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US lawmakers have accused ABB of failing to address “alarming” vulnerabilities in Chinese-made cranes using its technology, saying the Swiss conglomerate’s relationship with Chinese state-owned enterprises is a national security concern. He said it could put the company at risk.
ABB received a letter from the U.S. House of Representatives Committee on Homeland Security and China on Friday complaining that it has not “adequately answered” questions about “cybersecurity risks, foreign intelligence threats, and supply chain vulnerabilities at U.S. ports.” It was revealed that he had received the. America”.
In one instance, the letter said ABB’s response to the committee’s request for information in July was “alarming,” and said the company had been accused of the Chinese Communist Party’s “authoritarian state intelligence, cyber This suggests that the incident may have been in compliance with the National Security and National Security Act.
The letter to ABB Chief Executive Björn Rosengren, a copy of which was obtained by the Financial Times, highlights increased US Congressional oversight of international companies with operations or interests in China.
The letter expresses particular concern about ABB’s collaboration with state-owned Shanghai Zhenhua Heavy Industries (ZPMC), which it says installs the Swiss group’s software systems on landing cranes it sells to the United States. Ta.
The committee said it had made “good faith efforts to work with ABB to remediate the alarming security vulnerabilities created by the introduction of ABB equipment and technology by Chinese ZPMC engineers.”
In the letter, first reported by Swedish broadcaster Sveriges Radio, the commission’s chair, Mark Green, said the installation of the equipment by ZPMC was “unacceptable and must be corrected without further delay.” Mike Gallagher said in the letter.
ABB said it has been working with the commission since July to “deliberately respond to requests” in a timely manner and is “acting in line with all relevant US regulations.”
“ABB’s crane software technology is supplier agnostic and is installed on cranes manufactured by leading crane manufacturing companies, including Chinese companies,” the company said. “These cranes are being purchased from China and other companies in U.S. ports, not from ABB.”
ZPMC offices in China and Europe did not respond to requests for comment.
The United States is ABB’s largest single market, followed by China. The group’s shares fell 3% on Friday morning.
The commission’s letter asked Michael Gray, ABB Country Holding Officer in the US, to “take a closer look at how ABB protects its software and hardware in the US, given the breakdown in good faith negotiations. To better understand, we are asking you to testify at a future hearing on “Ship-to-Land Cranes.”
The letter added that it was important for ABB to explain its relationship with Chinese state-owned enterprises and “whether ABB can continue to work on behalf of U.S. government agencies.”
Last week, the FT reported that the House of Representatives China Committee had asked the chief executives of US chip makers to testify before Congress as part of increased scrutiny of companies with interests in China.
The committee sent letters to Intel, Nvidia and Micron, subpoenaing their chief executives to testify, according to people familiar with the situation. The committee had not previously held a hearing with any industry CEO since it was created to strengthen Congress’ focus on potential threats from China.
Additional reporting by Patricia Nilsson in Frankfurt