Huawei and ZTE have won several contracts this year to supply 5G equipment in Vietnam, signalling closer ties between Hanoi and Beijing and raising concern among Western officials, reports Reuters
Huawei and ZTE have won several contracts this year to supply 5G equipment in Vietnam, signalling closer ties between Hanoi and Beijing and raising concern among Western officials, reports Reuters. Vietnam had long been cautious about using Chinese technology in sensitive infrastructure but has shifted stance as relations with China improve and tensions with Washington rise over tariffs on Vietnamese goods.
Ericsson of Sweden and Nokia of Finland secured contracts for Vietnam's 5G core infrastructure, with US chipmaker Qualcomm providing network equipment. However, Chinese firms have begun winning smaller tenders with state-owned operators, according to procurement data not previously disclosed.
A consortium including Huawei was awarded a US$23 million contract for 5G equipment in April, shortly after the White House announced tariffs on Vietnamese goods. ZTE has since won at least two contracts worth more than $20 million for 5G antennas, including one last week.
The first publicly disclosed deal came in September, a month after US tariffs took effect, underscoring the shift in Vietnam's procurement strategy towards Chinese suppliers.
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