Trump administration recommends against allowing China Mobile access to US market

The Trump administration recommended to the Federal Communications Commission (FCC) on Monday that China Mobile not be allowed to enter the U.S. telecommunications market.

The National Telecommunications and Information Administration (NTIA) said in a press release that concerns about national security risks were too great to come to an agreement with the Chinese company.

“After significant engagement with China Mobile, concerns about increased risks to U.S. law enforcement and national security interests were unable to be resolved,” David Redl, assistant secretary for communications and information at the NTIA, said in a statement.

{mosads}As a result, the NTIA advised the FCC that it deny China Mobile’s application from 2011 to provide services from within the United State.

The denial of China Mobile’s request comes roughly a month after the Trump administration reached a deal to revive ZTE, a Chinese telecommunications giant.

The Commerce Department announced it would lift penalties on ZTE, which had previously faced the U.S. sanctions for selling materials to Iran and North Korea.

As part of the agreement, the Commerce Department will impose a $1 billion penalty against ZTE, and a U.S.-selected compliance team will be embedded in the firm for 10 years.

That move was widely criticized by lawmakers on both sides of the aisle, who warned that China could use ZTE to spy on the U.S. or threaten national security.

China and the U.S. continue to spar over larger trade issues, raising concerns of a looming global trade war.

President Trump announced earlier this year that the U.S. would impose a 25 percent tariff on $50 billion in Chinese goods. China responded with similar tariffs on U.S. goods, which prompted Trump to order additional levies on Chinese products.