China warns India of 'reverse sanctions' if Huawei is blocked

Huawei is at the centre of a geopolitical tug-of-war between China and the United States.

Huawei, the world’s biggest maker of such gear, is at the centre of a geopolitical tug-of-war between China and the United States. During the meeting, Chinese officials said there could be “reverse sanctions” on Indian firms engaged in business in China should India block Huawei because of pressure from Washington, one of the sources said, citing a readout of the ambassador’s meeting.

In October, Prime Minister Narendra Modi will host Chinese President Xi Jinping in the sacred Hindu city of Varanasi, his parliamentary constituency in northern India, where the two are expected to address trade issues including a US$53 billion trade deficit in 2018/19 that India is concerned about. “We as a country are not yet sure of relying on Huawei. Globally, the Chinese companies, including Huawei, are facing allegations that they ‘underbid’ projects, and position themselves and their establishment back home to snoop and enable them to shut remotely, if required be,” he wrote.Minister Prasad told parliament that six proposals have been received for 5G technology trials, including from Huawei.

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