At a press conference on June 15, Thierry Breton - EU Internal Market Commissioner - said that he would require network operators to notify suppliers not to use Huawei and ZTE products. This applies to both old and new contracts. The Commission will recommend that the European Parliament and the Council follow suit.
In 2020, Brussels recommended that the 27 member states remove “high-risk” suppliers from their networks. But three years later, progress has been slow, so the Commission has decided to name China’s two largest 5G suppliers, Huawei and ZTE, by name. About 10 of the 27 EU countries are restricting the goods and services of these two companies.
Breton said the delay posed a major security risk, causing serious vulnerabilities. The EU report said that “exclusion of Huawei and ZTE from 5G networks is justified” . Based on a range of available information, the Commission concluded that Huawei and ZTE pose a significant risk compared to other 5G suppliers, the report said. The EU recommended that member states “immediately impose restrictions on high-risk suppliers”.
But that’s not an easy task given the scale of European governments’ investment in the two Chinese companies’ hardware. In Cyprus, 100% of the 5G network is supplied by Beijing companies, according to a 2022 study by Strand Consult. In Romania and the Netherlands, the proportions are 76% and 72%, respectively.
Brussels has become increasingly skeptical of Chinese companies in recent months. In February, the EU decided to ban employees from using TikTok, an app owned by ByteDance, on work devices. It closely mirrors the approach of the United States, which has been trying for years to ban Huawei and ZTE from its networks.
Next week, the EU will unveil a new economic security strategy, setting out plans to reduce dependence on China for key resources and prevent EU technology from falling into Chinese hands over national security concerns.
According to Mr. Breton, the EU cannot maintain dependence in important areas such as energy or 5G, which will later become weapons against the bloc's interests.
(According to SCMP)
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