2020-04-04_Techlife_News

(Jacob Rumans) #1

Xu said he couldn’t confirm news reports
President Donald Trump might try to extend
controls to block access to foreign-made
products that contain U.S. technology. Xu said
Huawei can find other sources but warned
more pressure might trigger Chinese retaliation
against American companies.


“I think the Chinese government will not just
stand by and watch Huawei be slaughtered,” Xu
said at a news conference in the southern city
of Shenzhen. He said U.S. pressure on foreign
suppliers “will be destructive to the global
technology ecosystem.”


“If the Chinese government followed through
with countermeasures, the impact on the global
industry would be astonishing,” Xu said. “It’s not
only going to be one company, Huawei, that
could be destroyed.”


Huawei, China’s first global tech brand, denies
U.S. accusations the company is controlled
by the ruling Communist Party or facilitates
Chinese spying. The company says it is owned
by the 104,572 members of its 194,000-member
workforce who are Chinese citizens.


Chinese officials say the Trump administration
is abusing national security claims to restrain a
rival to U.S. tech companies.


Last year’s sales rose 19.1% over 2018 to
858.8 billion yuan ($123 billion), in line with
the previous year’s 19.5% gain, the company
reported. Profit increased 5.6% to 62.7 billion
yuan ($9 billion), decelerating from 2018’s
25% jump.


Huawei had to spend heavily to replace
American components in its products and find
new suppliers after Trump on May 16 approved

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