ZTE appointed Lixin Cheng – president of its North American devices unit and CEO of ZTE USA since 2010 – to lead its mobile phone business globally, Reuters reported.

The news comes not long after the Chinese vendor was seen to bounce back in Q1 2017 with a sharp rise in net profit and strong growth in revenue after reporting a loss of CNY2.36 billion ($343 million) in 2016 due to an $892 million fine by the US government.

In March, ZTE appointed former president Yin Yimin as chairman following the resignation of predecessor Zhao Xianming.

The company said the reshuffle would “enhance corporate governance” and separate the role of chairman from the CEO.

There have been several senior management changes at the company since March, as part of an overhaul of top management made in the wake of US trade sanctions.

ZTE is the only Chinese vendor with a significant US presence, being the fourth largest smartphone vendor in the country, Reuters said. Jefferies analyst Edison Lee told the news outlet: “The US is the strongest market for ZTE on handset, so it makes sense to make [Cheng] to lead the business globally.”

Lee said ZTE will probably continue to focus on Europe and the US instead of China, where it is “too expensive and too late” for ZTE to battle it out with rivals, but expects no margin improvements of its handset business in the next three years as a result of rising competition and component costs.