Huawei, ZTE win Vietnam 5G deals worth over $40m

Huawei and ZTE have secured contracts to supply 5G equipment in Vietnam this year, sources told Reuters, as the country shifts closer to Chinese technology while relations with the US remain tense over tariffs.

Huawei, a China-based telecom equipment provider, joined a consortium that won a US$23 million 5G contract in April, weeks after new US tariffs on Vietnamese goods were announced.

ZTE, also based in China, has landed at least two contracts worth over US$20 million for 5G antennas, with the first deal disclosed in September after the tariffs took effect.

Vietnam had previously avoided Chinese suppliers in sensitive infrastructure, but recent contract wins signal a change in approach as ties with China improve.

Huawei and ZTE remain banned from US telecom networks due to national security concerns.

🔗 Source: Reuters

🧠 Food for thought

Implications, context, and why it matters.

Vietnam hedges on 5G suppliers

ZTE has deals for 5G antennas in the radio access network (cell-site gear that links user devices to the network), and Huawei’s US$23 million consortium role remains unspecified.
Ericsson, Nokia with Qualcomm run the 5G core. This fits the 2018 Cybersecurity Law with the September 2023 Decree No. 53 that enable on-demand local data storage, which Chinese vendors may find hard under China’s intelligence laws 1.
Bamboo diplomacy shapes Vietnam’s balancing act (flexible, bends without breaking). The state keeps comprehensive strategic partnerships with China with the US, while Viettel builds 5G with Sweden’s Ericsson 1 2. Tariff timing suggests a shift to cheaper Chinese RAN gear plus a signal of policy independence.

Security testers eye Vietnam 5G audits

Draft 2025 Cybersecurity Law would put the Ministry of Public Security in charge and classify IT systems into three tiers with level 3 treated as nationally important with tighter protection plus certification with yearly reporting with inspections 3.
Law on Digital Technology Industry took effect on June 14, 2025 and works with the type-approval regime (official certification that products meet technical standards) so many digital or telecom devices need Ministry of Information and Communications certification with in-country testing (testing performed within Vietnam) 4.
Independent security labs plus certification providers can target Vietnamese operators needing third-party validation for mixed Chinese and Western 5G networks to meet domestic rules plus reassure US plus European tech firms with government stakeholders as US$43+ million in Chinese 5G deals drives demand for security audits, penetration testing, compliance checks through 2025 to 2026.