FedEx CEO: We can’t be police for US Dept. of Commerce

Wednesday, 26 Jun, 2019

However, it its court filing in a district court of Columbia, FedEx lawsuit said that the company should not be held responsible to enforce any export ban to any foreign company. It's because of that we now know that FedEx is taking a rather odd stance against Huawei and the Chinese government in light of the trade ban.

"FedEx is a transportation company, not a law enforcement agency", the statement reads.

China's foreign ministry said on Monday that FedEx Corp should offer a proper explanation, after the firm apologized for refusing to ship a Huawei Technologies phone sent from Britain to the United States.

That's the role of the government, which argues that they have the right to ask for this in order to protect U.S. national security.

The lawsuit challenges changes to export rules created to keep technology out of the hands of entities or people that the US government considers potential risks to national security.

Chinese tech giant Huawei Technologies is the first company to be added to the U.S. "Entity List" which the government said posed a threat to United States.

FedEx CEO Fred Smith told United States broadcaster Fox News that "Huawei is just emblematic of this problem", referring to what he described as the "confusing situations" that can emerge when employees sought to comply with the restrictions.

FedEx seeks a permanent injunction that prevents EAR being enforced against it.

In response to the package incident, Huawei Facts accused FedEx of having a vendetta against it. The firm argues that to adhere to the ban would be "virtually impossible task, logistically, economically, and in many cases, legally".

Prompted by Huawei's complaint, Beijing has launched an investigation to determine whether FedEx was instructed by the USA government to reroute the Huawei packages.

FedEx apologised for the incident and declared that the packages were misrouted accidentally, but Beijing decided that a formal investigation was in order since the misrouting "severely harmed clients' legitimate rights and interests and violated China's delivery industry regulations".

The US Commerce Department said on Friday it was adding several Chinese companies and a government-owned institute involved in supercomputing with military applications to its own entity list that bars them from buying US parts and components without government approval.

"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.

A FedEx spokeswoman confirmed the package in question was bound for the United States but declined to disclose its contents.