US regulator bans Huawei, ZTE from selling their equipment in country. Here's why.
Equipment made by Huawei and ZTE cannot be sold in the US, according to the regulator Photograph:( WION Web Team )
Story highlights
The Biden administration has banned approvals of new telecommunications equipment from China's Huawei Technologies and ZTE because they pose “an unacceptable risk” to the U.S. national security. The U.S. Federal Communications Commission said it has also barred the sale or import of equipment manufactured by Chinese surveillance equipment maker Dahua Technology, video surveillance firm Hangzhou Hikvision Digital Technology and telecom firm Hytera Communications Corp Ltd
The Biden administration has banned approvals of new telecommunications equipment from China's Huawei Technologies and ZTE because they pose “an unacceptable risk” to the U.S. national security. The U.S. Federal Communications Commission said it has also barred the sale or import of equipment manufactured by Chinese surveillance equipment maker Dahua Technology, video surveillance firm Hangzhou Hikvision Digital Technology and telecom firm Hytera Communications Corp Ltd
The US Federal Communications Commission on Friday announced that all telecommunication equipment produced by Chinese companies Huawei Technologies and the ZTE Corporation was banned from being sold on the United States soil. The regulator said the two companies posed an 'unacceptable' security risk and that the decision was aimed at protecting the American public.
"The FCC is committed to protecting our national security by ensuring that untrustworthy communications equipment is not authorized for use within our borders, and we are continuing that work here," said Jessica Rosenworcel, FCC chairwoman.
"These new rules are an important part of our ongoing actions to protect the American people from national security threats involving telecommunications," she added.
All four commissioners at the agency, including two Republicans and two Democrats, supported the move.
Apart from Huawei and ZTE, video surveillance equipment companies viz. Hangzhou Hikvision and Dahua Technology and telecom firm Hytera Communications Corp Ltd
have also been barred from selling their equipment.
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It was in June last year that the FCC first indicated that it was considering banning all equipment authorisation for Huawei and ZTE.
Chinese companies have long been on the radar of Washington and the regulators. It all started during the tenure of former president Donald Trump, who was particularly severe on Chinese tech companies.
Trump was of the view that Huawei had deep ties with China's authoritarian regime and that the company was rigging its 5G equipment to act as spy tools for the Politburo.
Consequently, in 2019, Huawei was put on a trade blacklist; meaning US suppliers were barred from doing business with the Chinese company.
As for ZTE, the company was banned for seven years after it violated the terms of a settlement deal for illegally shipping goods made with US parts to Iran and North Korea.
While Trump's policies did not keep Chinese products out of the US, FCC's decision is expected to impose a blanket ban on the sales.
(With inputs from agencies)
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