Huawei’s legal problems in the United States might not come to an end too soon, not even under a new administration, and by the looks of things, the Chinese tech giants expects its smartphone business to struggle not only in the States but also elsewhere.

According to a report form Nikkei Asia, Huawei has substantially reduced its component orders from suppliers, with some sources indicating the company expects to build between 70 and 80 million smartphones in 2021.

This means the Chinese firm is preparing for a drop of no less than 60 percent from close to 189 million phones shipped last year.

And it’s getting worse. People with knowledge of the matter said Huawei could end up ordering components for just 50 million devices, all because it expect the sales to decline even further throughout the year.
Huawei tight-lipped on everything

In the meantime, Huawei has remained completely tight-lipped on this production adjustments, especially because the company still hopes the legal problems in the US would eventually come to an end.

President Joe Biden’s nominee for Commerce secretary, Gina Raimondo, however, said earlier this month that removing Huawei from the Entity List isn’t something they’re planning to do if there’s any national risk involved.

“I understand that parties are placed on the Entity List and the Military End User List generally because they pose a risk to U.S. national security or foreign policy interests,” Raimondo, the Democratic governor of Rhode Island, was quoted as saying by Bloomberg. “I currently have no reason to believe that entities on those lists should not be there. If confirmed, I look forward to a briefing on these entities and others of concern.”

In the meantime, Huawei has invested aggressively in its very own operating system and replacements for Google services, though it’s pretty clear customers worldwide would rather have the real deal.

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