Washington Asks Allies To Drop Huawei – The Wall Street Journal
What happened: The US government is trying to persuade wireless and Internet providers in foreign ally countries including Germany, Italy, and Japan to avoid using telecom equipment from the world’s largest telecom maker Huawei Technologies. Officials say they are concerned about the prospect of Chinese telecom equipment manufacturers spying on and gaining access to essential infrastructure. The US is also considering offering financial aid for telecom development in countries that agree to block Huawei.
Why it’s important: In the past year, the US government rallied against leading Chinese electronics manufacturers including Huawei and ZTE, fearing these companies’ close relationship with the Chinese government would pose national security risks. Consumers in the US also have been warned about using Chinese-made Huawei and ZTE branded smartphones. The US recruiting allies to drop Huawei comes amid an ongoing trade war with China. Earlier this year, the US slapped billions of dollars’ worth of tariffs on Chinese goods.