China blasts U.S. for banning telecom firms over spying concerns

China’s commerce ministry criticized the U.S. government’s decision to ban new sales of telecommunications equipment made by five Chinese firms due to national security risks. It demanded they be allowed to sell their products to American consumers.

Last week, the Federal Communications Commission (FCC) banned five Chinese telecom firms from selling new products in the U.S. under the provisions of the Secure Equipment Act of 2021. 

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The FCC’s order banned all imports of telecommunications and video surveillance equipment produced by Huawei and ZTE or their affiliates. It also put a hold on sales of surveillance equipment made by Dahua and Hikvision along with two-way radios made by Hytera. The hold will remain in effect until those companies verify to the FCC that their products won’t be marketed and sold for public safety or national security purposes, securing government facilities, or for surveillance of critical infrastructure.

At a press conference on Thursday, Chinese commerce ministry spokesperson Shu Jueting urged the U.S. to “correct its wrong practices” and to “stop politicizing and weaponizing” economic and trade issues by treating Chinese companies fairly. 

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The spokesperson said the restrictions hurt U.S. businesses and consumers in addition to undermining international trade and warned, “China will adopt necessary measures to safeguard the legitimate rights of domestic firms.”

Huawei and ZTE have long denied allegations that their technologies could be used to spy on American consumers or pose a threat to U.S. national security, while Hikvision issued a similar denial following the FCC decision. 

FILE PHOTO: A smartphone with the Huawei and 5G network logo is seen on a PC motherboard in this illustration picture taken January 29, 2020. REUTERS/Dado Ruvic/File Photo (Reuters)

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Security officials in the U.S. and Europe have warned that the devices produced by those firms and other Chinese companies could be used to spy and further corporate espionage. 

The FCC’s decision to ban new import authorizations for the five Chinese telecom firms was approved unanimously by all four commissioners on the panel, which is evenly divided between Democratic and Republican appointees. 

Chairwoman Jessica Rosenworcel, a Democrat, said in a statement, “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.” 

A sign of ZTE is seen at the 2020 China International Fair for Trade in Services (CIFTIS) in Beijing, China September 4, 2020.  (REUTERS/Tingshu Wang / Reuters Photos)

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Commissioner Brendan Carr, a GOP appointee, noted the decision “represents the first time in FCC history that we have voted to prohibit the authorization of new equipment based on national security concerns.”

Members of Congress from both sides of the aisle who drafted the Secure Equipment Act echoed the commissioners’ praise for the decision. Sen. Marco Rubio (R-FL) said the FCC’s move “will help ensure that critical American infrastructure is protected from Chinese exploitation.” At the same time, Sen. Ed Markey (D-MA) added that “these protections are essential to ensuring that our communications networks are safe and secure.”

Reuters and the Associated Press contributed to this report.