Huawei’s international smartphone sales have dropped a whopping 40% since the U.S. imposed restrictions on the Chinese technology giant last month. The decline in sales could result is a reduction of 40 to 60 million devices shipped this year. However, Huawei noted that sales of its devices in China remain strong.
But still, the shortfall is expected to take a huge toll on Huawei’s revenue. The company’s founder and CEO, Ren Zhengfei cautioned that the restrictions, set about by the trade war between China and the U.S., will take US$30 billion off its top-line over the next two years. This year alone, Huawei is expecting revenue to drop to about US$100 billion from US$107 billion last year. Prior to the restrictions, Huawei forecasted a revenue growth of 15 to 25% for 2019.Despite this, Ren remains confident his company will regain its momentum. “By 2020 we will start to regain our growth momentum. We will do a lot of switching over and will take time to ramp up, but after that we will be stronger,” he said.