The planned move marks a deepening trade rift amid heightened national security fears over Chinese tech.
The Federal Communications Commission plans to ban all sales of new Huawei and ZTE telecommunications devices in the U.S. — as well as some sales of video surveillance equipment from three other Chinese firms — out of national security concerns, sources with direct knowledge of the private deliberations told Axios.
The price could come in higher costs for some smaller telecommunications providers that favored the Chinese companies' products thanks to their aggressive pricing.FCC Chairwoman Jessica Rosenworcel circulated a draft order among her fellow commissioners. The order — which still needs to be voted on — would effectively ban new equipment sales in the U.S. from firms that pose a threat to national security, two sources with direct knowledge told Axios.
companies from using federal funding to purchase equipment from these firms, but the new order would extend this ban to all purchases. The FCC order will also determine the scope of a ban on sales of video surveillance equipment used for public safety. This would affect the Chinese companies Hytera Communications Corporation, Hikvision and Dahua Technology Company, the sources told Axios.The ban is not retroactive, so the companies can continue to sell products that the FCC previously approved, one source told Axios.
Hikvision presents no security threat to the United States," a Hikvision spokesperson told Axios in a statement. "There is no technical or legal justification for why Hikvision should be impacted by the forthcoming Federal Communications Commission rules."The FCC was required to vote on the order within a year of the passage of the Secure Equipment Act, which President Biden
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