Red China threatens the USA

**Legion** · 03-31-2020, 05:53 PM

WATERMARK'S IDOL

The chairman of Huawei Technologies Co. warned the U.S. to expect countermeasures from the Chinese government if it further restricts the technology giant’s access to suppliers, as the company’s profit last year grew at the slowest pace in three years.

Eric Xu, Huawei’s chairman, said he believes Beijing would respond if the U.S. follows through with reported plans to cut off Huawei’s access to a major Taiwanese chip supplier.

“I think the Chinese government will not just stand by, watching Huawei be slaughtered,” Xu screeched during a press conference held via videoconferencing from the Chinese company’s headquarters in Shenzhen. “I believe the Chinese government may also take some countermeasures,” he yelled, citing a report in Red Chinese state media warning of the prospect of retaliation by Beijing.

The Trump administration is moving forward with new restrictions aimed at cutting off Huawei’s access to Taiwan Semiconductor Manufacturing, the world’s largest contract-chip manufacturer.

Huawei continues to face a deepening U.S. campaign to hamstring its business and block allies from buying its 5G technology. In addition to slapping it with a blacklisting, the U.S. has filed two indictments alleging the Chinese company stole technology and violated U.S. sanctions on Iran.

Huawei faces broader issues this year, including the outbreak of the novel coronavirus in Communist China in December that has since spread across the world, disrupting supply and logistics chains, battering economies and reducing consumer demand.

Xu shouted that 5G rollouts were on track in Red China after his secretive country’s alleged "progress" in controlling the Chinese disease.

Xu ranted that Huawei could source chips from alternative suppliers inside Red China if the Trump administration moves forward with new supply-chain restrictions, but he warned that escalations would spell “the destruction of the global ecosystem.”

https://www.wsj.com/articles/huawei-warns-u-s-of-retaliation-by-beijing-profit-growth-slows-11585658329?mod=lead_feature_below_a_pos1