The European Commission is considering new measures to compel EU member states to remove Huawei and ZTE equipment from their telecommunications networks, a move that could align Europe more closely with the United States’ stance on the Chinese tech firms but risk internal divisions and pushback from some governments.

According to a report by Bloomberg, citing officials familiar with the matter, the Commission is exploring ways to transform the EU’s 2020 recommendation—which urged members to avoid “high-risk vendors” in 5G networks—into a binding legal obligation. This would, for the first time, require all EU states to comply with the bloc’s common security framework.

Commission Vice President Henna Virkkunen is reportedly leading the effort. Her team is also examining options to restrict Chinese-made equipment in fixed-line broadband networks, as the EU accelerates its rollout of high-speed fibre infrastructure.

The proposal could also tie compliance to EU funding. Under consideration is a plan to withhold Global Gateway investments—the EU’s flagship international infrastructure program—from non-EU countries that use Huawei equipment in projects financed by European grants.

Former internal market commissioner Thierry Breton had earlier sought to explicitly label Huawei and ZTE as security risks and pledged to purge their gear from EU institutions’ internal networks.

 

Member States Divided

Despite these renewed efforts, national governments have largely resisted ceding control over telecom infrastructure to Brussels. The debate has resurfaced amid reports that Germany and Finland are weighing tougher curbs on Chinese vendors, while Spain and Greece continue to permit Huawei’s participation in their 5G networks.

This divergence underscores the EU’s long-standing challenge: balancing national sovereignty in telecom regulation with collective cybersecurity objectives.

Security and Strategic Concerns

The Commission’s move reflects deepening unease in Brussels over the security implications of Chinese involvement in critical infrastructure. Officials worry that allowing Huawei or ZTE access to national networks could expose the bloc to espionage, surveillance, or disruption, particularly as geopolitical tensions with Beijing rise.

Efforts to limit Huawei’s footprint in Europe gained momentum after the Trump administration launched a global campaign to isolate the Chinese company. The EU’s response—the “5G Toolbox” introduced in 2020—encouraged member states to exclude high-risk vendors but left implementation voluntary.

To date, Sweden remains one of the few EU members to have fully banned Huawei—a decision that provoked diplomatic retaliation from China and discouraged others from following suit.

Economic and Political Pushback

Critics warn that a bloc-wide ban could raise costs and delay 5G rollouts, given Huawei’s competitive pricing and advanced technology. Telecom operators argue that replacing existing Chinese equipment would require massive reinvestment, slowing Europe’s digital transition.

Some governments also remain wary of antagonizing Beijing, one of the EU’s largest trading partners.

China’s Response

Beijing has repeatedly condemned the EU’s treatment of Huawei and ZTE, calling the “high-risk supplier” label politically motivated and unsupported by evidence. China’s Foreign Ministry has accused Brussels of bowing to U.S. pressure and undermining the principles of fair competition.