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You do not need the phone to trade with them but it does make it happen faster if you do and even then you do not need a phone to do it as it's available with a pc and emulator.
Under normal circumstances, it is very possible to trade with friends without the autnenticator. And if you've been friends for more than a year then the hold time drops quite a bit, down to 1 day.
https://winauth.com/download/
https://youtu.be/bMonPArfTQg
If you have no phone number linked it will not ask for confirmation on the phone - it will ask for confirmation via email however. It sounds like he linked a number and forgot or someone else linked it on his account. What does it say on the account page under 'ACCOUNT SECURITY' https://store.steampowered.com/account/
Trades would be held for 1 day if you have been friends for a year or more.
This is why this crap needs to go away, there should be no 'security' thing to trade between friends list. I can understand throughout the market place with strangers but this is ridicuious and steam goods are non-monetary you can't trade them for actual real cash they goto the steam wallet which is used to purchase goods throughout steam. A simple trade should not be such a hassle. I've heard of winauth it's an emulated program which 'acts' like the steam app but the actual thing. He's not going to use that.
I also looked the trade isn't pending anymore and the trade never happened.