TECHNOLOGY

Panasonic halting business with Huawei after US ban

Huawei headquarters in Shenzhen, China’s Guangdong province. (AFP)

Japan’s Panasonic said Thursday it is suspending business with Huawei after a US ban on the Chinese firm over security fears, in a new blow for the telecoms giant.

“We’ve stopped all business transactions with Huawei and its 68 group companies... that are subject to the US government ban,” Panasonic spokesman Joe Flynn told AFP.

“Yesterday an internal instruction to fully enforce that rule was issued,” he added. Flynn said Panasonic’s business with Huawei involves the supply of “electronic parts,” but declined to provide further details.

The announcement comes after mobile carriers in Japan and Britain announced they would postpone the release of Huawei smartphones.

British telecoms giant EE, owned by BT, also said it would phase out the use of Huawei equipment in the most sensitive “core” elements of its network infrastructure.

The moves follow a decision by US President Donald Trump to effectively ban US companies from supplying Huawei and affiliates with critical components, citing security concerns.

US officials this week, however, issued a 90-day reprieve on the ban on dealing with Huawei, saying breathing space is needed to avoid huge disruption.

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Last Update: Thursday, 23 May 2019 KSA 06:37 - GMT 03:37
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