The Department of Telecommunications (DoT) has issued a fresh directive to major Indian telecom companies, including Airtel, Jio, Vodafone Idea, and BSNL, seeking details of all Chinese equipment being used in their networks. The move is aimed at ensuring national security and aligns with concerns emerging from the ongoing US-China tariff war and rising security threats.
Tracking the usage of Huawei and ZTE in networks
According to a report filed by ET Telecom, the government intends to monitor the presence and use of Chinese-manufactured equipment in the telecom and space sectors. Security agencies have flagged these components as potential risks in critical infrastructure.
While Chinese companies like Huawei and ZTE are already banned from participating in India’s 5G rollout, their equipment is still widely used in 2G, 3G, and 4G networks, particularly in BSNL, Airtel, and Vodafone Idea’s wireless and optical fiber networks. These telecom firms reportedly pay Chinese vendors substantial amounts annually for maintenance contracts—Huawei alone earns nearly ₹600 crore per year, while ZTE earns slightly less.
No new contracts for Chinese companies
As per current telecom policies, Chinese companies are only allowed to maintain or replace existing equipment. No fresh contracts for network expansion or new infrastructure will be awarded to them under the new rules.
Big move on SIM cards too
Apart from equipment tracking, the DoT had earlier instructed telecom companies to phase out old SIM cards that were imported from China during the 2G and 3G era. These SIM cards were largely sourced from Chinese firms. However, the situation has changed with the rollout of 4G and 5G, where SIM manufacturing has been localized within India.
Strengthening national security in telecom
The government’s latest action reflects its increasing vigilance on telecom security infrastructure. With Chinese vendors under global scrutiny, India is now taking further steps to secure its digital and communication networks from potential threats by restricting foreign influence, especially from China.
