See More on Facebook

Business

FedEx sues US Commerce Department over crackdown on Huawei

US courier delivery company FedEx on Monday sued the US Department of Commerce over a request that the package giant enforce restrictions on Chinese telecom equipment provider Huawei.


Written by

Updated: June 27, 2019

In the lawsuit filed in the US District Court in the District of Columbia, FedEx claimed that department’s latest measures to restrict the business activities of US companies with Huawei “place an unreasonable burden on FedEx to police the millions of shipments that transit our network every day.”

“FedEx is a transportation company, not a law enforcement agency,” FedEx said in a statement.

The department in May added Huawei and its affiliates to an “entity list,” a move that under Export Administration Regulations (EAR) barred US companies from supplying the Chinese company with parts such as electronic chips or providing other technologies without US government approval.

The action followed a national emergency declaration issued by the Trump administration over what it called threats to US technologies.

FedEx said the prohibitions contained in the EAR violate the company’s Constitutional rights and are practically impossible to implement.

“FedEx believes that the EAR violate common carriers’ rights to due process under the Fifth Amendment of the US Constitution as they unreasonably hold common carriers strictly liable for shipments that may violate the EAR without requiring evidence that the carriers had knowledge of any violations,” the company said.

“This puts an impossible burden on a common carrier such as FedEx to know the origin and technological make-up of contents of all the shipments it handles and whether they comply with the EAR,” it added.

Chinese authorities in May launched an investigation into FedEx’s misrouting of Huawei packages, two of which should have been delivered from Japan to China but ended up being redirected to FedEx’s global hub in Memphis, Tennessee.

FedEx in a May 28 statement apologized for the delivery failure. “We confirm that no external party required FedEx to make these shipments,” it said.

Chinese Foreign Ministry Spokesperson Geng Shuang told a news briefing on Monday that the US government has been trumping up charges and abusing claims of national security to use state power in clamping down on a Chinese business. As the root cause of the chaos, its bullying practices not only hurts Chinese businesses, but also American ones.

“We urge it to stop and correct its wrong practice and create enabling conditions for the normal exchange and cooperation between companies,” said Geng.



Enjoyed this story? Share it.


China Daily
About the Author: China Daily covers domestic and world news through nine print editions and digital media worldwide.

Eastern Briefings

All you need to know about Asia


Our Eastern Briefings Newsletter presents curated stories from 22 Asian newspapers from South, Southeast and Northeast Asia.

Sign up and stay updated with the latest news.



By providing us with your email address, you agree to our Privacy Policy and Terms of Service.

View Today's Newsletter Here

Business

India bans e-cigarettes

The decision has been met with criticism and charges of favouritism. The Union Cabinet’s move on Wednesday clearing an ordinance for banning production, import, distribution and sale of electronic cigarettes and proposing a jail term and fine for its violators evoked mixed reactions among a section of Delhi doctors and other stakeholders. The Centre’s decision was slammed by trade bodies and certain stakeholders related to e-cigarettes, who reportedly alleged that it was a “draconian” move taken hastily in the interest of the conventional cigarette industry. They also charged that the government was depriving people of a safer alternative to smoking. Dr Gyandeep Mangal, senior consultant in Respiratory Medicine, Sri Balaji Action Medical Institute, said, “We are glad with the ban on e-cigarettes by Union Cabinet as these are as harmful as regular cigarettes. It is true that e-cigarette doesn


By The Statesman
September 19, 2019

Business

Carrie Lam assures investors Hong Kong can rebound from protests

Written by the Associated Press as appearing in the Straits Times. Hong Kong Chief Executive Carrie Lam has told investors at a Belt and Road forum that the semi-autonomous Chinese territory can rebound from months of protests, despite no sign that the unrest will cool down. Mrs Lam voiced confidence at Wednesday’s (Sept 11) forum that rifts can be mended through government plans for dialogue and upholding the so-called “one country, two systems” policy that gives Hong Kong some freedoms not enjoyed on the mainland. She said Hong Kong’s “indomitable resilience” will see the city through the conflict. Mrs Lam’s promise last week to axe an extradition Bill that sparked demonstrations failed t


By The Straits Times
September 12, 2019

Business

Nissan board pushes out Saikawa after disclosure of improper compensation

The embattled company is facing major structural changes on the back of two scandals. Nissan Motor Co. announced Monday that President and Chief Executive Officer Hiroto Saikawa will resign, effective Sept. 16. The company’s board requested his resignation in the wake of a revelation that he had improperly received compensation, and he accepted the request. The automaker aims to choose a successor by the end of October. Meanwhile, Chief Operating Officer Yasuhiro Yamauchi will serve as acting CEO until then. “I have considered that my mission was to restore ties with Renault and improve earnings,” Saikawa said during a press conference Monday night at Nissan headquarters in Yokohama. “I have considered that if a successor system is established, I should start handing over my duties.” The successor will be chosen by the company’s nomination commi


By The Japan News
September 11, 2019

Business

B Grimm alots 38.5 billion Baht till 2022 in Asean

The company has earmarked the money for investment. B Grimm Power Plc has set aside more than Bt38.5 billion for investment in its power projects with the aim of achieving 5,000 megawatts by 2022, the company’s chief executive officer Preeyanart Soontornwata said after opening its largest solar farm electricity plant in Tay Ninh, Vietnam in last week. “We will focus on green energy such as solar, wind and hydropower in Thailand and others countries in Asia,” she said. The company is currently developing renewable energy in Thailand, Vietnam, Laos, Cambodia, South Korea, and the Philippines through 17 co-generation plants, 24 solar PVs, three hydro-power plants, one industrial waste-to-energy project, and a diesel generation with a total capacity of 2,896 megawatts. The company is looking to expand investment in Malaysia, Cambodia, South Korea, and the Philippines by f


By The Nation (Thailand)
September 10, 2019

Business

Mitsubishi Aircraft cleared for takeoff in N. America market

It will be the first indigenous mass produced aircraft from Japan in decades. Mitsubishi Aircraft Corp. announced last week that it had signed a memorandum of understanding with Mesa Airlines Inc. of the United States to supply 100 of its Mitsubishi SpaceJet regional aircraft — a major step for expanding its struggling business into North America, the world’s largest market. Industry observers are keenly watching to see if sales of the Mitsubishi SpaceJet can prvide as momentum for Mitsubishi Aircraft to escape its current strife. The SpaceJet, Japan’s first domestically produced passenger jet formerly known as Mitsubishi Regional Jet, has a capacity of about 70 seats, and meets growing demand in the United States for smaller aircraft. If the order is formally decided, it will be the first deal for the manufacturer in about three years. With a price tag of a


By The Japan News
September 10, 2019

Business

China says Canada solely responsible for difficulties in relations

The heiress to the Huawei fortune has been arrested in Canada, while China has arrested several Canadians. China-Canada relations have met serious difficulties, and the Canadian side is solely responsible for this, a Chinese Foreign Ministry spokesperson said Thursday. Geng Shuang made the comment at a press briefing when asked about Canadian Prime Minister Justin Trudeau’s remarks that the Canadian government would not “back down” in disputes with China. Urging the Canadian side to reflect upon its mistakes, Geng said Canada should treat China’s solemn position and concerns seriously and immediately release Meng Wanzhou, the chief financial officer of Huawei. Geng also criticized Canada’s series of wrong comments on Hong Kong, saying that Hong Kong affairs are China’s internal affairs and brook no interference from any country, organization or individual.


By China Daily
August 23, 2019