Meng Wanzhou, the CFO of Huawei Technologies was arrested on 1st Dec. The occurrence impacted negatively over one of the Japenese suppliers of the company and froze its orders as well.
Japenese industrial robot supplier, Yaskawa Electric Corp. has been vending robots to Huawei for its smartphone and telecom gear factories. Meanwhile, Yaskawa has held all purchase orders of the company.
Yaskawa’s President Hiroshi Ogasawara said that Huawei is into a muddle now. The Japenese vendor will hold all the transactions till the company settles down all of its critical matters.
Yaskawa’s stock was stumbled at 4 percent reduction before the day ended. Other market competitors such as Fanuc Corp., SMC Corp., and Nabtesco Corp saw rapid growth in their shares after the news uncovered.
Huawei Technologies affirmed that it is putting a halt on investment. The company did not decide anything considering an investment for equipment. Actually, it is aiming to expand the business by forming partnerships with Japenese suppliers, as per the mentioned in a statement.
The CFO was arrested in Vancouver by U.S. authorities. She attempted volitation of sanctions relevant to providing technology to Iran.