British lawmakers said on Thursday (October 8) they had clear evidence that Huawei had colluded with China, and that Britain may need to remove equipment earlier than planned.
The defence committee accused the telecoms giant of collusion with, quote, "the Chinese Communist Party apparatus", but did not provide details.
Tobias Ellwood, chairman of the committee, said: ""The West must urgently unite to advance a counterweight to China’s tech dominance."
"We must not surrender our national security for the sake of short-term technological development."
Huawei said the report lacked credibility and was built on opinion rather than fact.
The inquiry could hasten the removal of Huawei equipment in Britain.
Prime Minister Boris Johnson ordered a purging of its 5G networks by the end of 2027.
British ministers say the Chinese firm's rise to global dominance has caught the West off guard.
Washington and its allies say Huawei technology could be used to spy for China, the United States' main geopolitical rival.
Huawei repeatedly denies the claims, and says the United States is simply jealous of its success.