Struggling under U.S. sanctions, Huawei unveiled a folding smartphone with an 8-inch (20-centimeter) -wide screen Monday to show off its tech prowess but said it will be sold only in China.

The Mate X2 highlights the challenges for Huawei Technologies Ltd. after Washington cut off access to U.S. processor chips and Google services. Last year, Huawei fell from the top-selling global smartphone brand to sixth place.

Huawei says the Mate X2, its third folding phone, has crisper visuals and better sound for movies and games. It runs on Huawei’s most advanced processor chip, the Kirin 9000.

The phone offers “a truly immersive experience,” the president of Huawei’s consumer unit, Richard Yu, said at a launch event broadcast online.

Huawei, China's first global tech brand, was battered by being put on an export blacklist by then-President Donald Trump in 2019 as a security risk, an accusation the company denies. Huawei sold its budget-priced Honor smartphone brand in November to focus resources on higher-end models.

The Mate X2 will start at 17,999 yuan ($2,785), according to Yu.

Fox Business