China: Huawei exec calls for sanctions ‘rethink’ amid record profit

As Huawei, the Chinese telecommunications giant reported a record profit, a top company executive on Wednesday (March 31) called on the United States to “rethink” sanctions and restrictions against the firm that he said have hurt all sides of its supply chain.

Huawei said net profit rose 3.2 per cent to 64.6 billion yuan (S$13.2 billion) last year, and revenue was 3.8 per cent higher at 891.4 billion yuan.

Smartphone sales were hit hard after the US cut the firm off from key component makers and banned it from using Google’s Android system, but its consumer electronics division – which accounts for more than 50 per cent of revenue – still managed a 3.3 per cent sales growth in 2020 amid the global pandemic.

The world’s top manufacturer of telecom network equipment and a leading smartphone brand, Huawei has been caught in the crosshairs of ongoing tensions between China and the US since the former Trump administration targeted the company.

“We see that our upstream suppliers are affected, particularly those in the US; Huawei is affected; and our consumers are affected too,” rotating chairman Ken Hu told a press conference in Shenzhen, referring to the US restrictions.

“So if a political decision affects the entire supply chain, then surely that should be reviewed and corrected?”

The article has been summarised and the original full article can be found at straitstimes.com

(Photo: AFP)

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