United Kingdom defence minister says he has grave concerns about Huawei

Sources from the telecom industry and the administration said the order would direct the Commerce Department to block usa companies from buying equipment from foreign companies that pose significant national security risks. If the reported executive order comes and states that this equipment must be replaced, it's estimated that the cost of such work would be $800 million to $1 billion for all RWA members to replace their Huawei and ZTE equipment. It would invoke the International Emergency Economic Powers Act, which would empower the US President to regulate commerce in response to a national emergency threatening the country. Smaller, rural US operators now use a significant amount of ZTE and Huawei technology.

"This in reality is undoubtedly shutting oneself off, rather than being the door to openness, progress and fairness".

"We've got to look at what partners such as Australia and the USA are doing in order to ensure that they have the maximum security of that 5G network and we've got to recognize the fact, as has been recently exposed, that the Chinese state does sometimes act in a malign way".

What's interesting to see most of all, though, is that while most of these big Chinese companies are merely trying to support Huawei with open arms, some have become more hap-hazard in their attempts to shun and discourage the use of Apple products.

Without naming any specific countries, Huawei's rotating chairman Guo Ping was most likely referring to Australia, New Zealand, Canada, the United Kingdom - and especially the United States.

Defence Secretary Gavin Williamson
Defence Secretary Gavin Williamson said the UK would look to its allies

"One should better talk about security issues with facts", stated Chinese Foreign Ministry spokesperson Hua Chunying.

Huawei has defended its global ambitions and network in the face of Western fears that the Chinese telecom giant could serve as a Trojan horse for Beijing's security apparatus.

Meanwhile Pelham Smithers, managing director of Pelham Smithers Associates, told "Squawk Box Europe" Thursday that it was "very dangerous" to put Huawei equipment into 5G infrastructure.

The latest move comes on top of an earlier defense policy bill passed in August that bars US government agencies from using Huawei and ZTE equipment. The support has been extended by the company in multiple ways which also includes offering some subsidies to the employees of the companies who will buy Huawei smartphones in the coming time.

United Kingdom communications company BT has already said it is removing Huawei equipment from its 3G and 4G networks, and pledged not to use the firm's products in the "core" of its 5G service.

  • Tracy Klein