Monday, June 3, 2019

why would the afp disappear this article?? (or, why the us is really targeting huawei in the trade war) - AFPHuawei a key beneficiary of China subsidies that US wants ended

A replica of the Palace of Versailles, medieval turrets, and spires rise across Huawei's new campus in southern China, a monument to the telecom giant's growing fortune -- and the benefits of state aid.

The fairytale-like facilities rest on land that was sold by the local government at cut-rate prices to woo and bolster a strategic, high-tech company like Huawei.

It is the kind of government largesse that has fanned US frustrations at China's industrial policies -- subsidies are a sticking point in protracted trade talks between the world's top two economies.

Huawei has become a major flashpoint in the trade war, with President Donald Trump taking steps to block the company's dealings with US companies, threatening its global ambitions.

With the dispute shining a spotlight on China's technological shortcomings, the subsidies are a window into the kind of measures Beijing may step up as trade negotiations founder.

Huawei's annual reports and public records show that it has received hundreds of millions of dollars in grants, heavily subsidised land to build facilities and apartments for loyal employees, bonuses for top engineers, and massive state loans to international customers to fund purchases of Huawei products.

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