Portugal’s new centre-right government has upheld the previous administration’s ban on Chinese equipment in its 5G networks, citing security concerns. This move, initially imposed in May 2023 by the country’s cybersecurity board (CSSC), also applies to 4G platforms supporting 5G, dealing a setback to Chinese tech giant Huawei’s attempts to expand its presence in Portugal.
Infrastructure Minister Miguel Pinto Luz confirmed the continuation of the ban, emphasising the importance of maintaining security measures, especially in light of the growing geopolitical tensions between global powers. While Portugal’s position aligns closely with US policy, it is stricter than that of other European nations, as Huawei challenges the ban in court.
Telecom operators like Altice, NOS, and Vodafone have already opted not to use Huawei’s technology in their 5G networks. However, a recent study suggests the exclusion could cost Portugal’s economy over 1 billion euros, including significant replacement costs. The minister, however, downplayed the financial impact, stating operators have ample time to transition.
Egypt Prime Minister Mostafa Madbouly signed five key Memoranda of Understanding (MoUs) with Chinese firms and institutions to enhance Egypt-China telecommunications and information technology cooperation. These agreements, made during the Forum on China-Africa Cooperation (FOCAC) in Beijing, mark a significant development in Egypt’s tech and infrastructure sectors.
The first MoU with FiberHome Telecommunication Technologies involves setting up a fibre optic cable factory in Egypt, producing one million fibre kilometres annually and creating 200 jobs. It will also include a research and development centre and a training facility for network engineers.
The second MoU, with ITIDA, Tsinghua Unigroup, and Telecom Egypt, focuses on building a data centre and cloud services operation supported by a $300 million investment fund. This partnership will also establish a research centre for semiconductor design and develop AI applications, including an Arabic language model.
Huawei Egypt’s MoU will establish a development centre for local industry solutions, software, and cloud computing, aiming to train 1,500 developers by 2025 and support startups with cloud resources. The fourth MoU with ZTE will localise network equipment production and establish training labs for 5G and GPON technologies, providing training for 1,200 participants.
The final MoU with Hengtong Group will create a second fibre optic cable factory in the Suez Canal Economic Zone with a $15 million investment, producing 3 million kilometres of cables annually and including a training academy in collaboration with the National Telecommunications Institute. These agreements highlight Egypt’s commitment to advancing its technological infrastructure and deepening its partnership with China.
China has expressed dissatisfaction with the Dutch government’s decision to extend export controls on ASML’s chipmaking equipment. The Dutch government announced it would expand licensing requirements on ASML’s 1970i and 1980i DUV lithography machines, aligning its policies with the US export restrictions introduced last year.
China has criticised Washington’s efforts to pressure allies like the Netherlands and Japan to impose restrictions that limit Chinese access to advanced semiconductor technologies. Beijing described the move as part of the United States strategy to maintain global dominance and strongly opposed the measures.
In its statement, China urged the Netherlands to avoid abusing export controls, emphasising that such actions could harm Sino-Dutch cooperation in the semiconductor sector and damage business interests on both sides. Dutch Trade Minister Reinette Klever defended the decision, saying it was made in the interest of safety.
The Dutch restrictions have effectively blocked ASML, the world’s largest chipmaking equipment supplier, from sending its most advanced lithography systems to China, impacting China’s ability to produce cutting-edge semiconductors.
China recently launched a Long March-6 carrier rocket, marking the 534th mission in the Long March series. The rocket carried ten commercial satellites for Geespace, a subsidiary of Geely, and was launched from the Taiyuan Satellite Launch Center.
These satellites are part of Geely’s ‘Future Mobility Constellation’ network, expanding the total to 30 satellites. With this deployment, Geespace now provides 24/7 communication coverage to 90% of the world, becoming the first Chinese commercial company to offer global low Earth orbit satellite communication services. This significant achievement furthers China’s efforts in commercial space endeavours.
Initiated in 2019, the project has made substantial progress, with successful launches in 2022 and 2024, aiming to achieve global vehicle-to-everything connectivity by 2025. The Long March-6 rocket, designed for small payloads under 1,000 kilograms, is comparable to rockets like the European Vega and Russia’s Angara-1. However, the launch took place amid concerns raised by the US about debris from previous Chinese rockets in low-Earth orbit, underscoring ongoing challenges in space debris management.
China Mobile International (CMI) has officially activated the Pakistan & East Africa Connecting Europe (PEACE) submarine cable, a groundbreaking project that spans 15,000 kilometres, linking Singapore to France and extending its reach to Malaysia and various European countries. This cable is designed to deliver fast, open, and flexible connectivity between Asia and Europe, addressing the growing demand for reliable international data transmission.
China Mobile’s commitment to collaboration is evident in constructing the PEACE cable, which involved 11 partners. This open cable solution aims to provide neutral and flexible interconnection services to carriers, over-the-top (OTT) service providers, and enterprises worldwide. By leveraging the New Egypt Crossing, CMI utilises a network of fully diversified terrestrial cables across Egypt, moving away from traditional routes. This innovative approach enhances bandwidth services, ensuring high quality, low latency, and robust security for data transmission between continents.
China Mobile has enhanced its network by integrating the PEACE cable with existing submarine cables like AAE-1 and SMW5, creating three key routes between Asia and Europe. This integration meets growing bandwidth demands and allows for customisable solutions through CMI’s fibre optic ring systems in the region. The activation of the PEACE cable marks a significant milestone for China Mobile, providing over 150 terabits per second of bandwidth and connecting 78 countries.
