Huawei refutes claims it scaled down phone production

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"As the sale of electronic equipment in auto segment keeps surging, it is not surprising that Huawei, China's strongest ICT solution provider, is marching into the smart vehicle market and positioning itself as a Tier One supplier", (our translation) said CITIC Securities analysts in a recent report. He added that this may consist of a couple of other components, including limitations in shipments of minerals that are vital for use in the numerous USA made devices and electronic cars.

The ban of sales of Huawei equipment to USA companies and a similar measure keeping U.S. firms from selling technology to Huawei without permission will cause a direct impact on sales, at the very least for Huawei's devices.

The company has not received any requests from the US Department of Commerce for an inspection of its factories, Liu said, dismissing a report by the Chinese-language Economic Daily News earlier this week.

LUMENTUM HOLDINGS INC: The optical components maker said on May 20 it discontinued all shipments to Huawei, adding it "intends to fully comply with USA imposed license requirements".

Huaweiis poised to sell its majority stake in a submarine cable company, amid pressure from the USA to blacklist the company over spying fears. U.S. tech giants including Google, Qualcomm, and Intel have cut ties with the company to comply with the law.

The U.S. government has been trying, albeit unsuccessfully, to convince their European counterparts to give up business with Huawei.

Supporters of the ban, however, argued that Chinese digital spying on USA companies had gone on for too long with impunity - and that the Trump administration was right to take bold action against a company they believe is tightly tied to the Chinese state.

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Huawei's Beijing Research and Development Center.

Liang made the comments while speaking with a small group of US journalists who were visiting with the China-United States Exchange Foundation.

Others less sanguine about the ban said it was an extreme outcome that could have been avoided. Google also disclosed that every Huawei phone presently in use can still access to the Play Store, meaning, app updates will not stop.

Huawei has repeatedly denied any connection to China's government or that it poses any security threat.

At a media briefing on Friday night, Mr Zhao Ming, president of Honor, one of Huawei's smartphone brands, said the parent brand is closely observing and evaluating the situation after the United States (US) government banned its firms from supplying to Huawei, the SCMP reported.

Huawei is reportedly considering selling off its undersea telecom cable business for an undisclosed sum of money.