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Sources inform Globes that representatives of the R&D department of Chinese communications equipment giant Huawei arrived in Israel this week to examine the possibility of establishing an R&D center in Israel.

The visit follows Minister of Industry Trade and Labor Ehud Olmert''s visit to China in June. Olmert was accompanied by a business delegation, which met Huawei chief manager Zhang Laifa. Olmert invited Zhang to establish an R&D center in Israel and to attend the Telecom Israel 2004 exhibition in November.

Amiram Halevy-Laher, director of the Asia Pacific division at the Ministry of Industry, Trade, and Labor foreign trade administration, confirmed the report. He said the visit by Huawei R&D representatives and the expected visit by Zhang next month were initial steps for examining the possible establishment of a Huawei R&D center in Israel.

A delegation of Israel high-tech businesspeople and Israeli Industry Center for R&D (MATIMOP) representatives recently visited Shezhen in China, where it established relations with Huawei''s R&D department. Following the meeting in Shenzhen, Huawei''s R&D staff will also meet MATIMOP representatives in Israel.

Asia Intelligence Wire