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China rejects US claims over telecom firms

Published on Oct 10, 2012 11:57 AM

BEIJING (AFP) - A US Congressional report that warns two Chinese telecom companies pose a national security risk and should face restrictions in the US market is "groundless", China has said.

The US House Intelligence Committee draft report says that equipment supplied by two Chinese firms, Huawei Technologies and ZTE, could be used by Beijing for espionage purposes.

"The US Congress investigation report, which is merely based on subjective suspicions and false foundations, has in the name of national security made groundless accusations against China," Mr Shen Danyang, a spokesman for China's Commerce Ministry said.

Mr Shen's comment came in a statement posted on the ministry's website late on Tuesday.

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