‘Wrong Decision’ To Ban 5G From Chinese Companies?

In light of the gradual 5G network rollout in Australia, the federal government has chosen to ban Chinese networks Huawei and ZTE from participating. This is the latest in the ongoing strained relations between Australia and China, with a Chinese nationalistic tabloid labelling the Australian government as “back stabbers” after the two Chinese companies were banned from the network rollout.

Over the years, Australia has benefited from a trade relationship with China. It has had huge economic growth, and in 2017, Australia registered the longest period of economic growth in recent times. Nearly one-third of exports go to China, and demand only continues to grow. However, tensions have been running high as a result of the Australian government’s decision to crack down on foreign interference.

The ban of Huawei and ZTE from the 5G rollout was said to be because of security concerns, as the decision had been released during a time of political turmoil in Australia, in the midst of a leadership crisis. In a statement from the Australian federal government, it was claimed that there was simply too much risk involved with companies “likely to be subject to extrajudicial directions from a foreign government that conflict with Australian law.” Indeed, Australian Strategic Policy Institute cybersecurity expert Tom Uren suggested there would be concerns with interception of communications and access to personal devices, had Huawei not been banned from the rollout.

It is possible that this ban could have negative impacts on the wider trading relationship between Australia and China. A Global Times article accused Australia of “discriminating against Huawei in the name of national security”, and setting a precedent for this kind of discrimination. It also accused the U.S. of interfering, as U.S. intelligence agencies were warned against working with Huawei, in order to protect their country’s own markets. “Those who wilfully hurt Chinese companies with an excuse of national security will meet their nemesis,” the editorial said. The editorial mocked the Australian leadership crisis as well, speaking about Turnbull’s apparent hostility towards China and called Dutton a “lower version of Trump”.

Huawei has suggested they might challenge this ban legally, warning the government that they will raise costs for network construction, and that businesses and consumers would be the ones suffering from the ban. The ban’s announcement by then-Acting Home Affairs Minister Peter Morrison referred to “vendors who are likely to be subject to extrajudicial directions form a foreign government that conflict with Australian law”, suggesting there could be Chinese interference if Huawei and ZTE were allowed to operate on the 5G network.

The “extrajudicial directions” refer to China’s lack of independent judiciary and the National Intelligence Law, which encourages “all organisations and citizens” to assist with intelligence. This ban is just the latest in the Australia-China drama.

The Australian government needs to present a united standpoint and separate what is happening within the country from policies in China, since they are not all interconnected, and it would be more fair for Australia’s population to know just where this line is drawn. Australia should also stop drawing parallels in their affairs to the U.S.-China relationship, and instead focus on how Chinese policies might affect Australia, such as militarisation of the South China Sea. Instigating more conflict will likely only prove to increase harm done in the long run rather than mitigate it.

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