Why Washington cannot contain Huawei

Source:Global Times Published: 2019/5/16 21:53:40

US President Donald Trump signed an executive order on Wednesday to declare a national emergency over threats against American technology. The US Commerce Department then added Huawei and its 70 affiliates to its "Entity List." Their real purpose was to completely ban Huawei devices in the US and to restrict Huawei from purchasing US-produced components. The US suppression of Huawei is escalating regardless of morality and business rules. 

But it's impossible for the US to tear down the manufacturer that leads the 5G network. First of all, Huawei did not violate business rules or US laws. This enables it to use legal means to resist the US government's unfair decisions and to protect its own rights.

Huawei is indisputably leading 5G network technology. Mastering a large number of technical patents for communication networks, it is now cross-purchasing technologies with US companies. Harm caused by cutting ties between Huawei and US enterprises will be two-way. Huawei will never allow itself to be trampled upon by the US government.

In recent years, the US has not stopped spitefully threatening Huawei. Huawei has been developing itself in an international environment way worse than that of Western companies. But special crisis awareness has thus been fostered. Huawei puts a high value on independent research and development of key technologies and attaches great importance to supply chain backups of components and parts. Hence Huawei cannot be shocked if the US cuts off key component supply.

Huawei doesn't sell a lot of devices in the US. Its main business is helping some non-central areas of the US build their communications network. These areas will suffer economic losses if they abandon Huawei equipment. The networks there will operate at a poorer quality and cost more.

The US has publicly mobilized national power and resources to contain Huawei. This is unprecedented. However, the crackdown isn't going smoothly. It remains to be seen to what extent Washington can persuade its allies to exclude Huawei from their 5G construction. 

The US, as the most powerful country in the world and a leader of the West, has spared no efforts in suppressing a private company but yielded little results. 

First, that's because the US actions are immoral and against the logic of the market. Huawei's leading role in 5G technology has caused a strong sense of crisis in the US. Washington, instead of promoting its own companies' technological advancement, has taken hooligan actions to deal with Huawei. However, the alleged Huawei threats, fabricated and infinitely magnified by the US, failed to outweigh various countries' demands for Huawei equipment, thus putting Washington in a passive position.  

The second reason is that Huawei has unchallengeable technology and quality management to withstand a crisis. The company's technological advancement capabilities, internal management level and ability to respond to crises have proven to be among the best in the world. Chinese society should fully support Huawei, including offering it moral encouragement and supporting Huawei products. China should also use diplomatic resources to hedge against US suppression of Huawei. The US cannot strangle Huawei, nor will it be able to contain the development of China and deprive the 1.4 billion Chinese people of their development rights. 

Posted in: EDITORIAL

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