India has reportedly sought details from all telecom operators regarding the deployment of Chinese equipment in their networks amid the ongoing US-China tariff war. The move aims to monitor Chinese involvement in the country’s communication infrastructure and pre-empt any potential security threats arising from network vulnerabilities.
The Centre has clarified that it will not encourage foreign direct investment (FDI) from China despite the global trade developments. Chinese vendors like Huawei and ZTE have already been excluded from India’s 5G rollouts but continue to support parts of the 4G infrastructure. This includes the core, wireless, and optical network segments of Bharti Airtel and Vodafone Idea Limited (Vi), as well as the 2G network of Bharat Sanchar Nigam Limited (BSNL).
The government is not currently considering a complete replacement of existing Chinese equipment, as doing so would incur substantial costs for telecom operators, particularly older players. Huawei and ZTE are permitted to service existing equipment, including necessary replacements and upgrades, but are barred from participating in new contracts.
Moreover, despite the transition to newer technologies, over 200 million subscribers in India remain on 2G networks, and some on 3G, which is gradually being phased out. As a result, a significant number of older SIM cards embedded with Chinese chips are still active and may eventually need replacement.