The Indian government maintains strict restrictions on Chinese telecom equipment manufacturers like ZTE and Huawei, citing security concerns. Despite ZTE’s recent proposal to partner with Celkon Resolute to manufacture routers in Andhra Pradesh, the government’s stance remains unchanged. This is due to the National Security Directive, which prohibits using equipment from ‘non-trusted sources’ in India’s telecom networks, effectively barring these companies from participating in the 5G rollout and limiting their involvement in existing networks.
The ‘trusted sources’ policy enforced by the National Cyber Security Coordinator (NCSC) is central to the issue. ZTE and Huawei still need to meet the stringent compliance requirements, which include detailed disclosures about their operations and products. As a result, they remain excluded from India’s telecom projects. The Department of Telecommunications (DoT) has also asked operators to assess and report the use of non-trusted equipment in their networks, further limiting these companies’ prospects.
Although ZTE can manufacture consumer Wi-Fi equipment in India, these products can only be used in telecom networks with NCSC approval. The ZTE-Celkon partnership has stalled due to a lack of progress and clarity from the government. Despite some recent relaxations for Chinese companies in other sectors, the telecom equipment industry remains tightly regulated, with little chance of relief for ZTE and Huawei amid ongoing geopolitical tensions and cybersecurity concerns.
Two US Consumer Products Safety Commission (CPSC) leaders are urging the agency to investigate e-commerce giants Shein and Temu after dangerous baby and toddler products were found on their websites. CPSC Commissioners Peter Feldman and Douglas Dziak have expressed concerns about how these foreign-owned platforms, based in Singapore and China, comply with US safety regulations, manage relationships with third-party sellers, and represent imported goods.
Shein and Temu, known for shipping low-cost products from China to the US, are particularly concerning due to their reliance on the ‘de minimis’ rule. This rule allows packages valued at $800 or less to bypass tariffs when sent directly to consumers, which is a loophole critics argue has contributed to their rapid success in the US market.
The scrutiny of Shein and Temu isn’t new; their low prices and product quality have been questioned before. Last year, a bipartisan group of US lawmakers proposed eliminating the de minimis rule, which is widely used by these platforms and third-party sellers on major sites like Amazon and Walmart.
China has issued a stern warning to Japan, threatening severe economic retaliation if it intensifies restrictions on selling and servicing chipmaking equipment to Chinese companies. The warning came as part of China’s ongoing effort to counter Japan’s alignment with US measures to limit China’s semiconductor production capabilities.
Toyota Motor reportedly informed Japanese officials that China may retaliate by cutting off access to essential minerals required for automotive manufacturing. The concerns were raised during recent meetings between Chinese and Japanese officials, where China’s stance on the issue was made clear.
Japan recently began limiting exports of 23 types of semiconductor manufacturing equipment, joining a US-led initiative to curb China’s ability to produce advanced chips. These restrictions have sparked fears of further economic conflict between the two nations.
Toyota and China’s foreign ministry have yet to comment on the matter, while tensions over trade controls continue escalating in the region.
U Mobile and China Mobile International (CMI) have signed a Memorandum of Understanding (MoU) to form a strategic partnership to advance 5G development. The collaboration will share expertise in 5G deployment, particularly for business-to-business (B2B) applications. Both companies aim to enhance the 5G ecosystem by combining resources and driving innovative solutions.
A key aspect of the partnership is the creation of cross-border 5G commercial models, which will improve roaming infrastructure and ensure seamless connectivity for international travellers. The initiative is crucial in today’s interconnected world, where reliable communication is essential.
Wong Heang Tuck, CEO of U Mobile, expressed excitement about the partnership, emphasizing its alignment with the company’s mission to accelerate 5G deployment across various sectors. By leveraging CMI’s extensive knowledge and global network, U Mobile aims to stimulate digital economies through innovative 5G applications.
Additionally, U Mobile has signed an MoU with Huawei Technologies (Malaysia) to enhance its 5G strategic roadmap. This collaboration will allow U Mobile to utilize Huawei’s expertise to improve its network capabilities and drive research and development efforts, ultimately boosting customer satisfaction and adopting 5G technology across consumer and enterprise markets.
The Dutch government’s potential decision to restrict ASML’s ability to repair its machines in China could have significant repercussions for the global semiconductor industry. These machines are critical for Chinese companies such as Huawei and Semiconductor Manufacturing International Corp. (SMIC). Access to necessary repairs and spare parts is required to avoid operational failures or reduced efficiency, potentially disrupting semiconductor manufacturing in China.
China’s dependence on ASML is particularly acute because the country cannot produce comparable equipment domestically and cannot purchase ASML’s more advanced extreme ultraviolet (EUV) machines. The restriction on repair services could force Chinese chipmakers to seek less advanced alternatives or face significant production challenges, impacting their ability to manufacture high-performance chips.
The potential policy shift also highlights a broader alignment with US strategies to limit China’s access to cutting-edge technology. Under previous Prime Minister Mark Rutte, the Netherlands had less complied with US trade restrictions on China. However, the current administration’s willingness to collaborate with US and Japanese efforts marks a significant policy change. This evolving stance underscores the increasing geopolitical complexities surrounding technology transfer and trade, with the US also contemplating stricter controls, such as the foreign direct product rule, to tighten restrictions on China further.
