Huawei signs deal to develop 5G networks in Russian Federation

Among the major announcements made during Xi's high-profile meeting with Russian President Vladimir Putin was the fact that the controversial Chinese company Huawei, which the Trump administration banned due to national security concerns, would build a 5G network for Russia. The arrangement will result in "the development of 5G technologies and the pilot launch of fifth-generation networks in 2019-2020", MTS said in a statement. Huawei has been under growing pressure since May, when the Trump administration banned USA companies from selling high-tech equipment to firm over suspicions it was spying for the Chinese government.

China's Commerce Ministry says it will release the list in the near future. The move could jeopardize the company's future because of its heavy reliance on the US market.

China's state-run media reported that Huawei has 46 commercial 5G contracts in 30 countries worldwide and has shipped around 100,000 5G base stations around the world.

"5G is ON", a statement read on Huawei official website.

One of Russia's leading mobile firms and Huawei agreed to cooperate in the field of 5G tech amid an ongoing pressure campaign against the Chinese tech titan, unleashed by the US. Some countries including Australia and New Zealand have blocked Huawei from supplying 5G equipment.

Chinese President Xi Jinping and Russian President Vladimir Putin applaud as Huawei Chairman Guo Ping and MTS boss Alexei Kornya agree to develop 5G in Russia.

The technology is expected to bring new opportunities and buoy the growth of China's digital economy, Miao said, adding that it will accelerate the digital transformation of many industries, and will be more intensively used in sectors such as Industrial Internet and Internet of Vehicle.

The U.S. has imposed sanctions against the world's No. 1 network equipment provider and second-largest smartphone maker, arguing that it is legally beholden to the Chinese government, which could use the company's products for cyberespionage.

The move led to an escalation in the US-China trade war, with Beijing preparing its own blacklist of "unreliable" foreign companies.

Huawei rejects this claim and says it is independent from the government.

China and the United States have been involved in a tit-for-tat trade war for nearly a year now.


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