Panasonic suspends some component shipments to Huawei

May 23, 2019 09:09
Panasonic has joined the list of firms that are curtailing business dealings with Huawei in the wake of a US trade blacklist. Photo: Reuters

Japan’s Panasonic Corp said on Thursday that it has stopped shipments of certain components to Huawei Technologies to comply with US restrictions on the Chinese company, Reuters reports.

“Panasonic has instructed employees to halt transactions with Huawei and its 68 affiliates covered by the US ban,” the company was quoted as saying in a statement.

Panasonic does not have a major production site for components in the United States, but it said the ban applies to goods having 25 percent or more of US-originated technologies or materials.

The company, which makes a wide range of devices for smartphones, cars and factory automation equipment, declined to comment on which components are subject to the ban and where they are produced.

The US Commerce Department blocked Huawei from buying US goods last week, saying the firm was involved in activities contrary to national security.

The United States temporarily eased the restrictions on Huawei on Monday, to minimize disruption for customers.

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