(MENAFN) EU member countries may be compelled to gradually remove equipment produced by Chinese technology firms Huawei and ZTE from their telecommunications networks under the European Union’s proposed ban, a media outlet reported on Monday, citing sources familiar with the matter.

The proposed measure comes amid rising trade tensions between China and the EU.

Over the past year, Brussels and Beijing have been at odds over what the EU describes as China’s industrial overproduction, while Chinese officials accuse the bloc of practicing protectionism.

According to sources who spoke to the news agency, European Commission Vice President Henna Virkkunen aims to convert a 2020 recommendation on excluding “high-risk” vendors from mobile networks into a legally binding obligation.

If enacted, the rule would cover both mobile network equipment and fixed-line infrastructure, as Virkkunen is reportedly exploring measures to restrict the use of Chinese technology in fiber-optic networks and broadband expansion projects.

The Commission also plans to encourage non-EU nations to join the ban, potentially creating a wider coalition against Chinese telecom suppliers.

EU countries, which currently make infrastructure choices independently, could face legal action and financial fines under Brussels’ enforcement powers if the regulation is implemented.

While Sweden prohibited the use of Chinese vendors in its 5G networks several years ago, other EU nations continue to permit the integration of Chinese technology in segments of their infrastructure.

Germany and Finland are reportedly evaluating stricter limitations on Huawei and ZTE.

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