China Criticizes US Action against Huawei
TEHRAN (Tasnim) - China vowed Thursday to "resolutely safeguard" Chinese companies after Washington labeled telecom equipment giant Huawei a security risk and imposed export curbs on US technology sales to the company.
A foreign ministry spokesman, Lu Kang, 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., the biggest global maker of switching equipment for phone companies, has spent a decade fighting accusations it facilitates Chinese spying.
"We urge the United States to stop the wrong approach," said a foreign ministry spokesman, Lu Kang. "China will take further necessary measures to resolutely safeguard the legitimate rights and interests of Chinese enterprises."
Lu gave no details, but analysts warned the export controls threaten to worsen a US-Chinese conflict over technology and trade.
The restriction is "a grave escalation with China that at minimum plunges the prospect of continued trade negotiations into doubt," said Eurasia Group analysts in a report.
"Unless handled carefully, this situation is likely to place US and Chinese companies at new risk," the report said, according to AP.
US President Donald Trump also issued an executive order Wednesday that bans phone carriers from using technology of "foreign adversaries" deemed to pose "unacceptable risks" to national security.
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.
A Chinese Ministry of Commerce spokesman, Gao Feng, gave a similar warning about "necessary measures" at a separate news conference but also gave no details of possible official steps.
Chinese retaliation against US tariff hikes has included targeting American companies in China by slowing down customs clearance and issuance of business licenses.
Trump's order addresses US government concerns that equipment from Chinese suppliers could pose an espionage threat to US internet and telecommunications infrastructure.
Huawei 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.
"We are ready and willing to engage with the US government and come up with effective measures to ensure product security," the company said in a statement.
