International. The U.S. House of Representatives recently passed a bill that includes an amendment prohibiting federal agencies from purchasing video surveillance equipment from several China-based firms, including Hikvision, Dahua and Hytera Communications.
In a move that seeks to ease cybersecurity concerns around the use of technologies made by Chinese companies, the U.S. House of Representatives has passed a law prohibiting federal agencies from purchasing video surveillance equipment from several China-based firms, including Hikvision, Dahua. and Hytera Communications.
The U.S. House of Representatives voted 351-66 to advance the $717 billion National Defense Authorization Act (NDAA) for fiscal year 2017. The amendment, which was proposed based on national security concerns, was spearheaded by Rep. Vicky Hartzler, the Missouri Republican and a senior member of the House Armed Services Committee.
"We must face the reality that the Chinese government is using every avenue at its disposal to target the United States, including expanding the role of Chinese companies in the U.S. national communications and public security sectors," Hartzler said in a statement. "Video surveillance and security equipment sold by Chinese companies exposes the U.S. government to significant vulnerabilities and my amendment will ensure that China cannot create a video surveillance network within federal agencies."
The bill, which requires Senate approval before it can become law, also prohibits the U.S. government from buying equipment made by other Chinese companies. These include Hytera Communications Corp., a provider of radio communication devices; ZTE Corp., the Chinese telecommunications giant; and Huawei Technologies Co., China's largest telecommunications equipment manufacturer.
Telecom equipment manufactured by ZTE Corp. and Huawei has been effectively blocked from the US. Since a congressional report in 2012 warned that the equipment could pose a threat to national security, which both companies have refuted.
Along with the Hikvision and Dahua-branded equipment portfolios, each company's extensive OEM or white label agreements would also come under the tech ban, along with any other suppliers using the company's equipment.
Hikvision provided a letter distributed to its U.S. partners commenting on the amendment.
"We are actively working to assure our North American stakeholders that Hikvision strictly respects the laws and regulations of each country in which it operates. We also reaffirm the fact that we maintain our products to global industry cybersecurity standards, including North America," states Jeffrey He, President of Hikvision USA and Hikvision Canada.
The letter also explains that the company "will continue to further monitor and deploy the necessary resources to address this matter" and that it will "vigorously defend Hikvision from dangerous and unproven allegations about the cybersecurity of our products and solutions."
"We remain fully focused on providing quality service to our valued partners, while delivering business excellence and safeguarding the communities where our employees and their families live and work," he continues.
A Dahua spokesperson stated that the company emphasizes that it maintains "a high level of business integrity" and that it is "committed to compliance with all applicable laws and regulations in the countries in which it operates."
"Dahua takes cybersecurity seriously and has designated it as a priority. The company takes a comprehensive and systemic approach to cybersecurity, with complementary and redundant safeguards built into its technology, services and organizational practices," according to the statement, which is attributed to Zhejiang Dahua Technology Co., Ltd.
According to the statement, Dahua is the first manufacturer of video surveillance equipment certified by TÜV Rheinland, a technical services company that offers tests, inspections and certifications for the TÜV Rheinland 2PfG 2624/06.17 standard, which is derived from the European Union's GDPR.
Hytera, which has more than 70 employees and offices in Chicago, Miramar, Florida and Irvine, California, said in a statement that it was "disappointed to know" about the inclusion of the House bill that would ban the sale of its products, as well as those of other Chinese brands, to federal government end users.
"Our goal is the same as that of our customers and business partners: to help empower and protect local businesses and communities. We believe in innovation, we are dedicated to our customers and we believe in free and fair competition in the market," the company said in the statement. Hytera seeks to not only contribute to the communities in which we live and work, but also to maintain the highest standard of business ethics in the United States and around the world."
On the other hand, the Security Industry Association (SIA) also ruled on the issue and stated that the amendment was sent to its Government Relations Committee for review and consideration.
"Any position recommended by the Government Relations Committee will be referred to the SIA Executive Committee for consideration and approval," he said in a statement issued by SIA CEO Don Erickson. "If SIA decides to take a position based on member feedback, it will occur during the normal legislative process, as the bill is considered by the Senate and then, ultimately, by a joint House-Senate committee."
Erickson added that SIA is waiting to see what language will be included in the Senate bill. For the time being, he said, the association will continue to consult with SIA members and work closely with its government relations committee.
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