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Huawei and ZTE Hit Hard as U.S. Moves Against Chinese Tech Firms

The United States undercut China’s technology ambitions on Tuesday, advancing a new rule that would limit the ability of Chinese telecommunications companies to sell their products in this country.

The Federal Communications Commission voted unanimously to move forward with a plan that would prevent federally subsidized telecommunications carriers from using suppliers deemed to pose a risk to American national security. The decision takes direct aim at Huawei, which makes telecommunications network equipment and smartphones, and its main Chinese rival, ZTE, sending a message that the government doesn’t trust them.

 

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