London Daily

Focus on the big picture.
Thursday, Jul 10, 2025

Huawei files US lawsuit disputing that it is a security threat

Huawei files US lawsuit disputing that it is a security threat

Chinese telecom giant challenges FCC ruling, as founder says he would welcome Biden outreach

China’s Huawei Technologies Co. filed a lawsuit in the U.S. disputing its designation as a national security threat by the Federal Communications Commission, stepping up legal challenges in the country despite a change of administration in Washington.

The lawsuit filed Monday in the U.S. Court of Appeals for the Fifth Circuit asked for a review of an FCC ruling last year that found the company poses a national security threat and blocked American telecommunications operators from accessing a multibillion-dollar fund to buy Huawei-made telecom gear.

The complaint is Huawei’s latest challenge to the U.S.’s numerous actions targeting it over the past several years. Former President Donald Trump’s administration blocked the company from accessing American technology and sought to persuade allies that Huawei’s telecom gear presented national security risks.

Huawei’s lawsuit said the FCC’s ruling in December exceeded its authority and was “arbitrary, capricious, and an abuse of discretion, and not supported by substantial evidence.”

An FCC spokeswoman said, “Last year the FCC issued a final designation identifying Huawei as a national security threat based on a substantial body of evidence developed by the FCC and numerous U.S. national security agencies. We will continue to defend that decision.”

U.S. officials have long said that Beijing could exploit Huawei telecom gear to spy or disrupt telecommunications networks, though they haven’t publicly shown evidence of any such behavior. Huawei’s founder, Ren Zhengfei, has said the company would never spy on behalf of any country.

Huawei filed its lawsuit hours before Mr. Ren told a group of journalists in China that he hoped the Biden administration would be more open to policies “that are in the interests of U.S. companies,” adding that he would welcome a phone call from the new president.

“We still hope to be able to buy a lot of U.S. components, parts and machinery so that U.S. companies can also develop with the Chinese economy,” Mr. Ren said Tuesday.

The Biden administration hasn’t clearly spelled out its approach to Huawei. During a hearing last month, President Biden’s nominee for commerce secretary, Gina Raimondo, vowed to protect the U.S. against Chinese technology threats but declined to promise to maintain the Commerce Department’s blacklisting of Huawei, pending a review.

Huawei pursued a combative legal response to the Trump administration’s actions, challenging both the FCC and a U.S. law that barred the company from doing business with American contractors. A federal judge in Texas threw out the latter suit last year.

A separate challenge against the FCC filed in 2019, which also disputes the designation of Huawei as a security threat, is continuing.

The legal efforts reflect Huawei’s push to exhaust all of its options as it faces the prospect of losing what remains of its foothold in the U.S. telecommunications market. Huawei executives have long voiced frustration with Western suspicions—never publicly proven—that the company poses security risks and have challenged U.S. officials to present evidence of any espionage.

Despite worries in Washington, Huawei has long partnered with rural telecom carriers across the U.S. that have praised its prices and the dependability of its service. Company executives had hoped Huawei could build on that record to work with larger operators and pitch its smartphones to U.S. consumers.

Mr. Trump dashed those hopes as the company became a key target in his trade war with Beijing. In addition to blocking the export of U.S. technology to Huawei, the U.S. under Mr. Trump issued twin criminal indictments of the company, alleging that it stole technology and evaded sanctions on Iran. Meng Wanzhou, the company’s CFO, has been under house arrest in Canada for more than two years as she resists American officials’ efforts to extradite her to the U.S.

The U.S. actions have squeezed Huawei. The Commerce Department tightened an export ban on Huawei in August, cutting it off from computing chips critical to its smartphones and telecom equipment. Analysts have said Huawei is relying on stockpiled inventory to build its products.

The tighter controls have had the greatest impact on the company’s smartphone business, which accounted for more than half its revenue in 2019. Shipments of its handsets fell more than 40% in the quarter to Dec. 31 from a year earlier, and Huawei in November sold off its budget Honor brand of smartphones to a consortium led by the government of Shenzhen, the southern Chinese city where Huawei is based.

Mr. Ren said in his remarks Tuesday that the company still managed to increase both profit and revenue last year despite the challenges, although it has yet to report its 2020 earnings. In 2019, Huawei made about $9.7 billion in profit on more than $130 billion in revenue.

Newsletter

Related Articles

0:00
0:00
Close
Severe Heatwave Claims 2,300 Lives Across Europe
NVIDIA Achieves Historic Milestone as First Company Valued at $4 Trillion
Declining Beer Consumption Signals Cultural Shift in Germany
Linda Yaccarino Steps Down as CEO of X After Two Years
US Imposes New Tariffs on Brazilian Exports Amid Political Tensions
Azerbaijan and Armenia are on the brink of a historic peace deal.
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
×