consultant at International Business Strategies Inc.

"It's going to have a significant impact on US companies that really want to be selling into China," Jones noted. "This is a catalyst for significant change."

The restrictions on ZTE would effectively prevent American companies from selling their products -  such as semiconductors and software products - to the Chinese brand. This has led to some concerns. However, experts have pointed out that ZTE is not big enough to create a financial blow to US companies.

Tagschina, US, ZTE