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EU to ban high-risk Chinese suppliers from critical infrastructure

The EU plans mandatory bans on Chinese suppliers like Huawei from critical infrastructure and telecoms, citing security risks and unfair competition.

BRUSSELS: The European Union will unveil plans to keep “high-risk” Chinese suppliers away from its critical infrastructure. The move aims to reduce dependencies on third countries amid strained relations with Beijing.

A European official said the proposal revises cybersecurity rules to clamp down on foreign companies posing security risks. The EU executive will make a previous advisory ban on Huawei and ZTE equipment compulsory for member states.

The bloc initially urged members to exclude the firms’ gear from mobile networks in 2023. New rules would give national authorities powers to issue mandatory restrictions, extending potentially to other products like solar panels.

The United States has long banned Huawei over espionage fears and pushed allies to follow suit. The EU also plans to include “sovereignty” criteria in cloud service certifications, which could exclude dominant US firms.

France has championed the cloud proposal, but adoption is stalled by deep divisions among the 27 member states. The European Commission will publish its cybersecurity proposal on Tuesday.

On Wednesday, the commission will propose a Digital Networks Act to overhaul Europe’s telecoms networks. The goal is to bolster competitiveness and boost investment in a fragmented sector.

Brussels estimates Europe needs 200 billion euros to modernise its telecoms infrastructure. A draft document seen by AFP made no mention of “fair share” payments from major web companies for bandwidth use.

Telecoms firms favoured such fees, but the idea was deeply unpopular. It became unlikely after an EU-US tariff deal last year included a promise not to adopt the charges.

The EU executive will also set a 2035 deadline for member states to phase out copper telecommunications networks. This gives the industry more time to transition to faster fibre networks.

Both legislative texts require approval from EU member states and the European Parliament.

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