The Case of Huawei: Political, Policy and Market Dynamics
by Gurumurthy Kalyanaram
US-China trade and other disputes have injected great uncertainty in the global economy and geo-politics. The disputes have thrown a shadow over US economy and society. However, in the recent G-20 summit, Presidents Trump and Xi have agreed to resume the dialogue to resolve the disputes. That’s good news, though there is no promise of final resolution of disputes. Time will tell.
President Trump had to make two concessions to President Xi. One, the US will not impose new 25 percent tariffs on $300 billion in Chinese imports. Two, US has agreed to lift some restrictions on Huawei, including sales of American components to the telecomgiant.
The case for encouraging Huawei’s participation is simple. Huawei is the leader in 5G and related technologies, and 5G is transforming the productivity of economies and societies.