Huawei’s smartphone component orders may reportedly decline upto 60% in 2021

Last month, Canalys published a data analyzed report on the China smartphone market for the fourth quarter (Q4) of 2020. It shows that Huawei leads the ranking list with 18.8 million shipments with a decline of 41% from 22%.

The reason behind this inducement because of the U.S. government’s anti-Huawei policy and the company’s inclusion in the Entity List, which restricts the American-based technology makers from supplying the components to Huawei.

Now, according to the latest reports, it’s expected that Huawei’s smartphone components orders may drop by up to 60% in 2021. Some sources inquiries the company regarding this matter but it denied the response.

Additionally, Huawei notified that it has plans to order components for 70-80 million smartphones this year. The orders have been limited to those for 4G models as it lacks US permission to import components for 5G models. Some of the suppliers speculate that the figure could be lowered to nearly 50 million units.

However, Huawei hopes that US President Joe Biden would ease the hard-lines of former President on China trade and supply. But now it seems that the new administration will not change Trump’s policy.

On the other hand, it was reported that Huawei’s founder and CEO, Ren Zhengfei highlight the importance of open trade policies and said that they are ready to transfer its 5G technology including source code, hardware design secrets to facilitate global innovation.