14 September 2020

China Telecom has become the latest Chinese operator to push US regulator the Federal Communications Commission (FCC) not to shut its operations in the country, arguing its subsidiary does not pose a threat to national security, according to Reuters.

In a filing, China Telecom (Americas) argued its conduct does not demonstrate any reasonable basis for a lack of US government trust, insisting a move to revoke its licence is “based solely on foreign policy concerns in the absence of any evidence whatsoever of specific misconduct”, the report said, 

The business previously argued any move to terminate an interconnection licence in the country would be unlawful, after various government departments pressed the FCC to do so.

China Unicom (Americas) recently made a filing arguing the FCC had no valid grounds to revoke long-standing authorisations to provide domestic and international services in the US.

It said it was deemed qualified to do so nearly 20-years-ago, has a record of complying with FCC regulations, and stated it would be improper to initiate proceedings to revoke its licence simply because of its ownership structure.

Pacific Networks and subsidiary ComNet (USA) also defended their record of providing services in the US.

In April, the FCC demanded the three companies explain why it should not cancel clearances to operate in the US, requesting they prove they are not influenced or controlled by the Chinese government and do not pose a threat to national security.

This followed a call by US President Donald Trump to establish a special committee to review telecoms licences and applications, to pinpoint potential security threats.

In May 2019, the FCC unanimously voted to block a China Mobile interconnection licence application.