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Chinese authorities suspect FedEx of holding back more than 100 Huawei parcels, according to the country’s state news agency, after the US delivery company claimed it diverted parcels in “error”.

FedEx previously said the diversions were a mistake made as it implemented changes in internal protocol, as a result of the US government’s ban on Huawei packages. Huawei was blacklisted by the US in the midst of national security concerns and a trade war.

However, Chinese authorities have insisted that this claim “was inconsistent with the facts” and that their investigation will continue.

FedEx responded: “We have seen the announcement from the China State Post Bureau about the investigation and are following up on the findings. We have and will continue to fully cooperate with the Chinese authorities on the investigation and we are committed to full compliance with all applicable laws and regulations.”

FedEx reiterated that the shipments in question were handled when it was trying to comply with the order from the US Department of Commerce’s (DOC) Bureau of Industry and Security (BIS), “which was unclear and resulted in considerable complexity for our operations”—the reason the company has now sued the DOC.

FedEx ended the statement by saying that it valued its business in China.

Source: CNN, FedEx

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