In a significant escalation of the ongoing technology and security standoff, the Chinese surveillance equipment leader Hikvision has initiated a legal battle against the United States Federal Communications Commission (FCC). The company's US subsidiary has filed a petition for judicial review, challenging a new FCC rule that further restricts Chinese telecom gear.
The Core of the Legal Challenge
Hikvision, renowned for its security cameras and video surveillance systems, contends that the FCC has overstepped its legal boundaries. The company's legal filing argues that the commission exceeded its statutory authority and is attempting to retroactively cancel previously lawful authorizations without a solid legal or factual foundation. This move, Hikvision states, threatens a stable regulatory environment for businesses.
The heart of the dispute is the FCC's "Covered List." This list identifies companies considered threats to US national security, effectively blocking the FCC from approving new equipment imports or sales from those firms. Hikvision finds itself on this list alongside other Chinese tech heavyweights like Huawei, ZTE, China Mobile, and China Telecom.
A Series of Regulatory Setbacks
This lawsuit is not Hikvision's first attempt to fight US restrictions. The company faced a setback in February when a US appeals court rejected its plea to overturn a 2022 FCC ban on approvals for its new surveillance and telecom equipment. The regulatory pressure has also spilled into the consumer market.
In October, FCC Commissioner Brendan Carr revealed that major American online retailers had removed several million product listings for banned Chinese electronics. The purge included items from Hikvision, Huawei, ZTE, and Dahua Technology, such as home security cameras and smartwatches, for being on the Covered List or lacking proper authorization.
Widening the Net of Restrictions
The US government is continuously expanding its crackdown on Chinese technology infrastructure. In a related move on October 15, the FCC announced proceedings to revoke the operating license of HKT, a major Hong Kong telecom carrier and a PCCW subsidiary, citing national security risks.
Furthermore, the FCC has recently taken steps to withdraw recognition from equipment testing laboratories owned or controlled by Chinese entities. This creates an additional compliance hurdle for Chinese manufacturers trying to access or maintain a presence in the lucrative US market, tightening the bottleneck further.
Through its legal action, Hikvision asserts it is fighting to protect its market rights and the interests of its customers and partners. This case underscores the deepening fissures in US-China tech relations, where national security concerns are increasingly dictating trade and regulatory policies.
