As previously reported by Western media, US President Trump signed a presidential decree a few hours ago, announcing that the United States entered a "state of emergency" and gives the government authority to block transactions that involve information or communications technology that “poses an unacceptable risk to the national security of the United States.”
Many foreign media reports on this matter are saying that this is paving the way for prohibiting US companies from doing business with Huawei.
As shown in the above picture, many US media have reported this matter.
Then, the US Department of Commerce can ban the "control of national security forces" in the name of "threatening" national security or "spy" to conduct communications technology transactions in the United States. The presidential decree also requires the US Department of Commerce to give a specific implementation and mechanism within 150 days.
▲The screenshot is the latest presidential order signed by TrumpIt is worth noting that although the presidential decree for the US information and communication technology and service supply chain in the above picture does not name China or Huawei in the text, according to the US "Washington Post" and "New York Times" Reported that the US Department of Commerce, while the presidential decree came into effect today, also announced that they have included Huawei and its many affiliates in a "list of entities" that pose risks to US national security. Licenses are required for personal purchases or for obtaining US technology through a transfer. However, if the United States believes that the sale or transfer of technology harms US national security or foreign policy interests, it will refuse to issue a license, which means that Huawei cannot buy technology developed by the United States from the United States.
▲ screenshot from the New York Times reportThe Washington Post also pointed out that unlike the previous US ban on federal government suppliers and Huawei's business, this presidential decree will also be effective for companies outside the government, that is, the business activities of US companies and Huawei in the field of communication technology. Both may be the target of the US Department of Commerce.
▲ screenshot from the Washington Post reportIn addition, the Washington Post also believes that this approach may enhance the United States' persuasion that its allies also block Huawei's "effectiveness."
However, many US media also believe that companies affected by this presidential order will not sit still and will certainly initiate litigation in court.
And it's also worth noting that just before Trump signed the presidential order, Andy Purdy, chief technology officer of Huawei's US branch, also said in an interview with the US Capitol Hill that Huawei would not threaten the United States. National security, not even spies, should be communicated to Huawei by the US government to increase understanding, rather than making decisions based on misunderstanding, ignorance and prejudice. He even welcomed the United States to block technology that would really threaten the security of the United States.
Liang Hua, chairman of Huawei, recently said in London, England that they are willing to sign a “no-monitoring agreement” with Western governments to resolve these disputes scientifically and legally.
Just now, the editorial department of the World Wide Web received the latest response from Huawei to the presidential decree of Trump. The contents are as follows:
Huawei is an unparalleled leader in 5G telecom equipment, and we are willing to communicate with the US government to ensure product security. If the United States restricts Huawei, it will not make the United States safer, nor will it make the United States stronger. It will only force the United States to use inferior and expensive alternative equipment, lag behind other countries in the construction of 5G networks, and ultimately harm US companies and consumers. interest. Unreasonable restrictions can also infringe on Huawei's rights and cause other serious legal problems.
“Huawei is ready to deal with risks.” An insider of Huawei told reporters.In the 2018 Huawei financial report communication meeting, Guo Ping, chairman of Huawei's rotating chairman, spoke about the US government's pressure on Huawei. "Thanks to God for assisting and making internal shackles, because external pressure makes Huawei more united and stronger. At the same time, if Huawei had a previous "ZTE event," Guo Ping also said that Huawei is confident to meet customer needs because Huawei has a spare tire program.
Guo Ping said that the ICT industry is a global cooperative industry. You have me and me. But at the same time, he also cites: "When I drive, I will have a spare tire. If the tire is blown up, I can change it. In addition, Ren always mentioned that Huawei has its own spare tire plan."
Therefore, Guo Ping emphasized two points: First, Huawei expects to maintain cooperation with global partners, which will help everyone to grow; secondly, if the baby is broken, there will be a spare tire. Therefore, if there is an extreme event like ZTE, Huawei is confident to meet customer needs.
Previously, in terms of terminals, Yu Chengdong also revealed in March that Huawei has developed its own operating system and can cover smartphones and PCs. "Huawei has indeed prepared a self-developed operating system, but this system is Plan B, in order to prevent Huawei from using Android or Windows in the future. Of course, Huawei is more willing to cooperate with Google and Microsoft's ecosystem. Yu Chengdong revealed in an interview with the media.
Haitong Telecom believes that Huawei (very few exports of equipment to the US agricultural network) and ZTE (the terminal business has basically no sales in the US) have little or no negligence on the US export business.
The above-mentioned institutions believe that for the first time, Huawei will be included in the so-called “list of entities”, and it can still be exported normally through non-sanction measures. However, from the trend, the extreme pressure and fixed-point strikes of this kind of trade war may evolve into true Huawei. Export restrictions.
Huawei has made a lot of reserves for the preparation of key components that need to be imported from the US for a short period of time (rolling over one year of reserves); if the US Department of Commerce does introduce further control measures and restrict exports to Huawei within 150 days, it can be overcome by judging the short-term impact of Huawei. For more than one year, we must observe the progress of Huawei to build an independent and controllable supply chain (core: FPGA, analog devices, compound semiconductor devices, terminal RF, high-speed optoelectronic devices).
Haitong Telecom believes that in the future trend, breaking the deadlock can only create a global supply chain that can be controlled beyond the United States! In the short-term, 4G and 5G construction will continue to advance normally. In the medium term, if the US's fixed-point export strikes rise to the chip's comprehensive export restrictions, the probability of Sino-US dual-transmission will be extremely small. The future fixed-point risk against Huawei may be related to the global 5G medium-term process. There is interference, but there is still some time to negotiate or get through the supply chain to solve the problem.
According to the global telecom equipment market released by IHS Markit, the global telecom equipment market in 2017 was US$37.2 billion, a significant decline from 2016. However, Huawei has increased its share against the trend, with 28% market share surpassing Ericsson (27%), followed by Nokia (23%), ZTE (13%) and Samsung (3%).
"This may be something that the United States cannot tolerate. Huawei has turned into an Apple in the global communications market by bit by bit, and has left its rivals in terms of share and profits." A Huawei veteran who had worked at Huawei for more than a decade. "Dai Hui told the First Financial Reporter that Huawei's profit in the field of mobile communications is equivalent to the sum of several other companies. Just as the profit of Apple's mobile phone is equal to the sum of other brands of mobile phones, Huawei has eroded many other suppliers because of its advanced technology. territory.
More than a decade ago, Dai Hui was involved in Huawei's communications market in multiple regions. In his view, two of the world's four largest telecom equipment vendors are Chinese manufacturers, which is unacceptable to the United States. "If we do not build non-trade barriers, Huawei will become the hegemon of the 5G market without any suspense, and it will put enormous pressure on Western companies. This is the background of the ban on Huawei equipment in some developed countries."
In Ernst & Young's "China's Sailing and Leading the World 5G" report, China is expected to be a world leader in the 5G development competition and is likely to become one of the first major markets in the world to deploy 5G. Ernst & Young expects that China's 5G capital expenditure will reach 1.5 trillion yuan between 2019 and 2025.
Finally, at the press conference of the Chinese Foreign Ministry yesterday afternoon, Chinese Foreign Ministry spokesperson Geng Shuang said in response to the relevant questions raised by the reporter that for some time, the US abused the state power and deliberately discredited and suppressed specific Chinese enterprises. Glory is not fair.
He said: "We urge the US to stop excuses on security issues and suppress Chinese companies, providing a fair and equitable non-discriminatory environment for Chinese companies to operate in the United States."
