California Democrats Press Biden Administration For Halt On Further Actions

Huawei: On the Brink of US Sanction Relief?

California Democrats Press Biden Administration for Halt on Further Actions

Amidst escalating tensions between the US and China, California Democrats are urging the Biden administration to reconsider its stance on Huawei, a prominent Chinese telecoms giant.

Washington has imposed severe sanctions on Huawei since 2019, alleging national security concerns and potential ties to Chinese espionage.

Despite these measures, Huawei has reportedly shown signs of resilience, with its mobile phone business facing significant impact but other divisions showing signs of growth.

Key Points:

• California Democrats are advocating for a halt in further US sanctions against Huawei.
• Washington has maintained a tough stance on the company due to alleged security risks and espionage concerns.
• Huawei has acknowledged the impact of sanctions but claims to have mitigated some of the damage.

Sanctions' Impact on Huawei's Mobile Phone Business

Huawei's mobile phone division has been severely affected by US sanctions, which have restricted its access to American-made components and chips.

The company has lost significant market share in the global smartphone industry and has been forced to rely on alternative suppliers.

BBC reported that Huawei's smartphone shipments declined by 81% in the third quarter of 2022 compared to the same period in 2021.

Huawei's Resilience and Growth in Other Areas

Despite the challenges faced by its mobile phone business, Huawei has demonstrated resilience and growth in other areas.

The company has made significant advancements in 5G technology, cloud computing, and artificial intelligence (AI).

Huawei's cloud computing revenue grew by 30% in 2022, and it has become one of the top cloud service providers in the world.

Conclusion:

The future of Huawei remains uncertain as it faces ongoing US sanctions and geopolitical tensions.

While the company has acknowledged the impact of these measures on its mobile phone business, it has also shown signs of resilience and growth in other areas.

It remains to be seen whether California Democrats' call for a halt in further sanctions will be heeded by the Biden administration, and how it will affect Huawei's long-term trajectory.