The Chinese Government is planning to blacklist entities in its country including foreign companies, individuals and organizations, an action which is seen as a retaliation to the move by the US to ban Huawei from conducting business with US companies.
In a statement, China’s Ministry of Commerce noted that companies and “unreliable entities ” which “do not follow market rules, violate the spirit of contracts, blockade and stop supplying Chinese companies for non-commercial reasons, and seriously damage the legitimate rights and interests of Chinese companies” risk being blacklisted in the Asian nation.
The move escalates trade war that ensued after President Trump’s placed Huawei on an “entity list” of firms that need special permission to buy American components and technology.
Trump’s announcement was followed by Google announcement that it would no longer provide android services to Huawei. Blacklisting the company denies it access to microchips, software, and other American-provided technology it needs to make and sell its products.
Other American companies such as Intel, Qualcomm, Broadcom, and Xilinx have also reported that they will no longer supply essential hardware and software services to the company.
