ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Trade war

China's ZTE and Huawei to take big hits from US restrictions

Cut-off access to 5G tech and tainted images will hurt device makers

Huawei is one of the Chinese telecom equipment makers thought to be targeted by Washington's ban on foreign equipment procurement. (Photo by Yu Nakamura)

GUANGZHOU/WASHINGTON -- Chinese telecommunications equipment makers Huawei Technologies and ZTE are expected to suffer heavy blows to their operations as U.S. regulators tighten the leash on Chinese technology companies, citing concerns over security.

New rules proposed on Tuesday would bar U.S. telecommunications companies that receive Federal Communications Commission subsidies from procuring products from foreign companies with security concerns. Targets have yet to be named, but a senior FCC official said Huawei and ZTE are expected to make the list.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more