As one of the largest telecommunications equipment providers in the world, Chinese company Huawei inevitably impacts the Asian market. Many can claim the company started the US-China trade war in the first place.
Their next conflicts lead to the 15-month long trade war and bled into other trades like agriculture and intellectual properties.
FBI Director warned against buying Huawei products on February 13. The Pentagon banned Huawei sales on US military bases in May.
Japan stopped buying Huawei products last December 7. Amazon Japan stops selling its devices, too.
Huawei sued the US government over its equipment ban on March 8.
Several months later, the trade talks dragged tech companies like Samsung, Google, and Facebook into the conflict.
In the months that followed, Huawei is still a part of the conversation. Most countries, especially the US, still consider it their technology as a potential security threat. The possibilities worry current and potential investors to this day.
Chinese Tech Dynasty’s Worldwide Influence
Rampant reports of Chinese tech company Huawei’s family ties suggest hints of a complicated dynasty.
Huawei founder Ren Zhengfei still holds veto power regardless of officially owning just 1.14% of the company.
Ren Zhengfei’s son, Ren Ping, owns the 5-Star Amber Prime Hotel in Dongguan next to Huawei’s new campus. Inside, clients can find Huawei AI speakers along with a TV channel that advertises the tech company’s recent speeches.
Ren Ping owns food and hotel companies, namely Shanghai Mossel Trade Co. Ltd., and Shenzhen Smartcom Business Co. Limited. Both are Huawei subsidiaries that prioritize the tech company’s clients and employees. Reports claim Ren Ping’s mother works with him at Mossel.
Elsewhere, Asian markets finished broadly higher last Friday.
Shanghai Composite SHCOMP was almost flat at 0.8% while its smaller-cap Shenzen Composite lowered 0.67%. Japan’s Nikkei rose 1%, South Korea’s Kospi 200 gained 0.8%. Hong Kong’s Hang Seng Index rose 1.3%.
Huawei’s influence in other sectors may rattle investors. It potentially puts them in a position of having to choose between the two countries.
On the other hand, their Friday meeting might affect both markets positively in the long run.
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