Canada says it will ban Huawei and ZTE from the country’s 5G network, a move that puts it in line with allies for sharing information but risks a further cooling in ties with China.
The federal government made the announcement on Thursday afternoon after months of signaling that it intends to bar China’s flagship telecoms company from accessing 5G networks in Canada.
“We will take all necessary measures to protect our telecommunications infrastructure,” said Innovation Minister François-Philippe Champagne. Telecom providers who already have the companies’ equipment must remove it – and Champagne said the federal government would not provide any compensation. Canadian telcos have spent almost CAD$700 million (US$546 million) on Huawei devices over the years, mostly 4G or LTE devices.
“We are disappointed but not surprised. We are surprised that it took the government so long to make a decision,” said Huawei spokesman Alykhan Velshi. “We see this as a political decision resulting from political pressure primarily from the United States.”
The rest of the Five Eyes network — the United States, Britain, Australia and New Zealand — have already banned Huawei devices.
Public Security Minister Marco Mendicino called the move a “necessary step” amid growing skepticism about Beijing’s trustworthiness.
For years, Canada has faced mounting pressure from allies, particularly the United States, to ban Huawei’s 5G equipment over fears they could threaten national security.
In 2018, Canada said it would review any potential concerns arising from the adoption of the technology.
However, any decision was delayed after Meng Wanzhou, Huawei’s chief financial officer, was arrested in Canada on a US warrant. In a move widely viewed as retaliation, China arrested two Canadians, Michael Kovrig and Michael Spavor, and later accused the men of espionage. The longstanding dispute ended after a British Columbia court ordered Meng’s release. China freed the two Canadians hours later.
As the standoff dragged on, relations between the two countries deteriorated. While China recently lifted a years-long ban on Canadian canola imports in a sign of thawing ties, it’s unclear how Thursday’s decision will affect relations between the two nations. Chinese government officials had previously warned that banning telecom infrastructure could lead to retaliation.