Australia tells Huawei to hit the highway

Business & Technology

Australia has banned Chinese handset and network equipment maker Huawei from supplying equipment for a 5G mobile network.

  • โ€œThe move, following advice from security agencies,ย signals a hardening of Australiaโ€™s stance toward its biggest trading partner as relations have soured over Canberraโ€™s allegations of Chinese meddling in Australian politics,โ€ reports Reuters.ย It also brings Australia in line with the United States, which has restricted Huawei and compatriot ZTE from its lucrative market for similar reasons.
  • The Australian government statement was clear about the perceived threat: Australian ABC reports: โ€œThe Government said it would be interpreting rules announced last year asย disqualifying any company that was โ€˜likely subject to extrajudicial directions from a foreign government that conflict with Australian law.โ€™โ€
  • Huawei Australiaย tweeted: โ€œWe have been informed by the government that Huawei and ZTE have been banned from providing 5G technology to Australia. This is a extremely disappointing result for consumers.โ€ Reuters also notes that Huaweiโ€™s Australian arm โ€œstrenuously denies it is controlled by Beijing.โ€
  • Huawei may pursue legal actionย against the ban, according to a statement reported by Sinaย (in Chinese). ย 
  • The Chinese Foreign Ministryย spokesperson reactedย by saying Australia โ€œshould know better than citing all sorts of excuses to erect artificial hurdles and enforce discriminatory measures,โ€ and that China urges the Australian government โ€œto abandon ideological bias and level the playing field for Chinese enterprisesโ€™ operations in Australia.โ€