Chinese telecom giant Huawei suffered a revenue dip of slightly under six per cent in the first half of 2022, company figures showed as the Covid-19 pandemic and US-China trade rivalry hit sales.
Ken Hu, Huawei’s rotating chairman, confirmed the development in a statement on Friday.
The company brought in 301.6 billion yuan ($44.8 billion), according to the data, a slip of 5.9 per cent from the previous year.
Hu said, “While our device business was heavily impacted, our ICT infrastructure business maintained steady growth.”
A supplier of networking equipment, phones, and other state-of-the-art gear, Huawei has struggled in the wake of a crackdown by the administration of former US president Donald Trump prompted by cybersecurity and espionage concerns.
The Biden administration has added to the pressure on the firm with the recently passed US Chip Act, which could threaten its access to global semiconductor supply chains.
Profit growth for the first half slowed to five per cent, down from 9.8 per cent over the same period last year, Friday’s figures showed.
The company’s smartphone sales have also slowed after the United States cut Huawei off from key parts and barred it from using Google’s Android services, continuing to decline in the first half.
The company is not publicly listed and its accounts are not subject to the same audits as companies traded on the stock market.