On Monday, China’s Huawei Technologies Co stated, it has slashed its India revenue target by up to 50% for 2020 and has begun laying off employees in the country.
The development comes in the wake of Chinese troops attacking their Indian counterpart in the Indian state of Ladakh which resulted in calls for boycotting Chinese goods in Asia’s third-biggest economy.
For 2020, Huawei is targeting $350-$500 million in revenue for 2020 against its earlier target range of $700-800 million, said a report from the Economics Times.
According to sources aware of the matter at hand, Huawei is cutting 60-70% of its Indian staff, excluding those working in its research and development and in its global service centre.
The Indian government has also instructed two of its state-run telecoms companies to use locally-manufactured equipment rather than Chinese telecom equipment as they ramp up efforts to upgrade their respective mobile networks to 4G.
India has also removed Chinese contractors for large government contracts.
Huawei did not immediately respond to requests for comments.