STRIKE TWO: US FCC bans Huawei and ZTE-made equipment

This already puts a strain on the two telecom companies.

Huawei’s R&D Campus in China

The banning of Chinese products and materials continues in the second cold war the US and China are facing in the present. The US has already imposed fines and bans on ZTE and Huawei and even Canada, one of the United States’ closest allies, arrested a top associate of Huawei. The US FCC further strengthens its banning of Chinese-made equipment which unfortunately also includes ZTE and Huawei. Their main products are not actually phones but rather telecommunications equipment.

In the name of national security, as the FCC claimed, the companies that are banned in the newest regulations include Huawei, ZTE, Hytera, Hangzhou Hikvision, Dahua, etc.

The Secure Equipment Act of 2021, signed by President Joe Biden, mandates that the FCC regulates these new policies. The new law intends to protect American networks and also made it illegal to utilize public funds to buy covered goods and services from companies owned by the People’s Republic of China. The new law compensates telecom companies with a reimbursement plan to remove any Chinese-made hardware they had installed, and finally, revoked operating privileges for Chinese state-owned carriers under recommendation from national security regulators.

Source: Federal Communications Commission, United States of America