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EU Moves to Purge Chinese Tech from Critical Infrastructure by 2026: What You Need to Know

EU Moves to Purge Chinese Tech from Critical Infrastructure by 2026: What You Need to Know

Author:
C0inX
Published:
2026-01-17 23:41:02
13
2


The European Union is doubling down on its push to eliminate Chinese technology from its critical infrastructure, aiming for tech sovereignty by reducing reliance on both Chinese and American suppliers. With Germany finally setting firm deadlines and Spain signing multi-million euro deals with Huawei, the bloc’s strategy faces turbulence. Here’s a deep dive into the EU’s high-stakes tech decoupling—and why it’s anything but straightforward.

Why Is the EU Purging Chinese Tech?

The European Commission is drafting a new Cybersecurity Law that WOULD mandate all member states to replace equipment from "high-risk" vendors like Huawei and ZTE. Brussels wants to cut dependencies not just on China but also on U.S. tech giants, though local alternatives like Ericsson and Nokia remain limited. The move follows years of U.S. pressure over espionage risks, but as one EU diplomat quipped, "We’re trading one master for another—just with better labor laws."

Is Chinese Tech Already Banned in the EU?

Not yet, but the clock is ticking. Spain’s Interior Ministry signed a €12.3 million contract with Huawei in July 2025 for OceanStor servers to store wiretapped data—a decision that raised eyebrows in Washington. Meanwhile, the EU raided Chinese firm Nuctech’s offices in Poland and the Netherlands in April 2024, investigating alleged state subsidies. By December 2025, the Commission launched a formal probe under the Foreign Subsidies Regulation. As Ming Yang and other Chinese wind turbine makers face similar scrutiny, Beijing fumes: "This isn’t security—it’s protectionism," argued China’s Commerce Minister last month.

Are EU Member States On Board?

Germany dragged its feet until July 2024, when it struck a deal with telecom operators to remove Huawei/ZTE from Core networks by 2026 and access networks (like cell towers) by 2029. The hesitation? China’s not-so-subtle threats to retaliate against German automakers. But with BNetzA now proposing to classify even physical tower components as "critical," the gloves are off. "We can’t have 5G networks built like Jenga towers," remarked a Berlin policymaker.

The Local Alternatives Dilemma

With Chinese tech out, the EU has exactly two homegrown options: Sweden’s Ericsson and Finland’s Nokia. Neither has the scale to match Huawei’s prices, prompting concerns about inflated costs for consumers. "We’re paying the price for geopolitics," grumbled a French telecom engineer, noting that replacing Huawei gear could cost his company €200 million. Meanwhile, Brussels is funneling €1.8 billion into R&D for "Open RAN" networks—a bet that’s equal parts ambitious and desperate.

What’s Next for EU-China Tech Relations?

Expect more trade spats. China has already warned that dumping its "quality, secure equipment" will backfire, possibly through restrictions on German cars or rare earth exports. But with the U.S. whispering sweet nothings about Intel and Qualcomm filling the gap, the EU’s tech future looks like a messy ménage à trois. As one industry insider put it: "We wanted strategic autonomy. We got strategic anxiety."

FAQs: EU’s Tech Decoupling Explained

Why is the EU removing Chinese tech?

To reduce security risks and achieve technological sovereignty, though critics argue it’s economically costly.

Which Chinese companies are affected?

Primarily Huawei and ZTE in telecom, plus Nuctech (security scanners) and Ming Yang (wind turbines).

What’s Germany’s timeline?

Core networks by 2026, cell towers by 2029—after years of resistance.

|Square

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