The Donald Trump led U.S. Administration this year, imposed a ban on all Huawei cellphones and component sales and also warned US-based companies and its allies to avoid doing business with Huawei as the Chinese company spies on other governments using its equipment at the request of the Chinese government.
Tensions between the US and the Chinese tech giant have escalated since the arrest of Huawei’s chief financial officer, Meng Wanzhou, daughter of the company’s CEO, Ren Zhengfei, at the request of the US authorities.
Meng was accused of trying to evade U.S. sanctions on Iran by trying to sell equipment to the country. Since then, coupled with the US trade war on China, the US has imposed business restrictions on the Chinese giant.
“We never thought that the US’s determination to attack Huawei would be so strong, so firm,” Ren says Monday during a panel discussion at company headquarters in Shenzhen, stating Huawei’s sales revenue for the next two years will be about $100 billion — down from the previous target he made in February of $125 billion in 2019.
“…We cannot get components supply, cannot participate in many international organisations, cannot work closely with many universities, cannot use anything with US components, and cannot even establish a connection with networks that use such components.
“The company’s current situation is not caused by American businesses, but rather by certain politicians’ different perspectives,” Ren says while comparing the tech giant’s current state to a ‘badly damaged plane.’
“I think both sides will suffer. No one will win.”
In March, Tech giant, Huawei filed a lawsuit in the US challenging the constitutionality of a national security law which prevents the US government and its contractors from using Huawei equipment.
16 thoughts on “Huawei announces expected loss of $30 billion in 2 years from U.S. ban”