By Ebi Kesiena
The United States has banned China Telecom from operating in the country, citing significant national security concerns, further straining already tense relations between the superpowers.
The move marks the latest salvo in a long-running standoff that has pitted the world’s biggest two economies against each other over a range of issues including Taiwan, Hong Kong, human rights, trade and technology.
It also comes as US President Joe Biden presses ahead with a hard-line Policy against Beijing broadly in line with that of his predecessor Donald Trump, whose bombastic approach sent tensions soaring.
The Federal Communications Commission (FCC) ordered China Telecom Americas to discontinue its services within 60 days, ending a nearly 20-year operation in the United States.
In a statement, FCC stated that the firm’s ownership and control by the Chinese Government raises significant National Security and Law Enforcement risks.
It warned that it gives opportunities for Beijing to access, store, disrupt, and misroute US communications, which in turn allow them to engage in espionage and other harmful activities against the United States.
The announcement came hours after Chinese Vice Premier Liu He and Treasury Secretary Janet Yellen held a video call, with discussions on trade that Beijing described as pragmatic, candid and constructive.
Reacting to the US decision, China Telecom Spokesman, Ge Yu said in an email that the FCC’s decision is disappointing
According to Bloomberg News, Ge Yu explained that China plans to pursue all available options while continuing to serve its customers.
However, the announcement ramped up concerns about further measures against Chinese tech firms and battered shares in such firms listed in New York.
