Huawei has been in a tight spot ever since the US executive order was signed. And it looks like the effects of the ban are spreading beyond the US and China as well. This is because Huawei has called for a reduction of orders for the production of new phones.
Sources to the South China Morning Post claims that Taiwanese tech manufacturer Foxconn has halted production lines for a number of Huawei phones. The reduced production came at the behest of Huawei itself, but it’s unclear if the reduced production is a short- or long-term move.
Either way, this will likely affect Huawei’s goal of becoming the world’s largest phone manufacturer within the year. It will also no doubt affect its sister brand HONOR, which is tasked with getting to the fourth spot globally, and second within China.
Of course, slowing down production isn’t the only move Huawei is taking. Late last week, the Chinese company took its own measures to cut ties with the US. It cancelled meetings with US contacts, and went as far as to send its American staff home. And while this is happening, the Chinese government openly considered its own blacklist.