China vows to protect companies after US further restricts Huawei

Kyodo News

Posted at Aug 18 2020 09:08 PM

Mark Schiefelbein, AP file photo

BEIJING - China pledged Tuesday to take necessary measures to safeguard the interests of the country's firms, a day after the United States said it has further restricted Huawei Technologies Co.'s access to US technology through chip supplies.

"We urge the United States to immediately correct its mistakes as well as stop slandering China and suppressing Chinese companies," Foreign Ministry spokesman Zhao Lijian told reporters.

But he did not elaborate what kind of steps Beijing will implement against Washington, which has already attempted to exclude the Chinese telecom giant from government contracts on grounds of security concerns.

On Monday, the US government slammed Huawei as "an arm of the Chinese Communist Party's surveillance state."

Under the latest actions, Huawei will face tighter restrictions in obtaining foreign-made chips developed or produced from U.S. software or technology to the same degree as comparable U.S. chips, the Commerce Department said.

In May last year, Huawei was placed on a department blacklist known as the "Entity List." US enterprises wishing to export items to the listed entities must get a license.

Huawei -- one of the leaders in next-generation 5G wireless networks -- has been a source of friction amid the escalating US-China rivalry on technology issues.

The 5G technology will enable transmission of large amounts of data at extremely high speeds, allowing telecommunication devices to connect to numerous products and services, including those related to military affairs, over the wireless network.