Huawei sparks Chinese supplier value explosion

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Huawei sparks Chinese supplier value explosion
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The value of 32 Huawei suppliers has ballooned since the launch of the Mate 60 Pro.

Huawei Technologies Co. has established itself as the corporate symbol of China’s drive for technological self-reliance.It started with the late-August debut of its latest smartphone, theA retail-fueled equity boom followed, swelling the combined value of 32 Huawei suppliers tracked by Bloomberg by about $34 billion since the launch, defying a selloff in the broader market.

The phone is powered by a new Kirin 9000s chip that was fabricated in China by Semiconductor Manufacturing International Corp.,The processor is the first to utilise SMIC’s most advanced 7-nanometer technology and suggests Beijing is making some headway in attempts to build a domestic chip ecosystem, according to the research firm.have also added to the positive news flow.

The big gains contrast with overall weakness in Chinese stocks amid a housing market slump and deflationary pressures. Previous China equity drivers, including Internet giants like Tencent Holdings Ltd. have been struggling to find new growth opportunities that excite investors.

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