The European Commission is stepping up action to push member states to phase out equipment from Chinese technology giants Huawei and ZTE in 5G and next-generation networks to enhance the security of European telecommunications networks. According to Bloomberg, citing anonymous sources, the European Commission recommended that member states stop using technology from "high-risk" suppliers such as Huawei and ZTE as early as 2020. Currently, Commission Vice Chairman Henna Virkkunen is pushing for the recommendation to become law.
Reports indicate that Virkkunen’s proposal will prompt EU countries to more strictly follow the European Commission’s safety guidelines. If the relevant recommendations become legally binding regulations, member states may face infringement proceedings and even financial penalties in the future if they ignore the new regulations. In addition, Virkkunen is also considering restricting Chinese suppliers from participating in the construction of European fiber optic networks to coordinate with the overall plan to speed up broadband deployment.
Huawei and ZTE have yet to comment on the matter.
The move is part of the EU's efforts to limit China's influence in critical infrastructure amid tense relations with China, the world's second-largest economy. Last year, Germany's top security official said the country would ban the use of key components from ZTE and Huawei in the core of 5G networks starting in 2026. Finland also plans to expand its ban on Huawei equipment in 5G network applications in the near future.
In recent years, the United States has also actively persuaded European allies, including the United Kingdom and Sweden, to restrict or ban Huawei equipment because of concerns that Beijing may use these equipment to conduct cyber espionage or interfere with key communications services.