Decision to Ban Huawei Long Overdue

The government has finally made the right decision in banning Huawei and ZTE from Canada’s 5G wireless network. This decision puts us in line with our Five Eyes allies, Australia, New Zealand, the United Kingdom, and the United States, who have all banned Huawei and ZTE from their respective 5G networks over credible security concerns about these companies.

The Liberal government initially launched the review of which companies would be permitted on our 5G network during it’s first mandate, with the former Public Safety Minister promising to make a decision prior to the 2019 election. CSIS Director David Vigneault has been sounding the alarm about the potential threat state-sponsored espionage through 5G posed to our national security since 2018.

The major concern about allowing these companies to participate in our 5G network relate to the degree to which they are able to operate independently from the Chinese government. While Huawei and ZTE maintain that they are independent companies, the extent to which they are at arm’s length from the Chinese government is still unclear. They are subject to China's National Intelligence Law that may require them to provide sensitive data to their government should it be requested. Having a company who could be compelled to provide data on Canadians to a foreign government is itself a national security threat.

While there has always been speculation that this decision was delayed as a result of the arrests and imprisonment of Michael Korvig and Michael Spavor in China, largely seen as retaliation for the arrest of Huawei executive Meng Wanzhou on charges of fraud and conspiracy in the U.S., the decision nevertheless came two years after the UK became the 4^th of the Five Eyes partners to decide against Huawei on the matter. The decision also fell one day after China removed its retaliatory tariff on Canadian canola products, which comprised 40 percent of Canada’s canola exports, a dispute the government had taken to the World Trade Organization for resolution.

We all realize that these major geopolitical concerns are factors in a decision like this. However, the safety, privacy, and security of Canadian citizens, businesses, and governments, as well as the security of the data they use, must be paramount in any conversation about which telecom companies are allowed on our network. The delay does raise concerns about the government’s national security commitments, and it also created unnecessary friction with our intelligence security allies, making Canada the outlier when the rest of the Five Eyes allies had banned both companies already.

On a practical level, what does this mean to your average Canadian individual or business? Not much up front for those who are networked through larger companies. Of the big three telecom companies across the country, Bell and Telus had planned to work with Huawei to develop their 5G rollout, but as the government examined whether to ban Huawei from its networks, both companies made alternative arrangements with other partners, such as Swedish company Ericsson. Companies that do use Huawei or ZTE 4G or 5G tech are required to cease procurement by September 2022, to remove or terminate 5G tech already installed by June 2024, and for 4G tech by December 2027. For smaller telecoms, however, some had relied on Huawei and ZTE technology due to lower costs and may end up paying the price to remove those company’s tech from their networks. The delay in addressing the legitimate national security concerns and privacy rights raised by CSIS and the Five Eyes may have also inadvertently hampered smaller telcos, and by extension, Canadian consumers.

Decisions about national security should never be made in haste, or without merit or expert advice, but three years is an exceptionally long delay to ensure the safety of our 5G network infrastructure. The concerns shared by our Five Eyes allies and by the Director of CSIS should have been significant enough to warrant intense scrutiny. Our safety and security are paramount.