YOU ARE AT:5GChina says potential EU ban on Huawei would hurt fair competition

China says potential EU ban on Huawei would hurt fair competition

A potential ban on Huawei by the European Union would breach the principles of market economy, free trade and fair competition, Chinese newspapers reported Chinese Foreign Ministry spokesperson Wang Wenbin as saying.

These comments came in response to a recent Financial Times report suggesting that the European Union was considering a mandatory ban on companies, including Huawei, deemed to pose security risks in their 5G networks.

Wang said that the United States and some European countries have repeatedly alleged security risks associated with Huawei but have failed to provide any concrete evidence.

Wang said that since Huawei started operation in Europe many years ago, the vendor has never harmed the security of any European country.

“We hope the EU will honor its commitment to those principles, steer clear of politicizing economic and trade issues or overstretching the concept of security, and make economically sound decisions that are in keeping with its own interests,” Wang said.

According to a report by the China South Morning Post, a Huawei spokesperson said that “exclusions based on non-technical judgments also pose serious economic and social risks as they would hamper innovation and distort the EU market, driving up the costs of digital services for consumers.”

According to the Financial Times, only a third of EU countries had banned Huawei from critical parts of the bloc’s 5G communications despite recommendations set out by the European Union in 2020 to exclude high-risk vendors from technology investments, Thierry Breton, EU internal market commissioner, told the UE’s telecoms ministers at a recent meeting. “This is too few. And it exposes the union’s collective security,” he said.

However, the report stated that a potential ban on Huawei and other companies would not be implemented before the five-year term of the current European Commission ends in 2024.

Several countries, including the United States, the United Kingdom, Australia and Japan, have already effectively banned Huawei from their 5G networks or imposed restrictions.

A number of European countries including Denmark, Sweden, Estonia, Latvia, and Lithuania have recently banned Chinese vendors from participating in their 5G networks. Germany recently said it was currently reviewing the use of Chinese components in its 5G networks, while Portugal is also considering a ban on Huawei equipment.

ABOUT AUTHOR

Juan Pedro Tomás
Juan Pedro Tomás
Juan Pedro covers Global Carriers and Global Enterprise IoT. Prior to RCR, Juan Pedro worked for Business News Americas, covering telecoms and IT news in the Latin American markets. He also worked for Telecompaper as their Regional Editor for Latin America and Asia/Pacific. Juan Pedro has also contributed to Latin Trade magazine as the publication's correspondent in Argentina and with political risk consultancy firm Exclusive Analysis, writing reports and providing political and economic information from certain Latin American markets. He has a degree in International Relations and a master in Journalism and is married with two kids.