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US-China tech war: Huawei challenges national security threat designation from Trump era

  • The US Federal Communications Commission designated Huawei and ZTE as security threats last year
  • The FCC also revoked China Telecom’s authorisation to operate in the US

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The Huawei logo is seen at the IFA consumer technology fair in Berlin, Germany on September 3, 2020. Photo: Reuters

Huawei Technologies Co has filed a legal challenge to the Federal Communications Commission’s designation of the Chinese company as a US national security threat to communications networks.

The FCC in June formally designated China’s Huawei and ZTE Corp as security threats, a declaration barring US firms from tapping an US$8.3 billion government fund to purchase equipment from the companies. In December the FCC rejected a petition from Huawei asking the agency to reconsider its decision.

Huawei said in a petition filed late on Monday with the Fifth US Circuit Court of Appeals that the FCC order exceeded “statutory authority; violates federal law and the Constitution; is arbitrary, capricious, and an abuse of discretion.”

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The FCC did not immediately comment on Huawei’s petition.

The agency also in December finalised rules requiring carriers with ZTE or Huawei equipment to “rip and replace” that equipment. It created a reimbursement programme for that effort, and US lawmakers in December approved US$1.9 billion to fund the programme.

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