China's Subsea Cable Drive Defies US Sanctions

Chinese undersea cable manufacturers are experiencing growth despite U.S. trade restrictions, as Beijing pushes for self-sufficiency in critical communications infrastructure, Nikkei is reporting. FiberHome International Technologies, blacklisted by the U.S. in 2020, reports increased business due to China's drive for domestic production. "We don't need foreign technologies," a FiberHome executive told Nikkei. China is challenging U.S. dominance in the global undersea cable network, which spans 1.4 million kilometers and carries over 95% of the world's data. Chinese companies are expected to contribute 45% of new cable installations from 2023 to 2028, according to industry estimates. The Asia-Pacific region leads in subsea cable investment, with China spearheading multiple projects connecting to Southeast Asian nations. This aligns with President Xi Jinping's "Digital Silk Road" initiative, part of the broader Belt and Road strategy. However, geopolitical tensions have led to project delays and increased costs. Some cables are being rerouted to avoid contentious areas like the South China Sea, potentially creating parallel networks divided along geopolitical lines.

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