Chinese firms, including Huawei, barred from using national security loophole in new US bill

In a bid to check Chinese threat, the United States has come up with a new bill directing Federal Communications Commission (FCC) to bar firms from Beijing including Huawei from allegedly using national security loophole.

Fox News reported that a new bipartisan bill in the Senate will require the FCC to hold off on clearing business requests from companies on the commission’s national security threat list, including the Chinese company Huawei.

Senators including Marco Rubio, R-Fla, and Ed Markey, D-Mass have introduced the Secure Equipment Act of 2021, a bill that aims to stop the FCC from reviewing and approving business applications from companies on the commission’s “Covered List.”

According to a press release issued Monday, the bill would also “prevent further integration and sales” of “Chinese state-backed or directed firms,” such as Huawei and ZTE, in America “regardless of whether federal funds are involved.”

Under current law, US telecommunications carriers are only allowed to take down equipment purchased with federal funds, creating an exploitable loophole.

“Chinese state-directed companies like Huawei and ZTE pose a serious risk to our national security,” Rubio said in the release. “The Chinese Communist Party subsidizes these companies and exploits loopholes in our laws to allow malicious actors to sell compromised equipment and services in the US, it further reported.

“The status quo is dangerous, and we need to act now to strengthen our national security and protect our critical infrastructure,” the Florida Republican added.