Biden plans to tighten US restrictions on Huawei

President Joe Biden signed legislation on Thursday to prevent companies like Huawei or ZTE Corp. from receiving new equipment licenses. The two companies are deemed national security threats.

The Secure Equipment Act was approved unanimously by the US Senate in late October and earlier by the US House in a 420-4 vote. The act is the latest effort to crack down on Chinese telecom and tech companies by the US government.

"Chinese state-directed companies like Huawei and ZTE are known national security threats and have no place in our telecommunications network," Republican Senator Marco Rubio said.

With the new law, the Federal Communications Commission (FCC) can no longer review or approve any application for equipment that can pose a risk to national security.

The FCC claimed five Chinese companies pose a threat to national security. The companies include Huawei, ZTE, Hytera Communications Corp., Hangzhou Hikvision Digital Technology Co. and Zhejiang Dahua Technology Co.

The FCC’s decision has drawn opposition from Beijing.

"The United States, without any evidence, still abuses national security and state power to suppress Chinese companies," said Zhao Lijian, a spokesperson at China's Foreign Ministry.

Amid rising tensions between the U.S. and China, President Biden and Chinese leader Xi Jinping are expected to meet in a virtual summit on Monday.