US lawmakers propose US$1 billion fund to replace Huawei equipment over security fears
- Bipartisan bill aims to protect US communication networks from ‘foreign adversaries’ by helping small and rural wireless providers root out ‘suspect’ gear
- Rural Wireless Association estimates that 25 per cent of its members have Huawei and ZTE in their networks
A US House panel unveiled bipartisan legislation this week that would authorise US$1 billion for small and rural wireless providers to remove network equipment bought from companies including Huawei Technologies and ZTE Corp, which lawmakers say poses a national security risk.
The legislation is similar to a bill approved in July by the US Senate Commerce Committee that would authorise about US$700 million in grants to remove Huawei equipment to boost the security of the telecommunication network’s supply chain.
The top Democrats and Republicans on the House Energy and Commerce Committee said in a joint statement that the bill will protect the “nation’s communications networks from foreign adversaries by helping small and rural wireless providers root-out suspect network equipment and replace it with more secure equipment.”
The panel will hold a hearing on the bill Friday. Huawei did not immediately comment.
In May President Donald Trump signed a long-awaited executive order declaring a national emergency and barring US companies from using telecommunications equipment made by firms posing a national security risk. The order directed the Commerce Department, working with other government agencies, to draw up an enforcement plan by October.
The US government blacklisted Huawei in May, alleging the Chinese company is involved in activities contrary to US national security or foreign policy interests. In August, the Commerce Department added more than 40 additional Huawei’s units to its economic blacklist, raising the total to more than 100 Huawei entities covered by the restrictions.