On June 29, the World Wide Web quoted CNN as saying that after meeting with President Xi Jinping on the same day, Trump said at the G20 press conference that he would allow US companies to continue to sell equipment to Huawei. Trump said, "American companies can sell their equipment to Huawei... there are no major national emergency issues."

On the afternoon of the same day, Special Envoy of the Ministry of Foreign Affairs G20 and Director of the International Economics Department Wang Xiaolong held a briefing for Chinese and foreign media at the press center of the Chinese delegation. Wang Xiaolong said that Trump said at the press conference that the US may release some restrictions on Huawei. If the US says it is done, "we must be welcome."

This news is undoubtedly a major positive for the US suppliers that have been hit hard by the US after they banned Huawei. According to the statistics of the reporter, since the promulgation of the US Department of Commerce ban on May 15, the market value of six Huawei-based suppliers in Broadcom and Qualcomm has evaporated by nearly $17 billion.

China welcomes this

At the press conference, Trump first said: "What surprised many people is that we sold a lot of products to Huawei, and then these products were made into various products by Huawei." Trump then Added: "I think this is ok, we will continue to sell these products."

Next, Trump said that the products sold to Huawei are made by American companies. They are very complicated and scientific products, and only the United States has technology and products. “In fact, what we do in Silicon Valley is hard to implement, no one can compete with us,” he said.

"So I agree - I easily agree to allow them to continue selling these products." Trump said, "We let them continue to sell to Huawei."

Then Bloomberg reported that Trump added that he allowed American companies to sell to Huawei products that did not have "great national security issues." At the same time, Trump once again stressed that Huawei's products are very complex products produced by US companies in Silicon Valley and many other places in the United States. These American companies are great and will bring employment, so he will allow these American companies to continue. Sell ​​products to Huawei.

For Trump's claims, China has also given a response. Wang Xiaolong, special envoy of the Chinese Ministry of Foreign Affairs G20 and Director of the International Economics Department, said at another press conference: "If the US says it is done, we are welcome."

Wang Xiaolong said: "Huawei is a private enterprise, and its information technology is in a leading position in the world. For such a company, I think that no matter where it invests, it will participate in the development and construction of the local communication market. The industry plays a very good role in promoting it. Some restrictions beyond the technical and economic scope will definitely lead to a 'double loss' situation."

"So if the US has made such a declaration and said it is done, we are welcome." Wang Xiaolong said.

6 US suppliers welcome good

The reporter noted that when the US Department of Commerce listed Huawei as an “entity list” on May 15 and prohibited US companies from selling related technologies and products to Huawei, Broadcom, Qualcomm, Lumentum, Qorvo, Skyworks and NeoPhotonic The stock price went down across the board.

Broadcom is one of the world's largest semiconductor companies, with more than 5% of its total sales coming from Huawei. On May 15th, the ban was promulgated until June 28th. Broadcom's share price fell by 3.77%, the market value accumulated nearly 4.5 billion US dollars, while the Nasdaq index rose 2% over the same period.

Although Qualcomm is still the main supplier of Huawei modem chips, the impact is relatively small – analysts estimate that only 15% of Huawei phones use Qualcomm chips. Despite this, since the ban was issued, Qualcomm's share price has plummeted by 10.87% and the market value of evaporation reached $11.3 billion.

NeoPhotonic is a manufacturer of fiber optic communication components. It is engaged in the development, manufacture and sale of hybrid photonic integrated optoelectronic products with communication network transmission, reception and switching of high-speed digital optical signals for downstream communication network customers. According to NeoPhotonic's annual report, in the 2016~2018 financial year, 50%, 40% and 46% of the company's revenues came from Huawei. Huawei is the company's largest “golden owner”. Revenue relies heavily on Huawei's NeoPhotonic. The stock price has plunged 26.67% since the ban was issued, and the market value has evaporated by 70 million US dollars.

LumentumHoldings Inc. is a supplier of optical components from Huawei. According to the company's annual report, in the last three fiscal years, only four companies accounted for more than 10% of Lumentum's net income, namely Apple, Huawei, Ciena and Cisco Systems. For Lumentum, Huawei is the second-largest "golden master" after Apple. Since the ban was issued, Lumentum's share price has fallen by 6.87%, and the market value has evaporated by 300 million US dollars.

Look at Qorvo, a leading provider of mobile, infrastructure, defense, aerospace core technology and RF solutions. In the company's 2018 annual report, Covo clearly pointed out that during the fiscal year 2016~2018, Huawei was the second largest “golden owner” after Apple, contributing 12%, 11% and 8% respectively to the company. Total income. Since the ban was issued, Kovo has estimated a cumulative decline of 8.58% and a market value of 740 million US dollars.

Skyworks is a wireless semiconductor company that designs and manufactures RF and complete semiconductor system solutions for mobile communications. Unfortunately, Skyworks did not specifically report Huawei's contribution to the company's performance in its latest fiscal year's annual report. It only mentions that "in the 2017 fiscal year, Huawei contributed 10% of the company's net revenue." According to Skyworks's net income of $3.65 billion in fiscal year 2017, Huawei contributed $365 million to the company. Since the ban was issued, Skyworks shares have only fallen 0.54%, and the market value has evaporated by 72.66 million US dollars.

In summary, as the US Department of Commerce announced on May 15 that Huawei will be added to the “entity list” and prohibit US companies from selling related technologies and products to Huawei, the above-mentioned six Huawei suppliers in the United States have suffered different degrees. Specifically, the six US suppliers have evaporated a total of about $17 billion in market value in just one and a half months.