FCC Targets Chinese Tech in Undersea Cable Rules

July 16, 2025

3 minutes read

Underwater
PhotoCredit: UnitedStates StudyCentre

On Wednesday, July 16, 2025, the Federal Communications Commission (FCC) took a significant step by announcing new rules.

To stop companies from using Chinese technology or equipment in undersea cables connected to the United States.

FCC Chair Brendan Carr shared that this move comes from growing fears about threats from foreign countries, especially China, which might use these cables for spying or cyberattacks.

These cables, numbering over 400, carry almost all the world’s international internet traffic, making them a key concern for U.S. officials who have watched China’s role with suspicion for years.

This isn’t a new worry for the U.S.

Since 2020, regulators have blocked four planned cables that would have linked the U.S. to Hong Kong, pointing to security risks as the reason.

Last year, the FCC started a detailed review of the rules governing these underwater connections, which are vital for keeping the global internet running smoothly.

The latest plan suggests banning gear from companies like Huawei, ZTE, China Telecom, and China Mobile—firms the FCC sees as risks to national safety.

Carr made it clear the aim is to keep these cables safe from foreign control, unwanted access, and both digital and physical attacks.

This decision follows a string of worrying events around the world. For example, two fiber-optic cables in the Baltic Sea were recently cut, leading to probes into possible sabotage.

In 2023, Taiwan accused Chinese ships of damaging the only two cables serving the Matsu Islands’ internet.

Plus, Houthi attacks in the Red Sea have been linked to breaks in three cables connecting Europe and Asia, causing service disruptions.

These incidents have opened eyes to the weaknesses in undersea networks, prompting the FCC to ask for public opinions on extra safety steps.

The new rules could shake things up. If a 30% U.S. tariff hits European goods, the price of top-end cable equipment might rise from 250 million to 325 million euros, based on industry guesses.

This uncertainty has made companies cautious, holding off on big investments until they know more.

The FCC wants to ease this by letting companies pass the extra costs to customers, but the future impact on global trade and internet stability is still up in the air.

Some experts think this will boost security but might also strain ties with China and muddle international tech partnerships.

Moving ahead, the FCC plans to collect feedback from the public and industry experts to fine-tune these regulations.

The goal is to protect this crucial part of the digital world while keeping internet services flowing smoothly.

This could influence how countries work together—or compete—in technology for years to come.

With tensions growing, other nations might adopt similar measures, possibly changing the future of undersea communication networks.

 

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