ZTE of China Could Face Over $1 Billion Payment to the US Due to Foreign Bribery Claims: Report
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 11 2025
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Should l Buy ?
Source: SeekingAlpha
ZTE's Legal Troubles: ZTE Corp may pay over $1 billion to the U.S. government to settle allegations of foreign bribery, following years of investigations into its practices to secure telecom contracts.
Stock Market Reaction: Following the news, ZTE's shares fell significantly, with a drop of more than 12% in Hong Kong and a 10% limit decline in Shenzhen.
Previous Penalties: The company has already paid around $2 billion in penalties to U.S. authorities for export violations and continues to face scrutiny under the Foreign Corrupt Practices Act.
U.S. Supplier Relations: ZTE relies on American suppliers like Qualcomm, Intel, and AMD for components in its products, which may be affected by ongoing legal issues.
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About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
