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The European Commission has proposed an EU-wide framework to identify high-risk suppliers in critical ICT supply chains and phase them out of 5G networks within three years. The proposal does not name China, Huawei or ZTE, but those companies are at the centre of the political context. It is not law yet: the European Parliament and Council must approve it.
What the Commission proposed
The measure is COM(2026) 11, a proposed regulation revising the EU Cybersecurity Act. It would let the Commission adopt implementing acts identifying high-risk suppliers and setting mitigation measures and phase-out periods for ICT components in critical sectors. The Commission’s summary describes a requirement for mobile operators to remove high-risk suppliers from 5G networks within three years.
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The three-year period is part of the proposal, not a deadline currently running. The reviewed material does not establish a final supplier list or a start date for a future transition clock. The proposal also says products and services from high-risk suppliers would no longer qualify for EU 5G cybersecurity certification schemes.
Does the proposal ban Huawei and ZTE?
Not by name. The draft uses the category “high-risk suppliers” and does not explicitly name China, Huawei or ZTE. The association comes from the Commission’s earlier assessment and contemporary reporting, rather than a named designation in the draft.
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In a 15 June 2023 communication, the European Commission said that member-state decisions restricting or excluding Huawei and ZTE were justified and complied with the 5G Cybersecurity Toolbox. The Commission assessed that the two firms represented materially higher risks than other 5G suppliers. That is the Commission’s assessment, not a court finding or an independently adjudicated conclusion.
The Associated Press reported that the 2026 proposal was seen as targeting Chinese firms including Huawei and ZTE. Huawei told AP that limiting or excluding non-EU suppliers based on country of origin rather than factual evidence and technical standards would violate principles of fairness, non-discrimination and proportionality, as well as WTO obligations. That is Huawei’s argument, not an established legal ruling.
Why the Commission says supply-chain risk matters
The Commission’s stated concern is that continued dependence on high-risk suppliers could harm the security of users, businesses and critical infrastructure. Its rationale also points to supplier characteristics such as possible influence by third-country security laws and corporate governance. Commission Vice-President Henna Virkkunen described the aim as protecting EU citizens and businesses by securing ICT supply chains that support critical sectors.
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Which sectors could be affected?
The plan is broader than telecom network equipment. AP cited border security scanners, water supply systems, and health and medical devices as examples of other areas implicated by the proposal. These are illustrative examples, not a complete sector list.
For mobile operators, the proposed transition would require changes to network planning, vendor strategies and investment roadmaps. The reviewed sources do not establish final replacement costs or settle who would bear them.
What the market figures do—and do not—show
A 2026 European Commission staff impact assessment cited an estimate that Huawei and ZTE supplied 32% of 5G sites across the EU and five other countries, and forecast their combined share at 29% in 2028. These are figures quoted in the assessment, not audited current shares for the EU alone; the geography includes five other countries, and the 2028 figure is a forecast.
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How this differs from earlier EU guidance
The earlier 5G Cybersecurity Toolbox provided a common approach, but member states applied restrictions or exclusions nationally. The proposed Cybersecurity Act revision would create an EU-wide framework for identifying high-risk suppliers and setting measures, including the proposed 5G phase-out.
It is separate from the Digital Networks Act, another Commission proposal published the following day. The Digital Networks Act concerns harmonising connectivity rules and improving network security and resilience by limiting dependencies in the connectivity ecosystem; it is not the measure that supplies the high-risk supplier phase-out mechanism described here.
What happens next
The European Parliament and Council must approve the proposed regulation before it can become binding law, and either could amend it. Until then, operators are not subject to a new three-year removal deadline under this proposal. Any future supplier designations, implementing rules and transition timing would need to be established through subsequent steps.
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