How the United States changed Huawei’s table

When Keith Crack finally visited China as CEO of the highly successful software company DocuSign, which has more than 400 million users in 188 countries, the excitement of China’s digital advances prevailed. Was there.

“I saw a lot of new tech. I saw a drone swarm tech. Everyone was telling me to download Tencent every 30 minutes,” Krach said. Tencent is a multinational conglomerate behind the popular WeChat app in China.

That was December 2017. Today, Krach is near the top of the list of Americans who are forbidden to visit China again or trade with Chinese entities with their close relatives.

Former Secretary of State Mike Pompeo said, “I was number one. [former trade policy adviser Peter] In a recent interview, Klach said Navarro was second and I was third. “

Twenty-eight people were attacked by sanctions announced on January 20, minutes after US President Joe Biden took office.

“Shoot across their bow”

Although the sanctions focused on retirees, Mr. Clark believed that it was intended as a warning to members of the upcoming Biden administration, including Secretary of State Antony Blinken and Whitehouse Asia coordinator Kurt Campbell. He said he was.

“It’s a shot across their bow-you know, just enough to make them hesitate-and it makes a difference. For me, it doesn’t affect me. I’m another in life. “I’m in the same place,” Krach told VOA a recent visit to Washington.

Clach became Under Secretary of State for the United States in March 2019 and remained in that position until the end of President Donald Trump’s term.

“My responsibility was to promote global economic growth, maximize national security, and develop an operational global economic security strategy to combat China’s aggression,” he said. ..

A year after work, “the 5G problem has become very urgent,” he said. “Huawei has announced that it has 91 contracts worldwide and 47 in Europe. It didn’t seem like it could be stopped, [that] They intended to run the table. “

Krach’s job was to turn the table.

File-Information about Huawei’s 5G equipment will be displayed on the screen of the World 5G Exhibition held in Beijing, China on November 22, 2019.

The United States began warning allies and partners in 2019, warning that having Chinese telecommunications company Huawei build a 5G communications infrastructure risks exposing citizens and their official data to China’s national surveillance. The Trump administration argued that Huawei should be locked out, both for its own sake and for collective security among its democratic allies.

Huawei is branded as a “national champion” in China, Communist Party Administration It is embedded in the corporate structure.

Krach and his team have joined dozens of Allied and telecommunications companies, one at a time, into what has become known as the Clean Network. “By the time we finish [Huawei] According to Krach, there were probably nearly a dozen to a dozen contracts left.

It has not always been easy to build what the US authorities call a “democratic alliance” to ensure technical independence from China’s state-owned enterprises. As Krach said, the same horrifying tactics were used by government officials and businessmen in other countries when Chinese officials attempted to intimidate the next US official.

Fear of retaliation

“At these bilateral conferences, it was fairly clear that everyone was afraid to talk about China and Huawei. The elephants in the room were retaliation and retaliation for China,” Clark recalled. “That is, most of the clean networks [providing] “Security blanket” because it has strengths in numbers and strength in unity and solidarity. “

NATO Deputy Secretary-General Mircea Joana and EU Internal Market Commissioner Thierry Breton said the political, economic and security alliance between democracies was “as strong as our weakest ties.” It was a natural ally that didn’t need to be persuaded.

But to effectively counter Huawei, the democratic alliance also needed to control the technology and hardware needed to build 5G systems. Mr. Clach said the Taiwanese semiconductor manufacturing company was persuaded to build a state-of-the-art factory in the United States while the Trump administration was implementing export controls that rob Huawei of essential semiconductors and related technologies.

On August 31, 2018, at the reception of Taiwan Semiconductor Manufacturing Company (TSMC) in New State, Taiwan, a leaflet will be seen asking employees to protect the company's confidentiality. File-On August 31, 2018, at the reception of a Taiwanese semiconductor manufacturing company in New State, Taiwan, a leaflet will be displayed asking employees to protect the company’s confidentiality.

“First we see Huawei start losing momentum, then the tide begins to change, then the tide changes, then the tide changes,” he said.

Mr. Klach believes that confronting the “China challenge” requires continued bipartisan efforts by both U.S. parties, and his efforts as Deputy Secretary of Economic Affairs are the Biden administration’s “advantages.” I hope to have provided a “start”.

He also hopes that the “Democratic Alliance” will continue to flourish and that Biden’s “Bai-American” initiative will be combined with the purchase of products from allies and partners. “Why don’t you do free trade between clean networks?” He said.

Journey from Ohio

Krach was born in April 1957 in what was described as “a small town in Ohio.”

“My dad ran a machine shop and my mother was a teacher,” he said. “My dad’s customer was a supplier to the Big Three car company in Detroit, and his property was tied to their property …. During boom times, we scrambled to process large orders. At bad times, I was his only employee. “

Krach heard that his father “dreamed of helping me gain’university knowledge’and return as an engineer to grow a machine shop into a large company with 10 employees.” I told the US Senator.

The son never returned to work with his father in Ohio, but instead became the youngest vice president at General Motors and later became a millionaire inventor and corporate CEO before joining the State Department. It was.

Krach is now back in California and is happy with the government’s service.

“In Silicon Valley, we say,’Corporate responsibility is social responsibility.’ Well, corporate responsibility is also national security, because businesses exist without the United States, democracy, and capitalism. Because I don’t get it, “he said.

How the United States changed Huawei’s table

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