U.S. Imposes New 5G license limits on Huawei suppliers, designates four other tech firms national security threats

The US Federal Communications Commission (FCC) on Friday designated five Chinese tech firms as National Security Risks. The companies include Chinese telecommunications giant Huawei, along with ZTE, Hytera Communications, Hangzhou Hikvision Digital Technology, and Dahua Technology.

“This list provides meaningful guidance that will ensure that as next-generation networks are built across the country, they do not repeat the mistakes of the past or use equipment or services that will pose a threat to US national security or the security and safety of Americans,” FCC Acting Chairwoman Jessica Rosenworcel said in a statement.

The move comes a day after the Biden administration informed some Huawei suppliers of tighter conditions on previously approved export licenses. Effective as of this week, the restrictions will predominantly prohibit items for use in or with 5G devices.

The Biden administration seems to be continuing the strict stance taken by former President Donald Trump against China’s growing technological influence. Trump’s administration had added Huawei to the Entity List and labeled it a National Security threat.

China criticized the Biden administration for the latest restrictions saying it “will severely disrupt the technological exchanges and trade exchanges of the two countries and the world at large.”

China’s Foreign Ministry spokesman Zhao Lijian said that the measures would hurt both the U.S and China. He called on the U.S to treat Chinese tech companies fairly.

“The U.S. should stop the suppression on Chinese companies immediately and treat Chinese companies in a fair, just and, non-discriminatory manner,” he told reporters on Friday.

Ties between the two countries have deteriorated in recent weeks over issues such as human rights violations in Xinjiang and encroachment on the special status of Hong Kong.