Huawei secures deal to roll out 5G in Russian Federation

Russia China Huawei

China's Ministry of Industry and Information Technology (MIIT) on Thursday granted 5G licenses for commercial use, marking the beginning of a new era in the country's telecommunication industry.

China has been championing Huawei, the world's biggest telecoms gear provider, as a national star as the company fights us pressure on many countries to exclude it from nascent 5G networks.

Xi and Russian President Vladimir Putin also attended a launch ceremony for a Chinese auto factory in Russia's Tula region.

Multiple outlets confirmed that Huawei secured an agreement with Russia's MTS for the former to help in building the country's 5G networks.

The deal is likely to provide some relief to Huawei, which has been under intense global scrutiny in recent months.

Quoted in the statement, Huawei's deputy chairman Guo Ping said he was "very happy" with the agreement "in an area of strategic importance like 5G". The company has attracted controversy for its central part in the US-China power struggle, which is now playing out through a trade war and a technology sector war.

It will hurt Huawei, the world's second largest smartphone maker, as it gets half of the chips it uses from United States suppliers. However, the ban could still challenge Huawei as it needs to secure contracts with semiconductor suppliers to support its construction of infrastructures for its 5G network. "The fact that the ceremony was attended by the President of Russian Federation and the Chairman of the People's Republic of China once again proves how important partnership for technology is for Russian Federation and China".

USA top diplomat presses Dutch to be tough on China over tech
Iranian military leaders have always been opposed to talking with the United States. Pompeo is now in Switzerland for talks with Foreign Minister Ignazio Cassis.

According to a report on the official website of S&P Global, Russia is embroiled in disputes with the USA government regarding American firms operating a business in partnership with Russian firms.

China hasn't said what action it might take against the entities included on its list.

The news comes as China was reported to have granted licenses to operate 5G in the country.

This comes as great news for Huawei Technologies, especially when the company was banned from conducting business with USA technology companies over spying suspicions for Beijing.

President Donald Trump has ordered tariffs of up to 25% on hundreds of billions of dollars' worth of Chinese exports and his administration is preparing to extend them to $300 billion more - nearly all items shipped to the US from China.

Several firms have already distanced themselves from Huawei, including Google, whose Android operating system runs the vast majority of smartphones in the world.

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