Md Mojahidul Islam:
Two Chinese tech giants—Huawei International and ZTE Corporation—are facing mounting scrutiny for allegedly engaging in an aggressive scramble to dominate Bangladesh’s government telecom procurement.
Reports suggest that both companies have resorted to “unfair processes” in their quest to secure public sector contracts. Since a major political reshuffle on August 5 last year, the two firms have collectively secured government orders worth approximately BDT 1.85 billion—mostly from two state-owned entities. Insiders claim that foreign trips, often lavish and fully funded by these companies, have become instrumental tools in securing these deals.
Experts point out that this power play is deeply rooted in a broader geopolitical shift. With growing restrictions in Western markets, Chinese tech firms are increasingly turning their focus toward emerging economies like Bangladesh.
The country’s growing reliance on foreign vendors is also due, in part, to its own underdeveloped local tech industry. Telecom veteran Sumon Ahmed Sabir explained to The New Nation that Huawei and ZTE, banned in markets like Europe, India, the US, Japan, and Australia, have instead focused on Bangladesh and Africa. According to him, China now controls nearly 80% of Bangladesh’s telecom hardware and services market.
Between December last year and March this year, ZTE locked in four major contracts worth BDT 697 million from Teletalk and BTCL. Among these, the BDT 248 million 5G-readiness project awarded by BTCL on December 4 stands out as particularly controversial. Alongside these wins, ZTE also sponsored several foreign trips for government officials. From December 30 to January 3, four officials—including then Deputy MD of BTCL Ziaul Karim and a telecom division deputy secretary—were flown to Singapore and China, with expenses covered by ZTE. Another trip, from December 20 to 28, took top-tier officials including the former Secretary of Posts & Telecommunications, a private secretary, BTCL’s MD, and the project director to Austria. In March, three Teletalk officials jetted off to Barcelona for the Mobile World Congress—also on ZTE’s tab.
ZTE’s pattern of influence has deep roots. During the previous Awami League administration, ZTE allegedly partnered with politically connected contractor Delowar Hossain Faruk of Radisson Digital Technologies Ltd. This relationship reportedly helped ZTE win joint-venture projects, including BTCL’s MTTN project. Additionally, there are allegations that ZTE harassed BTCL’s former MD Asaduzzaman after the company lost a 5G-related deal.
Huawei, while technically a private Chinese firm, has been no less aggressive. Between August and April, the company bagged six contracts worth BDT 1.15 billion from Teletalk alone—three of which were awarded on December 24. Like ZTE, Huawei also funded international travel for government officials. These included a Spain trip for the personal secretary to the former Secretary of Posts & Telecommunications and a China visit for a BTRC director and the 5G project director. Huawei is known to regularly bankroll foreign travel for officials from regulatory bodies like BTRC.
The rivalry between Huawei and ZTE reached a boiling point over BTCL’s 5G-readiness Project (Package GD-01), which involved procurement of 126 TB worth of equipment. Both companies aggressively competed for the contract, but in November 2023, Huawei emerged victorious, securing a deal worth $26.55 million and BDT 311 million. Sources claim this outcome was heavily influenced by former Secretary Abu Hena Morshed Zaman, who also chaired BTCL’s board. Allegedly, Zaman clashed with telecom ministers Mustafa Jabbar and Zunaid Ahmed Palak but maintained his grip over the project.
A senior official in the telecom ministry revealed to The New Nation that serious policy issues had surfaced during the project’s planning phase. ADP meetings repeatedly raised the need for retendering, and even the CPTU received complaints. Nonetheless, Secretary Zaman allegedly pushed the deal forward on his own authority. The project hit a brief snag when State Minister Palak delayed LC (Letter of Credit) approval in January 2024, requesting BTCL’s MD and project director to justify the procurement. He instructed that the funds be reviewed before any disbursement.
However, Secretary Zaman reportedly issued meeting minutes that excluded Palak’s stipulations. The New Nation obtained two conflicting versions of the same meeting record—one signed by Palak, the other by Zaman. In the end, Huawei managed to secure the LC under the Awami League government, reportedly by “managing” the internal bottlenecks.
The drama didn’t end there. The next roadblock was the Factory Premises Acceptance Test (FPAT), required before equipment could be shipped. But with Anti Corruption Commission (ACC) of Bangladesh investigations underway and a travel embargo in place, no officials could visit Huawei’s Chinese facility. Huawei wrote to BTCL in both September and April, requesting arrangements for the FPAT trip—yet nothing materialized.
Enter Faiz Ahmad Taiyeb, a newly appointed special assistant to chief adviser with the rank of state minister. From May 6 to 10, Faiz and his personal secretary traveled to China, sponsored by the Chinese Enterprise Association Members in Bangladesh—a group that includes Huawei. Less than three weeks later, on May 25, the telecom division instructed BTCL to proceed with importing the equipment, bypassing the FPAT entirely. This directive, signed by Deputy Secretary Maureen Karim, stated that the order came based on instructions from the special assistant. It also demanded Huawei refund BDT 4.29 million that had been budgeted for the canceled FPAT trip. Industry experts have since flagged this as a glaring “conflict of interest.”
Currently, Huawei is pushing for immediate customs clearance of the imported hardware. Attempts to reach Faiz Ahmad Taiyeb for comment went nowhere—he ignored phone calls, blocked the journalist’s number, and remained unresponsive on WhatsApp.
Huawei, however, Tanvir Ahmed Mithun Head of Media, South Asia Region did respond, said via email that the company is globally respected for its technology, services, and competitive pricing, and that it follows a fair process in all public tenders. Regarding the FPAT issue, he claimed Huawei never submitted any reimbursement claims for the inspection trip, so there was no need for a refund. On the topic of funded foreign trips, he stated that Huawei complies with all relevant internal and local policies. As forFaiz Ahmad Taiyeb’s China visit, Huawei maintained that any questions raised were not aligned with the official clarification the special assistant had already given to the ACC.