China Responds To Huawei Ban

Photo Credit: Emilio Naranjo / EPA/Shutterstock

China has responded to Huawei being placed on the “entity list” with a new blacklist of their own.

The Trump administration placed a ban on the sale of all Huawei products inside the US, as well as banning US companies from selling them any technology.

The move to effectively blacklist Huawei was a big deal for the tech/telecom giant. As it stands right now, Huawei cannot continue its business in the US beyond the 90-day extension granted to them on may 20th. Furthermore, Huawei cannot purchase tech made in the US, which includes chips and components made by US companies, as well as the software offered by Android and Windows. As a result of all this, many US companies have already cut ties with Huawei temporarily, including ARM, which provides designs for silicon chips used in Huawei phones.

The end result of these moves is not yet clear, but China has already responded with a blacklist of their own. The new Chinese blacklist is being refereed to as the “unreliable entity list.” The announcement last Friday revealed that “Foreign enterprises, organizations or individuals that do not comply with market rules, deviate from a contract’s spirit or impose blockades or stop supplies to Chinese enterprises for non-commercial purposes, and seriously damage the legitimate rights and interests of Chinese enterprises, will be included on a list of ‘unreliable entities’,” according to Chinese Commerce Ministry Spokesman Gao Feng.

While no announcements have been made yet, there are many suspicions surrounding who will receive the brunt of this retaliation. The spokesman said there are several US companies that are under consideration, but that these announcements will be made later. It is widely suspected that Apple will be the target of any serious retaliatory measures.

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