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The Financial Express

Time for decisive battle in Europe for Huawei


Time for decisive battle in Europe for Huawei

The time has come for China's telecom giant Huawei to fight a decisive battle in Europe against Washington's crackdown. At this critical moment, the Chinese authorities are unlikely to turn a blind eye to the bullying of Chinese technology companies.

Huawei said recently that more than half of the 5G contracts it has signed globally are with European operators. Europe is a key market for Huawei's 5G equipment. If Huawei loses the market due to Washington's pressure on European countries, the Chinese company can no longer pose a threat to US dominance in the world technology sector. This is what Washington wants to see.

Huawei has been under heavy pressure in the European market. The US and Poland signed an agreement on Monday on 5G technology, a move that could result in blocking Huawei from Poland's 5G networks. The news came after Google said that the Huawei Mate 30 smartphone cannot be sold with licensed Google apps and services due to the US ban on sales to Huawei. The absence of Google apps is likely to have a direct impact on the sales of Huawei smartphones in the European market.

For Huawei, there will be no way back in the European market. The company is facing a life-and-death crisis so it must fight to win at all costs, and the Chinese government should provide the necessary support to help it resist US political pressure.

Washington's move against Huawei is not a mere economic issue but a case of political persecution against Chinese enterprises.  Now, some European countries face a choice: align with the US to crack down on Huawei, or cooperate with the Chinese company over commercial 5G services.

Washington has put huge pressure on European countries to support its brutal crackdown on Huawei. China has no choice but to fight back. The Chinese government needs to pressure European countries to ensure that Chinese companies are fairly treated.

China is one of Europe's largest export destinations and it has a certain influence upon European economy. China has promised to further open up its economy to European companies. However, if some European countries take sides in China-US tensions and ban Huawei from their markets, why should China allow their companies to enjoy the Chinese market? Poland's agreement with the US is likely to trigger a tit-for-tat reaction from China to protect the interests of Chinese enterprises.

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