China promises to protect its firms after US adds Huawei on Entity List
Print Edition
CHINA yesterday slammed a decision by the US government to put telecom giant Huawei on a blacklist and said it will take steps to protect its companies.
China is strongly against other countries imposing unilateral sanctions on Chinese entities, a commerce ministry spokesman said, stressing that the United States should avoid further damaging Sino-US trade relations.
The US Commerce Department said on Wednesday it was adding Huawei Technologies Co and 70 affiliates to its so-called “Entity List” in a move that bans the Chinese company from acquiring components and technology from US firms without prior US government approval.
US President Donald Trump separately on Wednesday signed an executive order barring US firms from using telecom equipment made by companies deemed to pose a national security risk. While it doesn’t name specific countries or companies, it follows months of US pressure on Huawei. It gives the Commerce Department 150 days to come up with regulations.
“China has emphasized many times that the concept of national security should not be abused, and that it should not be used as a tool for trade protectionism,” Gao Feng, spokesman for the Chinese commerce ministry, told reporters.
China has always asked firms to abide by the relevant rules and regulations of the countries they operate in, he said, noting China would take measures “to resolutely safeguard the legitimate interest of our companies.”
“We urge the US to stop its incorrect actions... to avoid doing additional harm to China-US economic and trade relations,” Gao said.
Foreign ministry spokesman, Lu Kang, yesterday criticized the moves as an “abuse of export control measures” after the Trump administration issued an order requiring Huawei to obtain government permission for purchases.
Huawei Technologies Ltd is the biggest global maker of switching equipment for phone companies.
The company said blocking it from doing business in the United States would hamper introduction of next-generation communications technology in which the company is a world leader.
It said the restrictions would “limit the US to inferior yet more expensive alternatives, leaving the US lagging behind in 5G deployment and eventually harming the interests of US companies and consumers.”
“We are ready and willing to engage with the US government and come up with effective measures to ensure product security,” the company said.
Foreign ministry spokesman Lu said China always advocated resolving disputes through dialogue.
“Negotiations and consultations, to have meaning, must be sincere,” Lu said. “First, there must be mutual respect, equality and mutual benefit. Second, one’s word must be kept, and not be capricious.”
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