Huawei and ZTE bans: Chinese tech giants urge US not to finalise national security risk labels
- The FCC voted in November initially to designate Huawei and ZTE as national security risks
- If finalised, the move will bar US rural carrier customers from tapping a US$8.5 billion government fund to purchase equipment from the Chinese suppliers
Huawei Technologies and ZTE on Monday both asked the US Federal Communications Commission (FCC) not to finalise its designation of the China tech giants as risks to US national security.
In November, the FCC voted 5-0 to initially designate Huawei and ZTE as national security risks in a move that would bar their US rural carrier customers from tapping an US$8.5 billion government fund to purchase equipment.
Huawei said in a nearly 200-page filing with the FCC the action was “designed to implement a campaign by certain government officials, including members of Congress, to single out Huawei for burdensome and stigmatising restrictions, put it out of business in the United States, and impugn its reputation here and around the world”. It called the effort “unlawful and misguided”.
ZTE asked the FCC Monday in a filing to “take additional time to assess ZTE’s enhancements in the area of US export control and economic sanctions compliance and security controls in ZTE products.”
ZTE added it has “spent hundreds of millions of dollars to implement a compliance program relating to US export control compliance regulations.”
The commission left the final determination to the FCC’s Public Safety and Homeland Security Bureau, which could determine not to finalise the risk designation.