Brazil’s government will not seek to bar Chinese telecom equipment maker Huawei Technologies Co Ltd from 5G network auctions slated for June this year.
According to newspaper Estado de S. Paulo, citing government and industry sources, financial costs potentially worth billions of dollars and the exit of ally President Donald Trump from the White House are forcing President Jair Bolsonaro to backtrack on his opposition to Huawei bidding to provide the next generation cellular network for carriers in Brazil.
With China being Brazil’s largest trade partner and Huawei’s ability to compete on price, Bolsonaro has faced resistance from industry and within his own government, including from Vice President Hamilton Mourao.
Estado de S. Paulo quoted Mourao as saying all companies that provide the necessary guarantees on respecting Brazil’s national sovereignty and data protection will be allowed to offer 5G equipment in the country.
Like Trump, Bolsonaro opposes Huawei on the unproven grounds that it shares confidential data with China’s Communist government.
