Chinese companies that have been previously banned from Australian networks due to security concerns are finding new ways back in, particularly through new technology in electrical vehicles.
These companies have been banned due to concerns over China’s National Intelligence Law that can compel companies to hand over all information requested by the government without being allowed to disclose they have done so. Despite many of these companies protesting that this would not be the case, it has not convinced lawmakers who have been pushing through bans in many countries since the National Intelligence Law came into power in 2018.
This same law has created debate around banning many Chinese companies, most famously the United States legislation banning social media company Tik Tok due to their parent company ByteDance. While the law has been passed, it has been appealed and will now be on its way to the Supreme Court who will have the final say on the future of the most popular social media app. If unsuccessful, TikTok will be banned in the United States by January 19th 2025 if it is not sold or in the process of being sold by ByteDance.
Chinese tech company Huawei was banned from the Australian 5G network in 2018, but has since refocused their company towards technology, in particular Artificial Intelligence (AI) and autonomous driving technology.
Huawei have had partnership deals with multiple car manufacturers including Chery, who have just launched in Australia in the past few months. They have also started receiving more opportunities with established automakers like BYD’s decision to start using their autonomous driving technology in their off-road EV’s. Audi have also agreed to start using Huawei’s advanced driver-assist system (ADAS) in their EVs for the China market.
One of the owners of another controversial company, Dahua, has found a new way into Australia through newly-released EV Leapmotor. Dahua created surveillance technology and in 2023 along with company Hikvision had more than 900 surveillance cameras removed from Australian government offices due to security concerns.
The company owner diversified into EVs in 2015, and the recent purchase of a 20% stake by worlds fourth-largsest automaker Stellantis has most importantly given them the infrastructure and dealership network to make a global push. While launching in Australia late in 2024 with one model, they have already announced plans to scale up significantly, hinting at up to five models eventually being sold in Australia.
Even Australian federal politician and Minister for Home Affairs Tony Burke recently came under scrutiny and had to take “appropriate measures” to ensure sensitive materials couldn’t be captured by his own personal Chinese-manufactured EV.
The validity of these concerns may not be currently known, or ever known by the general public. But as these concerns seem to be growing rather than subsiding, more companies may yet be banned.