Huawei would still face severe restrictions. It could buy US goods for maintenance, it couldn't use those goods to create new products.

A softened ban wouldn't likely ease tensions between China and the US. Huawei has insisted that the de facto ban will create "significant economic harm" for Americans, and China has interpreted it as an escalation of an ongoing trade war. This just shows that the US can't distance itself from Chinese telecom tech as easily as it might like.