West can boycott Huawei, but not all Chinese products

ceciliazhang

(The Global Times) The Canadian government will provide up to $40 million for Finnish telecom giant Nokia to conduct research on 5G wireless technology, Canadian Broadcasting Corp (CBC) reported Friday. That story was confirmed soon by a post on the website of the Government of Canada.

The funding comes as the Canadian government attempts to crack down on Chinese telecom firm Huawei. The arrest of Huawei CFO Meng Wanzhou in Canada and moves to prevent the company from participating in Canada's 5G networks are steps driven by political factors. Amid the scrutiny of Huawei, major support to its rival Nokia can hardly be defined as normal economic behavior. The funding is a result of a political choice by the Canadian government, seriously violating the principles of free trade and the market-based economy.

It's Canada that wants to take sides on the 5G development issue and break market-based principles. This forces China to take countermeasures. The arrest of Meng has seriously infringed upon the interests of a Chinese citizen and enterprise. If Ottawa wants to further escalate the dispute by supporting Huawei's rival and isolating the Chinese giant, China should not turn a blind eye.

Thus, it is necessary to take a hard-line stance in responding to Ottawa's 5G strategy. One option is to stop the export of key components and equipment used to build Canada's 5G networks. At the least, China can raise the price of those products. Chinese companies have some proprietary 5G technology. Huawei has been awarded many core 5G patents and supplied networking equipment for telecom systems around the world. It is easy to ban the import of 5G base stations from Huawei, but it is impossible to completely exclude made-in-China components from Canada's telecom network or its economy. If Chinese companies ban the export of key components or raise the prices, there will be big trouble in the Canadian economy.

Let's take the example of Nokia. The company has worked with China Mobile Research Institute to launch a hybrid indoor radio solution with location services to meet 5G connectivity demands. Such business cannot operate without made-in-China components and equipment.

Finally, the Western world must pay the price of its steps taken to boycott Huawei. If some countries or companies announce 'anti-market' measures to ban Huawei's products, China can prevent them from buying key components and equipment from the world's factory.

If they think they can boycott Huawei, can they boycott all made-in-China products?

Liononthehunt

a fool's errand blocking Chinese hi-tech companies.

Saul

boycott all made-in-China products.....almost impossible and costly.
That would hurt, but if called upon Canadians will try their best to stop buying Chinese products.

The .govt could use tariffs to reduce trade, or better yet, China could stop supplying Canada with its products.

And please stop trying to get oil from Canada, it is very dirty compared to many other sources.

Saul

break market-based principles,,,,,you just want as monopoly.
Why cry over a tiny market like Canada. Pathetic.

Liononthehunt

Saul Post time: 2019-2-22 23:45
break market-based principles,,,,,you just want as monopoly.
Why cry over a tiny market like Canada ...

Like you know market-based principles.  

Look at the immense amount of cash in subsidies your big brother injects into certain sectors, like E-cars, weaponry, in particular MDW, energy, agriculture, the list goes on, and then the west points the finger at China while ignoring their own breach of rules.

BlondeAmber

Should 'the west' get upset and 'hurt feelings' for China's unwillingness to use YouTube, Facebook and Google?

huaqiao

BlondeAmber Post time: 2019-2-24 17:01
Should 'the west' get upset and 'hurt feelings' for China's unwillingness to use YouTube, Facebook a ...

I don't think that is an apple to apple comparison. While Youtube, Facebook and Google are banned from China, they could still have a chance to enter the market if they follow China's regulations, such as, getting rid of pornography, malicious contents, etc.... However, there is outright ban on Huawei in US without any chance of getting into the market at all. Furthermore, China does not go around telling other countries to ban Youtube, Facebook and Google whereas US is going overtime doing that to Huawei.