A report from China last week suggested that Foxconn, the company building Huawei’s phones, among others, has shut down some of the Huawei production lines. The report cited unnamed sources and hinted the move to be related to the recent U.S. ban, and its consequences in several hardware and software companies reassessing their working relationship with Huawei.
While the Chinese tech giant didn’t immediately comment on the matter, it has now decided to go public, denying the rumors. According to a recent Forbes report, Huawei states that production has not been stopped, or adjusted in any way.
Huawei refutes these claims, our global production levels are normal, with no notable adjustments in either direction — Huawei official
Huawei is facing difficulties worldwide when it comes to its 5G network infrastructure plans, as the U.S. is pressuring allies for a Huawei ban. In the smartphone segment, Huawei had a strong pre-ban first quarter, inching closer to Samsung and the number one position. It will be interesting to see how Huawei will manage the status quo and maintain some of the momentum.