The Spanish government is declining to comment on growing criticism over a controversial contract it awarded to Chinese tech giant Huawei, after both EU and US officials expressed concerns.
As Pedro Sánchez prepares to depart for the Canary Islands on his annual summer retreat, yet another scandal has emerged that he is unwilling to address: his government’s €12 million contract with China’s Huawei, which involves the storage of sensitive judicial wiretap data.
The deal, revealed earlier this month, has triggered sharp criticism at home and raised alarm in Brussels and Washington over alleged security risks related to Huawei’s ties to Beijing.
Sánchez made no mention of the controversy during his last press conference of the summer on Monday, and his government has refused further comment, despite growing pressure both domestically and from international allies.
In a statement to Euractiv on Friday, a European Commission official called the contract with Huawei a “national decision” but emphasised that Huawei “represents materially higher risks” in critical infrastructure like 5G.
As first reported by the Financial Times, this muted warning came as Brussels urged EU member states to phase out the Chinese vendor in favour of more trusted EU alternatives.
Washington also weighed in, with senior lawmakers on the US Senate and House intelligence committees calling for a review of intelligence sharing with Spain, fearing that secrets could be leaked to the Chinese Communist Party.
The controversy over the contract comes at a sensitive time for Sánchez, who is already under scrutiny in a separate domestic scandal involving alleged influence-peddling. It also highlights Spain’s unusually close ties to China at a moment when the EU is hardening its stance toward a country it has labelled as “a systemic rival”.
Bad optics
A meeting on Sunday between Socialist Catalan leader Salvador Illa and Huawei executives in Beijing – though described as “institutional” and unrelated to the contract – has added to the negative optics.
The Spanish Interior Ministry, which had previously defended the procurement by asserting there were no security risks and that the public tender was independently awarded, declined to respond to a request for comment from Euractiv regarding the Commission’s latest warning. A spokesperson for Sánchez did not respond either.
A spokesperson for Huawei Europe said: “All Huawei products available in the Spanish market fully comply with local laws, regulations, and applicable product admission criteria and standards.”
Regarding the security concerns over storing judiciary wiretap, they added that “all the information stored in hardware belongs to and is at the exclusive disposal of the customer.”
Spain’s China ties under scrutiny
The decision to proceed with Huawei has drawn criticism from Spain’s conservative opposition. Popular Party leader Alberto Núñez Feijóo accused Sánchez of compromising national security and questioned the influence of former Socialist premier José Luis Rodríguez Zapatero – a key figure in Spain’s close relationship with Beijing.
Zapatero, widely regarded as Sánchez’s political mentor, reportedly lobbied for the implementation of the Huawei 5G network in Spain, despite the Commission’s mandate for EU countries to phase out such “high-risk” equipment over espionage concerns. Critics accuse him of being behind Spain’s abstention in Brussels last October, when the EU voted on tariff measures against Chinese-made electric vehicles.
Local media, including investigative outlet Voz Populi, have also highlighted his connections to Beijing through the Gate Center – a think tank known for promoting Chinese interests in Spain – where he serves as president of the advisory council. His multiple trips to China to promote diplomatic and commercial relations have led critics to accuse Zapatero of lobbying for China within the Sánchez government.
Huawei troubles in Brussels
While some governments – such as Spain and Hungary – continue to work with Huawei, others like Sweden or France have accelerated efforts to phase out Chinese equipment from their mobile networks, viewing it as a potential conduit for Chinese state espionage – a claim Huawei denies.
Adding to the controversy, Huawei is under investigation in several EU member states, most recently in Belgium, where authorities launched a wide-ranging probe in 2025 into alleged corruption involving EU officials. According to exclusive reporting by Euractiv and its partners, investigators are examining whether the company’s lobbying efforts may have crossed into bribery. Huawei has not been charged with any offence and denies instructing employees to break the law.
Belgian intelligence services have also assessed potential espionage risks, having interviewed Huawei staff in recent years, according to documents seen by Euractiv.
Since the investigation began, Huawei has been banned from meeting with members of the European Parliament and the Commission.
(aw)
