In the fight between China and the United States, two Italian companies, both affiliated with Huawei, are at the expense. They are Huawei Italia, a spinoff of the Chinese giant in the Bel Paese, and the research center in Milan, specialized in microwave research, very important for the development of 5G.
Both companies will not be able to have business relationships with U.S. companies or buy or sell products. Trump's decision is part of the trade blockade imposed on Huawei in mid-May. After the 3-month suspension of the Huawei ban (until August 19), Trump placed on the entity list, a sort of blacklist of companies that cannot trade with U.S. companies, another 46 entities, including Huawei Italia and the Milan research center.
It should be pointed out, however, that at the same time as Trump's decision to place the two Italian companies on the "blacklist," the U.S. Department of Commerce announced another three-month extension of the Huawei ban's effective date: expiration December 19, 2019. What does it mean? That until that date, U.S. companies will be able to sign trade agreements with the Chinese giant and sell their products.
Why Trump has placed the two Italian companies on the entity list
The Huawei ban is part of a geopolitical struggle that has seen China and the United States as protagonists for several years now. Even the customs duties imposed by Trump and Beijing on products imported respectively from China and the US are part of this situation.
While waiting for the two super powers to find an agreement that will unlock the situation, Donald Trump wanted to hit Huawei by including other of its subsidiaries in the blacklist. And this time it was also the turn of Italian companies: Hauwei Italia and the research center in Milan, one of the most important of Huawei worldwide. Located in Segrate, it studies microwaves, very important for 5G technology.
Huawei's response
Huawei was certainly not unprepared for the new sanctions imposed by Donald Trump. The response was not long in coming: the company's CEO sent a letter to his employees motivating them to do even more. The goal is to become the number one in the world of electronics.
In case the trade block becomes official, Huawei already has alternatives ready. At the software level, it has launched HarmonyOS, while from the point of view of purchasing hardware, it is looking for good substitutes in Europe and especially in China.
What changes for Huawei users
As already explained in the previous days, users who have a Huawei smartphone don't have to worry, nothing will change for them. They will continue to receive Android OS updates and security patches, as was the case in the past.
In addition, with the extension of the suspension of the Huawei ban for another 90 days (until December 19), the Chinese company's smartphones that will be released until Christmas will receive Android certification. Inside will be the Google Play Store and all Google apps. And they will be guaranteed software updates for at least a couple of years.
In case the extension is not renewed on December 19, Huawei already has an alternative ready at home: at the beginning of August it presented HarmonyOS, a new cross-platform operating system that can replace Android in a few days. We'll see how the situation will evolve in the next three months.