EU Could Impose Ban on Huawei, ZTE in Telecommunications Networks
The move comes as trade tensions between China and the EU continue to rise. Over the past year, Brussels has accused Beijing of industrial overproduction, while Chinese officials have countered by labeling EU policies as protectionist.
According to the news agency, European Commission Vice President Henna Virkkunen is pushing to transform a 2020 recommendation to exclude “high-risk” vendors from mobile networks into a legally binding rule.
If enacted, the regulation would cover both mobile network equipment and fixed-line infrastructure. Virkkunen is reportedly reviewing measures to restrict the use of Chinese technology in fiber optic and broadband expansion projects. The Commission is also expected to encourage non-EU nations to adopt similar restrictions, forming a broader coalition against Chinese telecom suppliers.
EU countries that currently control infrastructure decisions at the national level could face infringement actions and financial penalties if the regulation takes effect.
While Sweden prohibited the use of Chinese vendors in its 5G networks years ago, other member states still allow Chinese technology in portions of their national infrastructure. Germany and Finland are reportedly considering stricter limits on Huawei and ZTE.
Responding to the proposed measures, the Foreign Ministry in Beijing said: “Banning Chinese companies from access to the EU market through administrative means without any legal grounds or factual basis severely violates market principles and the rules of fair competition.”
The latest initiative signals a further escalation in the increasingly strained trade relationship between Brussels and Beijing. Earlier this year, the Dutch government seized control of Netherlands-based chipmaker Nexperia, owned by China’s Wingtech Technology, citing threats to Europe’s technological security. In response, Beijing reportedly blocked exports of Nexperia-made chips from China, prompting Amsterdam to consider returning control of the company.
Legal Disclaimer:
MENAFN provides the
information “as is” without warranty of any kind. We do not accept
any responsibility or liability for the accuracy, content, images,
videos, licenses, completeness, legality, or reliability of the information
contained in this article. If you have any complaints or copyright
issues related to this article, kindly contact the provider above.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
