US war on China tech: Five firms accused of posing national threat

The US has declared more restrictions on five Chinese companies, including the Huawei tech giant, amid Washington’s war on Chinese telecommunication firms, over national threat allegations.

The Federal Communications Commission (FCC) announced that the companies “have been found to pose an unacceptable risk to US national security.”

The FCC said the companies included Huawei Technologies Co, ZTE Corp, Hytera Communications Corp, Hangzhou Hikvision Digital Technology Co and Zhejiang Dahua Technology Co.

“This list provides meaningful guidance that will ensure that as next-generation networks are built across the country, they do not repeat the mistakes of the past or use equipment or services that will pose a threat to US national security or the security and safety of Americans," said acting FCC Chairwoman Jessica Rosenworcel.

Last year, the FCC designated Huawei and ZTE Corp as “a national security threat to communications networks.”

The declaration barred US firms from tapping an $8.3 billion government fund to purchase equipment from the companies.

In August 2020, the US government issued regulations barring agencies from buying goods or services from any of the five Chinese companies.

And in 2019, Washington placed Huawei, Hikvision and other companies on its economic blacklist.

Former US President Donald Trump blacklisted Huawei to block the company from getting any US telecom equipment contracts and prevent the transfer of American technology to the Chinese firm.

His administration accused Huawei of providing Beijing with a way to spy on communications from the countries that use its products and services.

The Chinese tech firm, however, said that the restrictions were “part of an attempt to irrevocably damage Huawei’s reputation and its business for reasons related to competition rather than law enforcement.”

The latest development in Washington’s war on Chinese companies comes as the administration of President Joe Biden is reinforcing a hard line on exports to the Asian powerhouse. 

In a 24-page national security document, his administration described China as “the only competitor potentially capable of combining its economic, diplomatic, military, and technological power to mount a sustained challenge to a stable and open international system.”

In the face of “challenges from China and Russia,” the document said, the US military would shift its emphasis away from “unneeded legacy platforms and weapons systems to free up resources for investments” in cutting-edge technologies.

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