Chinese social media is calling for a boycott of Apple in return.
The AT&T phone cancellation is just the latest unproven security accusation. A decade ago, I brought Huawei in to bid in a modest mobile network I was consulting on. We needed a better price for microwave backhaul gear; to get into the account Huawei came in about 30% lower for comparable equipment. Then the call came in to the company President from a Senator's aide. "Don't buy from Huawei," he said, and reminded the CEO how dependent the company was on government funding. There was no choice.
Since then, Huawei has been allowed to sell phones in the U.S. but not major networking equipment. It's somewhere between very difficult and impossible to use the phones covertly. There are dozens of Huawei phones and other products available at Amazon or Best Buy. Google phones are made by Huawei. There were no security issues raised, until Huawei committed to spending $100M on advertising to back up a large contract with AT&T. The ad at left is from the NY subway.