China’s Huawei Fights Back, Plans to Sue ‘Hypocritical’ US Government
Huawei is pushing back against the US government after the latter banned federal agencies from using the company’s products. | Source: Shutterstock
Leading Chinese electronics and cell-phone manufacturer Huawei is reportedly preparing to sue the government of the United States of America over the latest development in an ongoing trade war between the US and China.
The US recently banned national federal agencies from using Huawei phones or products, alleging that the products are “backdoored” by the Chinese state, allowing the government to covertly monitor any communications on the devices.
The US government also alleges that Huawei misled the US about the company’s relationship with two subsidiaries regarding business with Iran, which is under US sanctions, and that Huawei stole intellectual property from T Mobile and conducted wire fraud and obstruction of justice.
The Trade War Rages On
While both nations have always struggled behind closed doors to gain a competitive edge through any means necessary, the trade war began in earnest in January 2018. US President Donald Trump placed a 30% import tariff on foreign solar panels, severely impacting China which is the world’s leading manufacturer of the technology.
By making Chinese solar panels 30% more expensive in the US, Trump effectively fired the first shot in a trade war that had been brewing for some time, with China accused of stealing US intellectual property by reproducing counterfeit products and patented technologies said to cost the US an estimated $255 – $600 billion in losses each year.