The Portuguese-Chinese Chamber of Commerce and Industry (CCILC) has spoken out against the exclusion of Huawei from Portugal’s 5G market, calling the move “unreasonable” and potentially damaging to the long-standing friendship between China and Portugal, reports Xinhua.
A security assessment released by Portugal’s cyber security council in May deemed the use of equipment from suppliers that are outside the EU, NATO (North Atlantic Treaty Organization) or the OECD (Organization for Economic Cooperation and Development) as “high risk” for the security of the country’s 5G networks. The declaration effectively barred Chinese companies like ZTE and Huawei, which filed a suit against the cyber security council in late August.
In their Monday meeting, the chamber voiced deep concern over the decision, citing the disproportionate impact on Chinese companies and the potential ramifications for Portugal’s economic development, including the ability to attract and retain foreign investors.
[See more: Lobbyists remind Lisbon of the benefits of Chinese investment]
Founded in 1978, the CCILC was the first association of companies in Europe promoting business with China. The chamber’s governing body now comprises representation from Chinese and Portuguese industrial, commercial and financial entities. Huawei is a member.
The new limits make Portugal the latest in a long line of EU countries to ban the telecommunications giant from their network. Yet, as the chamber points out, other EU member states have adopted far milder measures in accordance with guidance from European bodies.
The chamber and industry experts agree that a complete ban will likely increase financial burdens on operators and consumers in Portugal, and possibly setback the country’s digitalisation efforts. The CCILC encouraged Portugal not to “compromise its own interests under external pressures,” a reference to growing US insistence that countries join its efforts to contain China, especially in the technology sector.
