China is ready to ban US leading tech company Apple in response to Huawei ban by US President Donald Trump.
China is making its move to go against US renowned companies such as Apple, Qualcomm, and Boeing after receiving a ban from the US for its Huawei Company. Is this the start of a banning war?!
The US bans Huawei semiconductors
that are direct products of certain US software and technology. The US Commerce Department stated it was bringing changes to the export rule, considering excluding the Huawei from its list. This move seems to be a target action towards the Chinese company Huawei.
As a reaction to this, the Chinese government is ready to take a series of countermeasures to enforce the restrictions on the US-based company Apple and preparing to include its name in the ‘unreliable entity list’.
In support of its legal rights, China will take forceful countermeasures if the US moves forward with its plans to bar essential suppliers of chips. Even Taiwan-based TSMC is also barred from selling chips to the Chinese tech giant.
China seems to be targeting those US companies that are immensely dependent on the Chinese market, these are inclusive of Apple, Qualcomm, Cisco, and Boeing.
Measures taken include adding these companies to Chinas “unreliable entity list”, imposing restrictions on or launching investigations into these companies according to Chinese laws and regulations like Cybersecurity Review Measures and Anti-monopoly Law, and suspending the purchases from Boeing.
The start of a banning cold war?
Chinese Ministry of Commerce (MOFCOM) announced last May that China will release its own list targeting foreign entities that seriously undermine the legitimate interests of Chinese companies.
The list will also include foreign entities that cause actual or potential damage to Chinese companies and industries. Endangering or potentially endangering China’s national security is also a cause for inclusion on the list, according to Zhi Luxun, head of the Bureau of Industry, Security, Import, and Export Control at MOFCOM on June 1, 2019).
The Chinese public is warned against the use of American products
Once a company is listed, it will face the necessary legal and administrative measures. Chinese public will also be warned against dealing with it to reduce risks, Zhi said.
The ban from the US government forced the Chinese government to run the “Boycott Apple” movement. Companies were asked not to use American products as a consequence employees could be fired for violating the movement.
Huawei has still kept on with the usage of American software and technologies despite banning, the US Commerce Department claimed.
Escalation of the banning war?
On the other hand, the US is also persuading its allies to prohibit the use of Huawei products. Hereby expressing privacy and security concerns that Chinese products could be used for surveillance purposes. However, China turned down US’ claims.
Analysts have already speculated the current scenario prior month. Intense situations between the US and China have already been twigged by the tech Experts. Some of the Chinese residents are demanding to boycott the company on social media.
The CEO of Huawei company, Ren Zhengyi emerged in support of Apple. In an interview with Bloomberg Television he said, “If China imposes a ban on Apple, I will be the first to protest.”
The statement reveals that Ren has not accepted the ban. He said, “Apple is the leading company worldwide. If there was no Apple, there would be no internet access to the mobile…”
Apple is the one who helped people see the real beauty of the world. This could not be possible in the absence of its outstanding inventions.
He mentioned Apple as his teacher and said as a student, he would never go against his teacher. And iPhone has a good ecosystem.