US Continues Crackdown On Huawei, Adds Racketeering Conspiracy Charge

President Trump’s top economic advisor Larry Kudlow has been commenting this afternoon on the Covid-19 outbreak in China.

The overall theme is the Trump administration is “quite disappointed” in China’s response to the virus outbreak as confirmed cases and deaths soar.

Kudlow said the U.S added new charges against Huawei, including racketing conspiracy to the list. The Chinese telecom was already facing criminal charges for allegedly violating U.S. sanctions against North Korea and Iran.

He said Trump spoke with Chinese President Xi Jinping last week about assisting in any efforts to contain the virus.

Kudlow is now blaming the virus outbreak and Boeing 737 Max production halt for why the U.S. economy could slip below the 3% mark in 1Q.

E-Mini S&P500 futures slipped 12bps on headlines from Kudlow.