The meetings reportedly involved three government divisions, suggesting that approval likely came from the highest ranks of Chinese leadership. Officials didn’t mention Huawei by name, but there wasn’t much doubt that the company was involved.

Whether or not the threats hold much weight is another story. If accurate, China effectively wants companies to risk violating US laws for the sake of preserving their Chinese factory and supplier relationships. They won’t necessarily have to do so (American companies are still free to use many Chinese products), but tech firms could be in an untenable position if the US-China trade war escalates further. This may be more a bargaining chip meant to extract a compromise, not a dire warning. Not that the companies can afford to ignore the threats — if China followed through, it could jeopardize the fate of the many tech businesses that depend on the country.