China Considers Blacklisting FedEx After Huawei Delivery Errors

FedEx refused a Huawei phone to the US amidst Huawei ban - news

FedEx Denies Delivery of Huawei P30 Pro in the US

On May 15, the Commerce Department placed Huawei on the entity list, saying there was a "reasonable basis to conclude" that the Chinese company "is engaged in activities that are contrary to US national security or foreign policy interest".

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

China's foreign ministry spokesman Geng Shuang said the shipping company should offer an explanation after FedEx released a statement saying an "operational error" was to blame for the package not being shipped to the U.S., Reuters reported.

You might remember that we reported a few days ago about PCMag having a Huawei phone returned when it attempted to ship from the United Kingdom to the U.S. There was also an incident back in May where FedEx routed two packages through the U.S. that were bound for Asia. Our relationship with Huawei Technologies Co Ltd and our relationships with all of our customers in China are important to us.

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UPS a close competitor shipping company to FedEx, on the other hand, clarified that they still ship Huawei products to the United Kingdom and USA since there is "not a general ban on shipping Huawei devices" between the two locations.

US delivery giant FedEx has found itself caught between a Huawei phone and a hard place.

"Can you imagine if FedEx was banned from doing business? As for the Huawei Express incident that caused concern, Smith also explained: "(The first two packages) was a 30-year-old FedEx excellent employee who made a mistake and transferred two packages to the compliance audit department. Cryptically, though, the company did point out that "the return to sender label attached to the package in question was not generated by FedEx".

"We are expected to be policemen for these export and import controls, and there are about 1,100 entities now on this list", Smith told Fox News.

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A Commerce Department spokesperson, in an email to The Register said, "We have not yet reviewed the complaint, but nevertheless look forward to defending Commerce's role in protecting USA national security". The phone was shipped using Parcelforce and FedEx, and to ship it internationally, the P30's model number had to be listed on a shipping form.

The US logistics group is already under investigation in China for failing to deliver some of Huawei's parcels. US Department of Commerce, 19-cv-1828, U.S. District Court, District of Columbia (Washington).

The error came less than a month after FedEx apologized for misdirecting packages sent between offices of Huawei.

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