China prepares to retaliate against American companies
In a move that should surprise no one, China is striking back against foreign firms in response to the US’s blacklist of Huawei.
Bloomberg reports that the country says it plans to establish a list of unreliable entities that damage the interest of domestic firms.
Any foreign entities that cut-off supplies to, block, or otherwise damage to the legitimate business interests of domestic Chinese businesses would be placed on that list.
It is not a coincidence that this move comes after Microsoft, Google. Qualcomm and several other US companies were forced to cease doing business with Huawei due to the US placing the firm on a restricted entities list.
That move scuppered the firm’s smartphone and laptop ambitions, and should it continue, has the potential to decimate Huawei’s technology business.
China will be taking ‘necessary measures’ against any companies it adds to their list with specifics on what that would entail coming in the coming weeks.
This week it was reported that China planned to move away from Microsoft Windows in its military to allay spying concerns.