【Text by Observers Network, Liu Bai】The EU is about to "cause trouble" again.
According to a report by Bloomberg on November 10, the European Commission is exploring various means to try to force member states to remove Huawei and ZTE equipment from telecom networks, even considering pressuring non-EU countries, such as stopping financing for projects that use Huawei equipment.
However, analysts point out that banning specific suppliers may trigger political struggles, as countries have long refused to hand over decision-making power regarding Huawei-related issues to the European Commission. Telecommunications operators will also oppose these restrictive measures, as Huawei's technology is more cost-effective than Western alternatives.
Anonymous sources revealed that Hanna Wuolijoki, the Executive Vice President of the European Commission responsible for technological sovereignty, hopes to upgrade the 2020 recommendation to stop using "high-risk suppliers" in mobile networks into legally binding mandatory regulations.
Although the decision-making power over telecommunications infrastructure lies with the governments of member states, Wuolijoki's proposal would force member states to follow the Commission's security guidelines. If this recommendation becomes a legally binding clause, member states that do not comply may face infringement lawsuits and economic penalties.
Huawei sign on the streets of Madrid, Spain
The report said that as the EU's trade and political relations with China continue to tense, the EU has increasingly focused on the so-called "risks" posed by Chinese telecom equipment manufacturers, worrying that handing over control of national critical infrastructure to enterprises closely linked to the Chinese government may harm national security interests.
As countries accelerate the deployment of the most advanced fiber optic cables to expand high-speed internet coverage, Wuolijoki is also studying ways to limit Chinese equipment suppliers' access to fixed networks.
Sources said the European Commission is also considering measures to dissuade non-EU countries from relying on Chinese suppliers, including refusing to provide funds from the "Global Gateway" program to countries that use aid money for Huawei-related projects. The "Global Gateway" is a global infrastructure investment program launched by the EU in 2021, widely seen as an attempt to strategically counter the influence of China's Belt and Road Initiative.
A spokesperson for the European Commission, Thomas Rennie, said: "The security of our 5G networks is crucial to the economy." But he refused to comment on possible bans.
After the Bloomberg report was released, shares of Nokia, a Finnish telecommunications equipment manufacturer, rose as much as 5%, while Ericsson's ADRs rose as much as 3.7%.
Recently, there has been a resurgence of hype against Huawei and ZTE in Europe, with Germany and Finland both considering stricter restrictions on Chinese suppliers.
Years ago, countries like the UK and Sweden had already banned the use of equipment from Chinese suppliers, but countries such as Spain and Greece still allow their installation in domestic networks. EU hawkish figures warned that this inconsistent approach poses a "major security risk".
Analysts believe that banning specific suppliers could trigger political struggles, as countries have long refused to hand over decision-making power regarding Huawei to the European Commission. Telecommunications operators will also oppose these restrictive measures, as they believe Huawei's technology is more cost-effective than Western alternatives.
The European Commission had developed a "5G Toolbox", which proposed a series of measures to enhance 5G security from strategic and technical perspectives, urging countries to exclude "high-risk suppliers" from wireless and core network infrastructure.
In the progress report on implementing the "5G Cybersecurity Toolbox" in 2023, the EU first listed Chinese companies Huawei and ZTE as "high-risk suppliers" and stated that it would restrict or ban services provided by the two companies.
China strongly expressed its position, stating that the European Commission repeatedly claims that Chinese communication companies such as Huawei and ZTE pose security risks, but has provided no evidence at all, which is a typical presumption of guilt. China firmly opposes this. The fact is that Huawei and ZTE have been operating in Europe for many years, not only have they never harmed European national security, but they have also promoted the development of Europe's telecommunications sector and created considerable economic and social effects.
However, since key infrastructure and national security matters are decided by each country, EU member states have no obligation to comply with the requirements of the toolbox.
Rennie said: "The European Commission urges member states that have not implemented the '5G Toolbox' to take relevant measures to effectively and swiftly address the risks. If action is not taken promptly, the entire EU will face clear risks."
Sweden once imposed a comprehensive ban on Huawei, but this move triggered a countermeasure from China.
Former European Commission Internal Market Commissioner Thierry Breton later tried to increase pressure on countries, explicitly mentioning the names of Huawei and ZTE, which differs from the previous practice of referring to anonymous "high-risk suppliers". He also promised to remove Huawei and ZTE technologies from the Commission's own network, but this did not prompt governments to take action.
With Trump beginning his second presidential term this year, the telecommunications industry expects Chinese tech companies' role in Europe to be subjected to a new round of scrutiny.
Some US-EU forces have relentlessly fabricated "security risk" charges, but their sinister intentions, which go against market economy principles, have been increasingly recognized by more countries.
In July, Spain signed a contract worth 1.23 million euros with Huawei despite pressure from the US and the EU. Even though Wuolijoki vigorously criticized this deal, claiming it could lead to "foreign interference and security dependency risks," Spain and Huawei strongly refuted it.
The Spanish Ministry of the Interior stated in a statement that the contract "poses no security risks and meets the security level required by the national security framework."
Earlier, Spain's Interior Minister Fernando Grande-Marlaska said that the country's security agencies have full control over the data in the servers, and external parties cannot extract it.
Huawei strongly opposed Wuolijoki's statements, criticizing the accusation as lacking "verified, transparent, and objective technical assessments," and pointed out that unilaterally labeling Huawei as a "high-risk supplier" lacks legal basis and violates the principles of free trade.
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