There is currently a huge growth in the smartphone manufacturing industry and many companies are seeking to expand to other countries. A couple of weeks ago, Chinese manufacturing giant, Huawei, had a failed attempt to expand to the United States and now, the company is shifting its attention to strengthening its businesses in the United Kingdom. Huawei has a total budget of £9.3 billion (~$13 billion) for investment in the UK. Huawei’s chairperson, Sun Yafang, made this claim to the British Prime minister, Theresa May, while she was on a trade mission in China.
Patent licensing fees paid by Huawei to British chip manufacturer ARM as well as the “global risk management and forex trading operations” run by Huawei from London will both be covered by this deal. In 2012, Huawei made# a pledge to procure £1.3 billion in the UK from 2013-17, this current deal is different from the initial pledge and according to Reuters, Huawei will also have business deals in telecoms infrastructure – It is currently a supplier to British telecom companies like Vodafone and BT.
Britain’s International Trade Secretary Liam Fox said
“I’m delighted to welcome their increased commitment to the UK”…
“With 90 percent of global growth forecast to come from outside the EU, my international economic department is working to ensure Britain continues to benefit from the vast opportunities available as we leave the EU.”
Huawei’s UK head office is in Green Park, Reading, and the company currently has about 1,500 employees with 15 offices spread across the UK. As of now, the UK is willing to accept all favorable external deals especially after the Brexit vote which will leave the region without the protection of the European Union very soon.