Huawei takes the legal course to overturn ‘unconstitutional’ sanctions 
2019-05-30
CHINESE telecom giant Huawei stepped up its legal battle yesterday to overturn US legislation barring American federal agencies from buying its products amid an escalating high-tech dispute.
Huawei filed suit against the US bill in March, calling it “unconstitutional” and saying the US Congress had failed to provide evidence to support its restrictions on Huawei products.
The company filed a motion for summary judgment yesterday, seeking a quick determination by US courts on whether the case has merit to proceed.
“The US government has provided no evidence to show that Huawei is a security threat. There is no gun, no smoke. Only speculation,” Huawei’s chief legal officer Song Liuping told reporters.
Speaking at Huawei headquarters in Shenzhen, Song added that US politicians “want to put us out of business.”
The firm also faces a broader US executive order preventing the use of its equipment in the United States as well as the more damaging inclusion this month on an “Entity List” that cuts it off from critical American-made components for its products, though a 90-day reprieve was issued.
The world’s largest telecoms network gear maker’s case against the US was filed in a US District Court in Plano, Texas, challenging what it called an “unconstitutional” National Defence Authorisation Act preventing government agencies from buying its equipment, services, or working with third parties that are Huawei customers.
The firm has argued that the bill violates US law by “singling out Huawei for punishment.”
Song said the US campaign against the company violates market norms and will bring harm to US consumers as well as 3.1 billion customers around the world that Song said rely on Huawei products and services.
But he brushed away warnings by industry observers that the ban on buying US-made components puts the company’s survival at risk. Song said Huawei has prepared for years for unforeseen “extremities” in the market.
Company founder Ren Zhengfei has said recently those preparations have included stockpiling semiconductors to see it through potential disruptions to its supplies of US and other foreign components.
“We have the capability to continue to provide our major products to customers including sales and services,” Song said.
“Our major products will not be affected by these actions.”
Huawei said a hearing on its move for summary judgement has been set for September 19.
Song said Washington’s use of administrative orders and laws to punish a single company “sets a very dangerous precedent.”
“Today it is telecom and Huawei, tomorrow it could be your company, your industry, your customers,” he told reporters.
Vincent Pang, Huawei’s senior vice president and head of corporate communications, said the executive order and blacklist had transcended the boundaries of normal market competition.
“This could lead to the start of the fragmentation of the global tech ecosystem and standards,” Pang said.
Pang also said he did not expect the “political” situation to delay the introduction in China of fifth-generation (5G) network technology.
