Chinese telecommunications group Huawei is working on a plan to build its own components at a site in Europe, its chairman told AFP, as the 5G leader strives to overcome U.S. sanctions.

Axar.az reports citing Daily Sabah.

President Donald Trump has ordered American firms to cease doing business with Huawei, but Liang Hua rejected U.S. allegations that the company is a tool of Chinese intelligence.

"We are planning to manufacture our own components at a production site in Europe in the future," he said in an interview at AFP's headquarters.

"We are conducting a feasibility study to open a factory in Europe for this. The choice of country will depend on that study," he said.

While there is no timetable for the choice, Liang said "it could happen very quickly."

Trump's offensive has deprived Huawei of access to technology such as semiconductors from U.S. leaders Micron, Qualcomm and Intel, so the company has had to diversify its supply base, notably from elsewhere in Asia.

The company chairman said: "In the area of 5G technology, we are already no longer dependent on the supply of chips and other components from American companies."