China says US Huawei chip warning undermines Geneva trade truce

Published 05/19/2025, 08:46 PM
© Reuters

Investing.com-- Chinese officials said on Monday that a recent U.S. warning on using certain Huawei computer chips undermined a trade truce between Washington and Beijing reached after high-level talks in Geneva last week. 

Chinese Ministry of Commerce officials said that the U.S. actions “seriously undermined the consensus reached at the China-U.S. high-level talks in Geneva, and demanded that the U.S. correct its mistakes,” a translation of a Commerce Ministry statement showed. 

“If the U.S. insists on its own way and continues to substantially damage China’s interests, China will take firm measures to safeguard its legitimate rights and interests,” the statement said. 

The U.S. Department of Commerce had last week issued a warning highlighting risks over using advanced Chinese computing chips, specifically from the Huawei Ascend line. The commerce department also said that using the chips violated U.S. export controls, essentially outlining more restrictions on Huawei.

The tech giant is blacklisted by the U.S., but is at the forefront of China’s efforts to develop advanced computing hardware. 

The U.S. commerce department warning had come just a day after the U.S. and China announced a 90-day deescalation in their bitter tariff exchange, with Washington lowering its tariffs to 30% from 145%, while Beijing lowered its tariffs to 10% from 125%. 

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