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China warns of 'necessary measures' to defend Huawei

By AFP - May 17,2020 - Last updated at May 17,2020

People walk past a Huawei shop in Beijing, on April 22 (AFP photo)

BEIJING — China on Sunday warned it would take "necessary measures" to protect Huawei and other firms after the United States announced new restrictions on the Chinese company purchases of semiconductor technology.

      Washington on Friday ramped up sanctions on the company at the centre of US spying allegations, cutting Huawei off from global chipmakers.

      "China will take all necessary measures to resolutely protect the legitimate rights and interests of Chinese firms," the Ministry of Commerce said on Sunday.

      "China urges the US to immediately cease its wrong actions," the ministry added, calling the restrictions a "serious threat to global supply chains."

      The threat of retaliation comes a day after Beijing condemned the US move as "unreasonable suppression of Huawei and Chinese enterprises."

      The US Commerce Department said on Friday its new sanctions would "narrowly and strategically target Huawei's acquisition of semiconductors that are the direct product of certain US software and technology."

      US officials have repeatedly accused the Chinese technology giant of stealing American trade secrets and aiding China's espionage efforts, ramping up tensions with the rival superpower while both sides were involved in a long-simmering trade war. 

      As a result, Huawei has increasingly relied on domestically manufactured technology, but the latest rules will also ban foreign firms that use US technology from shipping semiconductors to Huawei without US permission.

      The new restrictions will cut off Huawei's access to one of its major suppliers, the Taiwanese chipmaker TSMC, which also manufactures chips for Apple and other tech firms. 

      Huawei has not yet responded to requests for comment.


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