Home » Business » Huawei employs Chinese counterparts instead of American parts as replacements.

Huawei employs Chinese counterparts instead of American parts as replacements.

The Chinese technology giant Huawei Group has replaced thousands of its components that it used to obtain from the United States with Chinese-made components, according to what its founder announced in a letter published by a university in Shanghai.

Huawei, a leading supplier of telecoms equipment, smartphones and other high-end equipment, has been a frequent target of Washington’s criticism in recent years over cybersecurity and espionage concerns.

The administration of former President Donald Trump warned American companies against dealing with the group, while his successor, Joe Biden, imposed additional sanctions, including banning the sale of new equipment to Huawei in the United States.

new channels

The company had to find new supply channels for semiconductors, which are essential components to power smartphones and other electronic devices. Its founder, Ren Zhengfei, confirmed that Huawei had replaced more than 13,000 Chinese copies in the past three years, according to a text published by Jiao Tong University in Shanghai on Friday. Ren said in his speech on February 24 that the company has also developed more than 4,000 circuit boards for its products.

local reserve

“Our production of circuit boards has stabilized because we have a reserve of locally produced components,” he said, without giving further details. In response to a question from one of the attendees, Ren said that there are still “difficulties in manufacturing advanced microelectronic chips in China, so we must find other ways to catch up (with the United States) in this field.” He noted that Huawei spent $23.8 billion on research and development in 2022 and that the company will invest more in the coming years thanks to an increase in profits.

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