The Federal Communications Commission has proposed a rule to ban laboratories in China and Hong Kong from certifying electronic devices for the US market. The commission voted unanimously to advance this proposal, which aims to close what it considers a significant loophole in the current certification process.
The FCC argues that allowing unreliable laboratories to certify equipment for the United States creates a clear security risk. The proposed ban targets all testing facilities located in China and Hong Kong, regardless of their specific corporate affiliations. This move affects a substantial portion of the hardware supply chain, as approximately 75% of US electronic devices currently undergo testing in China.
The economic impact of this regulatory shift is significant due to the disparity in testing costs. Facilities in China charge between $400 and $1,300 for certification services. In contrast, laboratories within the United States charge between $3,000 and $4,000 for the same work. This cost difference highlights the financial burden manufacturers would face if they are forced to switch to domestic testing options.
The Chinese Ministry of Commerce has condemned the US discriminatory restrictions and warned it would take necessary measures if the proposal is implemented. The FCC will now enter a public comment period lasting between 60 and 90 days before finalizing the rule. Industry stakeholders can submit their feedback during this window to influence the final policy outcome.
The FCC has not yet confirmed the final launch window or the specific timeline for the rule's enforcement. The agency is currently awaiting public input to determine the next steps in the regulatory process.
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