Huawei replaces American parts with Chinese ones

BEIJING: Chinese tech giant Huawei has replaced thousands of product components banned by the United States with its own versions, its founder said, according to a transcript of a recent speech released by a Shanghai university.

A leading provider of telecommunications equipment, smartphones and other advanced equipment, Huawei has been repeatedly harassed by Washington in recent years due to concerns about cybersecurity and espionage.

The administration of former President Donald Trump has effectively barred American companies from doing business with the firm, and his successor Joe Biden has imposed additional sanctions, including a ban on the sale of new Huawei hardware in the US.

These steps forced the firm to look for new ways to produce semiconductors and other components. Founder Ren Zhengfei said that over the past three years, Huawei has replaced more than 13,000 components with domestic versions, according to a transcript released by Shanghai Jiao Tong University on Friday. .

The company has also recycled more than 4,000 circuit boards for its products, Ren said during the Feb. 24 call.

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“At the moment, our PCB [production] stabilized because we have a stock of domestically produced components,” he said.

He did not provide details on exactly which parts were shipped from China or what proportion of Huawei’s total shipments they made up.

Agence France-Presse (AFP) was unable to independently verify Ren’s claims, and a Huawei spokesperson offered no further comment when contacted by AFP on Saturday.

Responding to a question from a viewer, Ren said that there are still “difficulties with the production of advanced microchips in China, so we must find other ways to catch up. [with the US] good chips.”

He added that Huawei spent $23.8 billion on research and development last year and will invest more in the coming years as profits grow.

“We are still in a difficult period, but we have not stopped on the path to progress,” he said.