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US lawmakers ask Joe Biden administration to bar investments in Chinese tech firm Quectel

  • Leaders of US House panel on China want the tech giant to be designated as a Chinese military entity, which would put it on an investment blacklist
  • Quectel supplies technology to Beidou, a navigation satellite system, which China ‘views as critical to its military operations’, the congressmen say

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US Representatives Mike Gallagher, a Republican, and Raja Krishnamoorthi, a Democrat, lead the House Select Committee on the Chinese Communist Party. Photo: Getty Images/AFP
Khushboo Razdanin Washington

The US House Select Committee on the Chinese Communist Party has asked President Joe Biden’s administration to bar US investments in the Chinese tech giant Quectel by designating it as a military entity.

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Quectel “should be listed as a PRC military company restricted from accessing US capital”, said a letter to Treasury Secretary Janet Yellen and Defence Secretary Lloyd Austin released on Thursday by the House panel.

Signed by Representative Mike Gallagher, a Republican and the committee’s chairman, and Representative Raja Krishnamoorthi, the panel’s ranking Democrat, the letter said there was “significant evidence” suggesting the firm “may contribute to the defense industrial base”.

Quectel describes itself as a global supplier of Internet of Things (IoT) solutions. IoT is physical objects like vehicles and appliances that communicate with computing systems using sensors and other wireless technologies over the internet.

The letter warned that the Quectel was “gaining market share in the US” and “with tens of millions of Quectel modules in smart devices across the country”, its status as a contributor to Chinese military was “highly relevant”.

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The company called the claims “false accusations” and said there was “no basis to add Quectel to any US government restricted list”.

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