Chinese telecom giant Huawei has warned of retaliation from Beijing if the United States intensifies its crackdown on the company.

“I think the Chinese government will not just stand by and watch Huawei be slaughtered,” Huawei chairman Eric Xu said at a news conference Tuesday in Shenzhen, China. 

“If the Chinese government followed through with countermeasures, the impact on the global industry would be astonishing,” Xu said. “It’s not only going to be one company, Huawei, that could be destroyed.”

Reuters reported earlier this week that the Trump administration is considering new measures that would restrict the global supply of chips to Huawei. The rule would force any foreign company using American chipmaking equipment to obtain a U.S. license before selling certain chips to Huawei. 

Such a move could backfire on the U.S., however. 

“This is going to have a far more negative impact on U.S. companies than it will on Huawei, because Huawei will develop their own supply chain,” trade lawyer Doug Jacobson told Reuters. “Ultimately, Huawei will find alternatives.” 

The U.S. government and Huawei have long had a contentious relationship under the Trump administration. 

In May, the White House implemented a blacklist on Huawei, barring U.S. companies from doing business with the Chinese firm. The U.S. government has also been pressuring countries to reject Huawei’s participation in their 5G networks, or face consequences from Washington. 

Huawei’s CFO Meng Wanzhou was arrested in December 2018 in Canada on U.S allegations of bank fraud and circumventing sanctions on Iran. She is currently awaiting a decision on being extradited to the U.S.