Business World

Thursday 23 January 2020

China ready to retaliate if Germany bans Huawei


Chancellor Angela Merkel. Photo: AFP via Getty Images
Chancellor Angela Merkel. Photo: AFP via Getty Images

Tony Czuczka and Steven Arons

China's ambassador to Germany threatened Berlin with retaliation if it excludes Huawei Technologies as a supplier of 5G wireless equipment, citing the millions of vehicles German carmakers sell in China.

"If Germany were to take a decision that leads to Huawei's exclusion from the German market, there will be consequences," Ambassador Wu Ken said at a Handelsblatt event. "The Chinese government will not stand idly by."

His comments come on the heels of growing resistance against Huawei among some members of Chancellor Angela Merkel's governing coalition.

They have challenged her China policy with a bill that would impose a broad ban on "untrustworthy" 5G vendors.

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While the German legislation doesn't explicitly name Huawei, it is tailored to the Chinese company and comes after months of debate about 5G security.

Huawei has repeatedly rejected allegations of its equipment's potential for espionage and sabotage.

German Economy Minister Peter Altmaier yesterday warned against passing laws that single out firms.

"We shouldn't turn against individual companies and instead insist that all electronic and high technology components used in Germany meet the highest security requirements," he said in an interview with 'Der Tagesspiegel' newspaper.

"Whoever doesn't meet them is out."

The Huawei question is also delicate as US President Donald Trump's administration has sought to enlist US allies in squeezing out Huawei as a 5G supplier. (© Bloomberg)

Irish Independent

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