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A Huawei logo displayed in a shop in Beijing.
Fred Dufour | AFP | Getty Images
Chinese tech company Huawei plans to fire hundreds of employees in the United States while it struggles with a blacklist imposed by the Trump administration for national security reasons, reported the Wall Street Journal, citing people close to the file.
The layoffs are expected to affect Huawei's US development subsidiary, Futurewei, according to the Journal. Futurewei employs 850 people in research labs across the United States, including Texas, California, and Washington State. Overall, Huawei employs approximately 1,500 people in the United States and primarily sells equipment to mobile operators in rural areas.
Although the exact number of layoffs was not precisely defined, a person familiar with the case told the Journal that hundreds of people should lose their jobs.
Huawei could not be reached immediately for comment.
The Trump administration declared a national emergency in May due to threats to national security, and the Commerce Department added Huawei to a blacklist, banning US companies from trading with Huawei without special permission from Commerce.
The blacklist hit Huawei hard. CEO and founder, Ren Zhengfei, said the company hoped to receive $ 30 billion over the next two years due to restrictions imposed by the United States. Huawei recently announced the removal of a new laptop.
President Donald Trump, however, has agreed to ease restrictions on Huawei and let US companies do business with it until national security is threatened. This deal was part of a truce concluded last month by Trump and Chinese President Xi Jinping during the G-20 in Japan, to revive trade negotiations and avoid a new deal. climbing for the moment.
White House economic adviser Larry Kudlow made it clear that Trump was not giving Huawei a blanket amnesty. Instead, the Commerce Department will simply grant more licenses to US companies that want to do business with Huawei, as long as they are not tied to national security.
Read the full article in the Wall Street Journal
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