Even after the easing of the supply embargo against the Chinese telecommunications giant that the U.S. is determined-government, Huawei in the 5G to allow for Expansion on the outside – and not just in the United States.
Cartoon by Sergey Elkin
If economic Minister, Peter Altmaier, will travel next week to Washington, it’s not only the threat of punitive tariffs on German cars of the Germany, dealing with Huawei. Because the U.S. wants to prevent government, that the fast 5G mobile networks will be expanded with its allies in Europe with the technology of Chinese high-tech group. To the danger of the access of China to the sensitive infrastructure in Western countries, so the reasoning of the USA is. Due to the proximity of Huawei to the state and party leadership in Beijing, this danger was extremely real, it is believed in Washington.
US President, Donald Trump had loosened after his Meeting with China’s head of state Xi Jinping at the G20 summit in Japan, the delivery stop to sell the US company says, semiconductors, and other components to Huawei. Your basic skeptical attitude towards the Chinese group nothing change but trump’s advisers made it clear to the trade and industry policy, Peter Navarro,.
The chemistry is right, the mistrust remains – Xi and Trump at the G20 summit in Osaka
Any fundamental Change in the US policy
The chemistry between Donald Trump and China’s state and party chief of the voice of Xi Jinping, so Navarro in an Interview with U.S. television channel CNBC, had met the President of the United States, Please Xis to reduce the pressure on Huawei. But, the as a China hawk known Navarro added: “Here’s the important thing: is The U.S. policy has not changed compared to Huawei in relation to 5G in this country. This will not happen with Huawei in this country. Everything we have done basically, is to allow the sale of Chips to Huawei, but the Low-Tech components, which do not impair the national security.”
Huawei stay on the so-called “Entity List,” stressed Navarro, a black list of organizations and companies with which US companies are no trade relations may have. Navarro stressed several times that the only mass-produced goods, which could now be again supplied to Huawei. Also, go only to the semiconductor in the value of one billion US dollars per year. So far, Huawei bought in the United States components to the value of around eleven billion dollars per year. Thus, the easing of the supply embargo in the overall context of the case not so much weight, said Navarro.
Relaxation looks different
Huawei had declared at the beginning of the week, to put, despite the threat of trade sanctions by the USA on Google’s Android Ecosystem. Huawei’s Western Europe head Walter JHA had declared in Berlin at the presentation of the new Smartphones Mate20 X 5G, he is set still on a relaxation in the trade dispute between China and the United States. The company hope to have a solution, with the help of Huawei’s access to the technology from US companies such as Google get.
And while the impact on future Smartphone models are completely unknown, give the Chinese for the already available models guarantees. All already available on the market devices you want to continue with security Updates and access to Google services like the Play Store keep. Selected devices should also receive the new Android Version of Q.
Peter Navarro: “5G is not huge to sell a few Chips to Huawei, it is”
The rollercoaster of emotions in the trading conflict between the USA and China is likely to continue. Since Huawei was landed in may on the dreaded Entity List of the United States, were to fall, the share prices of major US chip manufacturers under strong pressure, finally Huawei is one of the most important customers of the U.S. semiconductor industry.
Thomas Gitzel, chief economist of VP Bank, warns accordingly before too much euphoria after the course of U.S. chip producers were fired after the easing of the supply embargo on Wall Street in the height of it: “euphoria is misplaced. The road is still far, because the underlying strategic tensions between the US and China will not vanish into thin air.”
The battle for high-tech dominance
Ultimately, it powers also the future supremacy of the two super. It should be borne in mind that the hawks in the US Administration would continue to try to keep the trade talks and to undermine the pressure on Huawei as high as possible. Government Advisor and Economics Professor Navarro, who was in the USA with his book “Death by China” is known, in order to prevent, above all, that Huawei is dominated by the 5G-networks in the Western industrial countries, with Chinese technology.
And so underscore Navarro to CNBC also, what is the argument in the end: “President Trump is determined to ensure that the United States take the lead in 5G. The strengthening of companies such as Nokia and Ericsson in Europe will contribute to this process. Once again: The topic of 5G is huge to sell a few Chips to Huawei, it’s not.”