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Friday, November 15, 2024

Rubio raises alarm over threats posed by China's telecom giant Huawei

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Senator Marco Rubio | Official U.S. House headshot

Senator Marco Rubio | Official U.S. House headshot

U.S. Senator Marco Rubio has reiterated concerns about Huawei, the Chinese telecommunications giant, in a statement released on October 17, 2024. Rubio claims that Huawei's main goal is "the domination of the global wireless market on Beijing’s behalf," which involves expanding the Chinese Communist Party's capability to spy and disrupt communications worldwide.

Rubio recalls raising alarms about Huawei as early as 2018 when the company began penetrating U.S. and allied markets with low-cost 5G technology. He credits former President Trump as "the first world leader to recognize this threat" and highlights that over 60 countries and more than 200 telecom companies have joined the Clean Network initiative to counteract Huawei's influence.

Despite these efforts, Huawei continues its growth trajectory. According to The Wall Street Journal, it has diversified into new sectors, improved profitability, and maintained its leading status in the global telecom-equipment industry. This success is attributed not to business acumen but to significant subsidies from the Chinese government. Keith Krach and Jonathan Pelson note that Huawei lost around $30 billion annually after U.S.-led actions blocked high-risk equipment sales.

Krach and Pelson argue that if China chooses to sustain Huawei at any cost, it signifies that Huawei serves more than just an industrial role for China; it acts as a tool of foreign policy and geopolitical influence akin to Defense and Intelligence budgets.

Senator Rubio emphasizes the importance of supporting reliable companies in developing alternatives to Huawei, urging Latin American leaders not to engage with Huawei's offers. He warns against allowing a "totalitarian dictatorship" potential access through such deals.

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