EU headquarters in Brussels Photo: VCG

The EU on Tuesday local time submitted a draft proposal seeking to phase out Chinese-made equipment from critical infrastructure, according to media reports. Analysts noted that pushing the proposal through would face significant practical challenges in implementation, while forcibly advancing so-called “de-risking” measures against China could also bring a range of adverse consequences for European industries.

The EU plans to phase out components and equipment from high-risk suppliers in critical sectors, according to a draft proposal released by Brussels on Tuesday - a move criticized by China's Huawei, which is set to be among the companies affected, the Reuters reported.

The measures were set out by the European Commission in revisions to the EU's Cybersecurity Act, Reuters reported. It claimed that the move was driven by what it described as a rise in “cyber and ransomware attacks,” alongside growing concerns over “foreign interference, espionage,” and “Europe’s reliance on non-EU technology suppliers.”

The new measures will apply to 18 key sectors identified by the Commission, including detection equipment, connected and automated vehicles, electricity supply and storage systems, water supply systems, and drones and counter drone systems, said the report. Cloud services, medical devices, surveillance equipment, space services and semiconductors are also classified as critical.

Driven by geopolitical rivalry and ideological considerations, some EU politicians have continued to push a so-called “de-risking” agenda targeting China, Zhang Jian, a vice president at the China Institutes of Contemporary International Relations, told the Global Times on Tuesday. However, industrial cooperation between China and the EU is mutually beneficial and delivers tangible gains for EU member states, making it hard for Brussels to build broad internal consensus around exclusionary measures based on speculative or unsubstantiated risk assumptions, Zhang said.

“The EU’s latest proposal reflects a shift toward a more mandatory and coercive stance on restricting Chinese technology. However, attitudes toward — and demand for — cooperation with China in technology and critical infrastructure vary widely across the bloc,” said Zhao Yongsheng, a research fellow at the Institute of Regional and International Studies at the University of International Business and Economics in Beijing. Even if Brussels attempts to push the proposal through, it is likely to face substantial practical obstacles at the implementation stage, Zhao said.

Both Chinese analysts also emphasize that restricting or banning companies’ market access through administrative measures is a serious violation of market principles and fair competition rules.

Germany recently appointed an expert commission to reassess trade policy toward Beijing and has banned the use of Chinese components in future 6G telecoms networks, said the Reuters. Also, the US banned approvals of new telecoms equipment from Huawei and Chinese rival ZTE in 2022 and has urged European allies to follow suit.

"A legislative proposal to limit or exclude non-EU suppliers based on country of origin, rather than factual evidence and technical standards, violates the EU's basic legal principles of fairness, non-discrimination, and proportionality, as well as its WTO (World Trade Organization) obligations," a Huawei spokesperson said, according to the Reuters.

"We will closely monitor the subsequent development of the legislative process and reserve all rights to safeguard our legitimate interests," the spokesperson said.

In commenting on question about the European Commission exploring ways to force EU member states to phase out Huawei Technologies and ZTE from their telecom networks, Chinese Foreign Ministry spokesperson Lin Jian said at a press conference on December 11, 2025 that Chinese companies have all along done their business in Europe in accordance with the law, provided the European people with quality products and services, and made contributions to local socioeconomic development and employment. To limit or ban companies’ access to the market through administrative means without any legal grounds or factual basis severely violates market principles and the rules of fair competition, according to Lin.

Facts have demonstrated that in a handful of countries, the removal of Chinese telecom companies’ quality and secure equipment not only handicaps their domestic technological development, but also results in heavy financial losses, the spokesperson said, noted turning trade into security and political issues will hinder technological progress and economic growth and do no one’s good. 

“We urge the EU to provide a fair, transparent and non-discriminatory business environment for Chinese companies and avoid hurting companies’ confidence in their investment in Europe.”