The European Commission has proposed mandatory rules to phase out telecom and other critical‑infrastructure equipment from suppliers in designated "high‑risk" third countries within three years. While the draft does not name any nation or firm, it is widely interpreted as targeting Chinese companies such as Huawei and ZTE. The rules would convert previous voluntary 5G security guidance into binding requirements and extend restrictions to sectors including border scanners, water systems and medical devices. The European Parliament must still approve the proposal.
EU Proposes Phasing Out ‘High‑Risk’ Telecom Suppliers — Move Widely Seen As Targeting Huawei And ZTE
FILE - Henna Virkkunen, European Commissioner for Tech-Sovereignty, Security and Democracy gives a press conference at the end of the weekly meeting of the College of Commissioners at EU headquarters in Brussels, Belgium, on April 9, 2025. (AP Photo/Omar Havana, File)(ASSOCIATED PRESS)
The European Union on Tuesday proposed new rules to phase out telecommunications equipment supplied by companies from so-called "high‑risk" third countries from critical infrastructure such as high‑speed telecom networks. The draft legislation, published by the European Commission, would require member states to remove designated suppliers' gear from networks within three years.
Although the proposal does not name specific countries or firms, officials and industry observers say the measures are widely aimed at Chinese vendors including Huawei and ZTE. The move comes amid growing concerns that the EU's 27 members are exposed both to the dominance of Chinese high‑tech manufacturing and to concentration among large U.S. technology service providers.
Under earlier EU guidance on 5G security, recommendations were advisory and applied unevenly across the bloc: some countries continued to purchase Chinese kit while others excluded it. The new draft would convert those voluntary safeguards into mandatory rules, tightening cybersecurity standards and harmonizing their enforcement across member states.
The proposed restrictions extend beyond telecom hardware. They would also cover equipment used in other critical sectors, including security scanners at border checkpoints, water supply systems and medical and health devices — all systems where compromised components could pose public‑safety or national‑security risks.
"A legislative proposal to limit or exclude non‑EU suppliers based on country of origin, rather than factual evidence and technical standards, violates the EU's basic legal principles of fairness, non‑discrimination, and proportionality, as well as its WTO obligations," Huawei said in response, asserting it is "a legally operating company in Europe" and reserving the right to defend its legitimate interests.
European Commission Vice‑President Henna Virkkunen said the plan is designed to "protect EU citizens and businesses by securing the ICT supply chains that support the critical sectors of our economy and society." The European Parliament and EU member states must now consider and approve the proposal before it becomes law.
The draft leaves open how individual suppliers will be designated as "high‑risk" and how exemptions, timeline adjustments or technical mitigations might be handled — issues likely to be debated as the measures proceed through EU legislative approval.
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