Tensions flare as U.S. signals broader crackdown on Chinese telecoms

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Tensions flare as U.S. signals broader crackdown on Chinese telecoms
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The Trump administration is signaling a broader crackdown on the Chinese communications sector

The Justice Department has led administration efforts in reviewing multiple prominent China-based providers in recent years, including government-affiliated China Mobile and China Telecom, in order to make security-based recommendations to the FCC — and it now says the commission should be able to take those recommendations to curtail Chinese players more broadly.

“We don’t think there’s sufficient rule of law there,” said Hickey. “We don’t think there’s reciprocity. We certainly don’t participate in their telecom sector. We don’t want the companies that are accountable primarily to the Communist Party to provide critical telecommunications infrastructure and services here.”

These battles have ensnared titanic Chinese companies including Huawei and ZTE, which Trump has sought to block from American markets on the grounds that they pose a surveillance threat to U.S. communications networks and over past bad behaviors. The FCC is moving to designate both companies as national security threats in its own ongoing proceeding, which has prompted a lawsuit from Huawei accusing the agency of trying to cater to Congress. And lawmakers say they want to subsidize rural U.S.

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