China is set to embark on its own project to lay down the EMA (Europe-Middle East-Sasia) submarine cable, which will connect Asia and Europe. This follows China’s decision in February 2023 to pull out of the construction of the SEA-Me-We 6 cable, which runs along a similar route, after being pressed to do so by the US government.
The Chinese companies China Telecom, China Mobile Limited, and China Unicom are planning the new project, which will involve connecting Hong Kong with the Chinese province of Hainan, Singapore, Pakistan, Saudi Arabia, Egypt, and France. The project will cost $500 million, and Chinese HMN Technologies will lead it, backed by subsidies from the government. Chinese firms will own over 50% of the project, but others will also take part.
The EMA project is set to compete directly with the US’s SEA-Me-WE 6 (Southeast Asia-Middle East-Western Europe-6) project, which connects Singapore and France through Saudi Arabia, Egypt, and other states. Initially, Chinese firms, including China Mobile, China Telecom, China Unicom, and HMN Tech, were supposed to be involved in the SEA-Me-WE 6 project, but the contract was later awarded to American Subcom, prompting China’s withdrawal from the venture.
According to reports from Reuters, the US pays millions of dollars to telecoms companies all over the world to pressure them to drop out of HMN-run projects in favor of Subcom. This has led to sanctions being imposed on HMNs, which prevent the company from selling communication channels to key US customers.
Chinese operators are now in talks to bring telecommunication companies from Asia, Africa, and the Middle East on board to participate in the EMA project. China’s Foreign Ministry has also accused the US of violating international regulations.
The plan is to have the EMA project up and running by the end of 2025, although such projects typically take at least three years to implement. The EMA project will provide China with an independent connection to vital regions and offer protection to Chinese companies from being excluded from US ventures.