OPINION / OBSERVER
Why the US cannot suppress Huawei’s development
Published: Jan 07, 2019 08:38 PM

It's no secret that Chinese tech giant Huawei, along with China's high-tech development that the company represents, have been targets of US suppression. But two events in China on Monday suggested the US attempt is doomed to fail.

Huawei unveiled its latest core chipset central processing unit (CPU) on Monday, an achievement that enhances its chip-making capacities and will contribute to the realization of Chinese chip self-supply. The new CPU, called Kunpeng 920, was built on the semiconductor architecture of UK semiconductor maker ARM Holdings. With unwarranted concerns swirling over Huawei's ambition to beat industrial peers and seek technological dominance, the company has displayed to the world it is committed to conducting global collaboration.

Huawei's success is fundamentally the success of innovation. Since its foundation, the company has pushed the pace of innovation, constantly bringing to the market something new and innovative. But it's worth noting that effective cooperation with global partners has played an important role in helping Huawei make breakthroughs, bringing top-notch technologies and products to serve the global market. Huawei's global business principles are openness, cooperation and win-win, as laid out by the firm in October. To a certain extent, the company cannot have achieved its present-day success and technological progress without its extensive cooperation with more than 13,000 supply partners as well as with industrial peers.

On the same day Huawei launched its new chipset, US electric carmaker Tesla Inc. broke ground on its Shanghai factory, which would double the size of the electric car maker's global manufacturing, making it the first to benefit from a new policy allowing foreign carmakers to set up wholly-owned subsidiaries in China. The groundbreaking of Tesla's Gigafactory is an indication of China's determination on expanding opening-up.

Eyeing China's huge population and its generous electric vehicle incentives, Tesla has long been willing to join in the Chinese new-energy vehicle market.

Given the gigantic consumption potential, China's efforts to create a more favorable regulatory environment for foreign investors and accelerating pace of opening-up with a string of fresh market-opening measures rolled out last year, the Chinese market will be more appealing to foreign companies, especially American companies. As a result, there will also be more fierce competition among those foreign investors.

In the face of US pressure, cooperation with the outside world and expansion of opening-up are the only way out for China as well as Chinese tech companies, Huawei in particular, to break though US technological encirclement.

As long as China continues to innovate, carry out global and open collaboration and stick to further opening-up, it will provide the international market with more superior technologies and products that will benefit other countries. China's technological advancement cannot be suppressed. The US had better face up to this reality.