House Intelligence Committee report blasts Huawei, ZTE as threats to U.S. national security

08.10.2012

The Committee report said Huawei and ZTE object to having the focus on them alone, and the report says this was done because these two companies "are the two largest Chinese-founded, Chinese-owned telecommunications companies seeking to market critical network equipment to the United States."

The report says House Committee staff last February went to Huawei corporate headquarters in Shenzhen, China, to meet with officials there, including: Ken Hu, Huawei's deputy chairman of the board and acting CEO; Evan Bai, vice president of the treasury management office; Charlie Chen, senior vice president in charge of Huawei (U.S.); Jiang Xisheng, secretary of the board; John Suffolk, global security officer; and Rose Hao, export regulator.

In April, Committee staff met in Shenzhen with ZTE executives, too: Zhu Jinyun, senior vice president of U.S. and North American market; Fan Qingfeng, executive vice president of global marketing and sales; Guo Jianjun, legal director; Timothy Steinert, independent director of the board and Alibaba counsel; Ma Xuexing, legal director; Cao Wei and Qian Yu, both with the security and investor relations within the Information Disclosure Office; and John Merrigan, attorney with DLA Piper.

The report says other meetings occurred, but the House Committee did not feel their questions and need for documentation were answered and said answers were sometimes evasive.

The Committee wanted to understand any formal role of the Chinese government or Chinese Communist Party with the companies. The report says it believes Huawei and ZTE "failed to assuage the Committee's significant security concerns presented by their continued expansion in the United States."