Japan reportedly will stop buying Huawei, ZTE equipment

The government's ban may come next week, sources tell Reuters.

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The Japanese government is getting ready to ban government purchases of equipment from China's Huawei and ZTE, according to reports.

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Japan will reportedly ban government purchases of Huawei and ZTE equipment to avoid hacks and intelligence leaks.

The country's government is likely to tweak its procurement rules to exclude the Chinese companies as soon as Monday, Reuters reported Friday, citing the Yomiuri newspaper.

The news follows reports that the US is working to persuade its foreign allies, including Japan, to avoid using Huawei equipment in their wireless and internet services, warning of cybersecurity risks.

The Japanese government will avoid specifically naming the two companies in the altered rules for fear of damaging relations with China, but they'll be tailored to steer clear of companies it suspects pose a national security threat, sources told the outlets. 

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It may also ban products from Japanese companies that use Huawei and ZTE parts.

On Wednesday, Britain's BT announced plans to remove Huawei equipment from its core 4G network within two years and exclude the company from the vendor selection for its 5G core. Australia and New Zealand will also avoid using Huawei infrastructure in their 5G networks.

Huawei's chief financial officer was arrested in Canada on Saturday, following a US request, over alleged Iran sanctions violations.

Neither the Japanese government, Huawei nor ZTE immediately responded to requests for comment.

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