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The founder of Huawei said that Washington “underestimates them”

Huawei founder Ren Zhengfei said the United States “underestimates” his company and that the telecommunications giant’s plans in its 5G technology program will not be affected by Washington’s decisions to block it.

“American politicians, with their way of acting today, show that they underestimate our strength,” Ren said in an interview with state television CCTV and other media, adding that the company has chip reserves and “cannot be isolated” of the world in this regard.

In a context of commercial war and technological rivalry between Beijing and Washington, President Donald Trump decided last week to ban exports of US technology products to certain companies considered “at risk” for national security.

Huawei is in the spotlight of the US president. The world leader in 5G technology (the fifth generation of cellular technology), explicitly appeared on a blacklist in Washington.

“Huawei’s 5G network will not be affected at all,” Ren Zhengfei promised in the CCTV interview.

“In terms of 5G technology, that the other companies reach Huawei is not a matter of two or three years,” he said.

The giant Google, whose Android system equips the vast majority of smartphones in the world, announced Sunday that it would have to cut the bridges with Huawei, which would deprive the Chinese group of accessing certain Android services and its popular Gmail applications or Google Maps

This decision also affects a range of US companies, from software providers to semiconductor manufacturers that supply Huawei, in 2018, the Chinese company invested $11 billion in the purchase of components from US companies.

This is Huawei’s “Plan B” in the face of the US blockade

“We are not going to move on to American chips now, lightly and on a whim. We must grow together [with manufacturing companies],” Ren Zhengfei said.

“But in case of difficulty of supply, we have spare solutions. In the peace period, that is, before the commercial war began, we supplied 50% with chips from the United States and another 50% with those from Huawei. We cannot be isolated from the rest of the world,” he insisted.

The US authorities seemed to try to calm the situation by decreeing a delay of 90 days before imposing the sanctions, so that Huawei and its business partners can adapt.

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EU restrictions on Huawei will not have an impact, says founder

Huawei founder Ren Zhengfei was confident that Washington’s restrictions on technology sales to the company will have little impact, and said the Chinese tech giant is talking to Google about “emergency relief measures” to possible service losses in their smartphones.

Huawei Technologies Ltd., the largest manufacturer of networking equipment for telephone companies, has ” supply reserves” if it loses access to US chips, Ren Zhengfei said.

“These controls will have no impact on this company or the development of the new generation of communications technology, although some low-cost firms could be affected,” stated Ren Zhengfei, founder of Huawei.

Huawei has developed its own processors for some cell phones and other products, but it depends on US suppliers for more advanced components.

Google did not offer details on what services might be restricted, but the company may not be able to transfer hardware or software directly to Huawei, which could have repercussions on maps or other services that require the support of the US firm.

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Investing in renewable energy will bring great advantages: Joaquín Leal

Although details are being finalized for the second long-term auction, with the approval of the National Development Plan, the clean energy expert of the Massachusetts Clean Energy Center, Joaquín Leal Jiménez, supports the initiative to give tax benefits for investing in renewable energy.

This initiative deals with several articles, which provide investors, SMEs and individuals with some benefits in terms of deductions and elimination of VAT such as solar panels.

“One of the main goals of excluding VAT for solar panels is that small and medium-sized companies can implement this type of source for their business.”

Another important point of this initiative is the extension of the period of use of the special deduction in income for investments of five to 15 years in power generation with non-conventional renewable sources.

The expert, Joaquín Leal, said that the use of renewable energy such as solar panels, helps fight climate change and the cost of it is more accessible.

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Mexico also withdraws tariffs on some EU products

The Government of Mexico announced the elimination of tariffs on certain products from the United States as a measure of reciprocity for the elimination of the tax on steel and aluminum.

The measure is implemented after the agreement reached between Mexico and the United States last Friday, when the quotas of 25% to steel and 10% to aluminum were withdrawn.

The Ministry of Economy (SE) pointed out that the progress was possible due to the firm stance maintained by its owner, Graciela Márquez Colín, of not accepting quotas as a solution and that the only acceptable option for Mexico was the elimination of the measure.

He pointed out that the retaliation strategy put in place for certain American products, including agricultural products, was decisive for decision-makers to pressure the Trump administration to eliminate measure 232 on steel and aluminum from our country.

In June 2018, levies of between 15 and 25% were imposed on steel products and some agricultural goods, such as legs and shoulders of pork, apples, blueberries, cheeses, potatoes, and whiskey from the United States.

The SE reiterated that this dependency always remained opposed to considering a solution via quotas, recognizing the potential distortions of a managed trade and its conviction that free trade will continue to strengthen the competitiveness and prosperity of North America.

Finally, the agency added that it will work with the Office of the Commercial Representative of the neighboring northern country for the implementation of the agreement reached last Friday, in order to guarantee the competitiveness of the Mexican steel and aluminum sectors and promoting the creation of a competitive market in North America.

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Focused on the trade war, the US and China will tax these products

Focused on trade and tariff warfare, the Governments of China and the United States announced the list of products of their economic exchange that will be taxed within the framework of actions and reactions that hit the stock exchanges and currencies of all the world.

The measure taken by the US would reach tariffs of 300 billion dollars in laptops, saw blades, turbine parts, tuna and garlic. President Donald Trump threatened the Asian Giant with incorporating 25% punitive tax on all Chinese products exported to the American Union .

China is not afraid

In retaliation, China announced on Monday tariffs ranging from 5 to 25% in many US products that would reach $60 billion, causing a collapse in Wall Street. The Ministry of Finance of China commented on batteries , spinach and coffee as the main products being affected.

Donald Trump reported that during the fourteenth meeting of the Group of 20 (G-20) he will meet privately with his Chinese counterpart Xi Jinping to address this and other pending issues on the agenda. The appointment of this international summit is June 28 and 29 in the city of Osaka, Japan.