Deputy communications minister Teo Nie Ching said Article 5.2.1 of the trade deal, highlighted by Ayer Hitam MP Wee Ka Siong, does not give ‘any party veto power over Malaysia’s decisions’.
KUALA LUMPUR: Deputy communications minister Teo Nie Ching says U Mobile Sdn Bhd has not been told to stop using equipment from Huawei Technologies Co Ltd, based on the Malaysia-US Agreement on Reciprocal Trade.
Speaking in the Dewan Rakyat today, she said the Malaysian Communications and Multimedia Commission has not issued any directive to the company about switching vendors.
Teo was responding to Khoo Poay Tiong (PH-Kota Melaka), who said Ayer Hitam MP and MCA president Wee Ka Siong had asked in a video posted online whether U Mobile would be required to switch vendors.
She criticised Wee for not asking his question in the Dewan Rakyat.
“He made the video outside the Dewan Rakyat and does not want to hear the answer here. That is irresponsible,” she said.
On Oct 31, Wee questioned the government’s decision to sign the trade deal, claiming Article 5.2.1 requires Malaysia to consult with the US to determine whether a supplier meets the deal’s prescribed security standards.
The clause in question states Malaysia shall “cooperate with the US to regulate trade in national security-sensitive technologies and goods through existing multilateral export control regimes, align with all unilateral export controls in force by the US, and ensure its companies do not backfill or undermine these controls”.
Wee asked whether U Mobile would be forced to cancel its plan to use Huawei and ZTE Corp equipment for the second 5G network, adding their products are often 20% to 40% cheaper than Western suppliers.
However, Teo said the clause does not give “any party veto power over Malaysia’s decisions”.
She said the country is free to choose any provider it wishes as long as local security laws and global standards are met.
On Oct 28, the US’ Federal Communications Commission voted 3-0 to block new approvals for devices with parts from companies on its “Covered List” and to allow the agency to bar previously approved equipment in certain cases.
FCC chair Brendan Carr said the devices from companies including Huawei, ZTE, China Mobile and China Telecom “present loopholes bad actors could use” to threaten US network security.
