London/Tokyo/Beijing: Strong repercussions are being felt, at the international level, of the announcement made by President Trump to Black List the Chinese company Huawei. Following the decision, five US companies, including Google, have declared severing all ties with Huawei. Now, companies in the United Kingdom and Japan also have decided to stop all dealings with Huawei. Senior officials at Huawei have confirmed that many companies in the world, have started reassessing their relations with Huawei. At the same time, Huawei founder Ren Zhengfeihas openly threatened the United States, saying that the United States was underestimating the Huawei powers.
Only last week, US President Trump declared an emergency, against the foreign telecom companies. The investments in the US by the Chinese telecom companies, their increasing influence and the perceived threat to the national security, because of this, was the background for the declaration of the emergency. Subsequently, the US trade department announced a Trade Black List that includes 70 companies, including the Chinese company Huawei.
Within a few days from the announcement of the Black List, leading technology companies from the United States including Google and Intel announced severing of ties, with the Chinese company Huawei. A bill to support the US companies severing their ties with the Chinese company Huawei has been presented in the US Congress. The bill envisages a Supply Chain Trust Fund, to provide special assistance to change the technology of the Chinese companies, in the telecom sector. Sources informed that a proposal to form an independent policy, to safeguard the US 5G network from security threats also has been presented to the US Congress.
Repercussions of the Trump decision and the announcements by the US companies are being felt at the international level. Following the United States, British and Japanese companies also have decided to stop dealings with Huawei. The British company, Arm manufacturing Semiconductor Chips, has announced that all the possible transactions and supply of its products to Huawei will be stopped. British telecom service providers EE and Vodafone have declared that the Huawei smartphones will not be a part of their service offerings.
The Japanese companies KDDI and Y mobile from also have clarified that the Huawei smartphones will not be sold by them, in the market. The indications are that these include the 5G smartphone made by Huawei. The Japanese government has already announced a ban on Huawei and ZTE. As per sources, European countries and Canada also are reassessing their relations with Huawei company. All these developments have delivered a massive blow to the ambitions of Huawei and the Chinese government, to dominate the 5G technology sector.
Ren Zhengfei, the founder of Huawei and a former official in the Chinese military, has issued an open threat to the United States over the action initiated against the company. Zhengfei warned that the United States has made a mistake of banning Huawei and said that the United States is unaware of the power of Huawei. At the same time, he also bragged that no company in the world could affect the position of Huawei in the 5G technology sector and the world will see the influence of the company, in the next five years.
Meanwhile, the Trump administration has indicated initiating action against the Chinese companies operating in the CCTV camera sector, following Huawei. The sources in the Trump administration have indicated that the orders for this action will be issued in a month.