FREQUENTLY ASKED QUESTIONS ABOUT THE FCC RULEMAKING PROCESS

Updated March 22, 2023

Why did Dahua and Hikvision file a joint appeal regarding the FCC decision?

We did not originally file a joint appeal. Dahua and Hikvision filed separate, individual petitions to appeal the FCC decision in two different U.S. Courts of Appeals. It is standard legal procedure in the federal court system to merge cases seeking review of the same agency decision even when they are filed in different circuits. This was not a decision that originated with either Dahua or Hikvision, and does not impact the substance of the arguments that we (or they) are making in this case.

In March 2023, is the FCC taking additional action to restrict Dahua’s ability to market and sell products in the United States?

Not at this time, nor do we believe such action is imminent. The FCC did in mid-March ask for public comment on the question of revoking previously authorized products, but the notice makes clear the FCC is aware of many negatives for the industry and for customers associated with any such action that might be The notice does not propose any specific rule language and recognizes that actual revocation would require additional procedural steps after the adoption of new rules. The FCC’s solicitation of comments does not necessarily mean that it will take action on any of its proposals.

Can any party submit their comments in this NPRM?

Yes, any party can submit comment by April 7th, 2023 through FCC website’s link https://www.fcc.gov/ecfs/filings/standard and select 21-232 as the proceeding number. We encourage our partners, dealers and stakeholders to express their views to the FCC regarding this NPRM. The FCC takes these comments quite seriously and will consider them in any deliberations that may take place.

What rules on equipment authorizations did the FCC adopt through its November 25, 2022 Order?

On November 25, 2022, the FCC published an Order regarding future product authorizations for certain devices from certain companies on the Covered List, including Dahua.

The FCC adopted an “interim freeze” on future product authorizations from certain Covered List companies, until the Commission sets a process by which Dahua and other covered manufacturers can demonstrate that their products are not being marketed or sold for public safety, security of government facilities, physical surveillance of critical infrastructure or other national security purposes.

The Commission also adopted a Further Notice of Proposed Rulemaking. As part of this process, the Commission is seeking additional public comment on potential action relating to existing authorizations.

To be clear, the FCC has not banned Dahua in the United States. All existing products remain authorized at this time.

Did the FCC “ban” Dahua from operating in the US?

No.

The FCC’s Order does not in any way preclude Dahua from continuing to operate in the US.

Indeed, the Order is clear that it does not impact previously authorized products, which includes all our products currently on the market.

Does this Order mean Dahua will no longer be able to secure authorizations in the future?

No

In fact, the FCC Order calls for a process through which Dahua will be able to secure future authorizations once it provides further assurances that these products will not be marketed for public safety, security of government facilities, physical surveillance of critical infrastructure, or other national security purposes.

Given that Dahua’s products are not currently marketed for those purposes and have not been for several years, we are reasonably confident that this Order will allow us to continue to serve most of our US customers for years to come.

What is Dahua's response to the FCC’s November 25, 2022 Order?

 We believe the actions taken in the Order go far beyond the Commission’s statutory authority, and will do little or nothing to protect U.S. national security.

Regardless, the FCC’s Order does not affect products that are already authorized, and marks out a path for Dahua to secure authorizations for additional products in the future, provided they are not marketed for public safety, government facilities, critical infrastructure, or national security purposes.

Given that Dahua’s products are not currently marketed for those purposes and have not been for several years, we are reasonably confident that this Order will allow us to continue to serve most of our US customers for years to come.

How has Dahua engaged with the FCC during the rulemaking process?

Since the start of the rulemaking process in June 2021, our engagement with the Commission has included 21 filings and seven meetings with FCC Commissioners offices and staff. Here are the core arguments we presented to the FCC:

  • The equipment Dahua sells in the U.S. does not and in many cases cannot pose a national security risk.
  • Dahua does not manufacture “Covered Equipment” under the Secure Networks Act.
  • The proposed rule would impose enormous costs on US businesses, customers and the FCC itself that vastly outweigh any speculative benefit.
  • The proposed rules must be based on technical standards relevant to the equipment authorization process.

For a more detailed overview of our position and the arguments we presented to the FCC, please read our full blog post: Our Summary of the FCC Rulemaking Process.

Will Dahua continue to engage with the FCC in regard to the Further Notice of Proposed Rulemaking announced on November 25, 2022?

At this time, Dahua is exploring all possible avenues—including further engagement with the FCC—to ensure that our current and future products are available on the US market.

What will happen to Dahua products already in service in the U.S.?

The November 25, 2022 FCC Order does not affect products that were already authorized under the existing rules. Those authorizations remain valid.

The FCC is seeking additional public comment on potential action regarding existing authorizations. However, all current Dahua products remain authorized.

What are Dahua's plans for honoring warranties and continuing to provide support in the U.S.?

Regardless of how this process plays out, Dahua will continue to honor warranties and provide support for its customers in the U.S.

Is there any liability for an integrator selling Dahua products in the U.S.?

No. Dahua’s products all remain authorized at this time and therefore, there is no liability for an integrator selling Dahua products in the U.S.

Integrators should not sell our products for public safety, security of government facilities, physical surveillance of critical infrastructure, or other national security purposes.

What does this mean for buying Dahua equipment for new installations?

At this time, nothing at all has changed in terms of buying and selling Dahua’s authorized products. Business continues as usual.

What is the chance that this Order will be allowed to stand?

We prefer not to speculate about hypotheticals.

It is not uncommon for FCC rules to be challenged in courts, which could block or further delay implementation.