It's absolutely the case that they have been doing this for at least 3-4 years already. I am personally aware of at least one case in Australia where the relevant authorities approached a major telco who were in discussion with Huawei for purchasing of next-generation wireless gear and told them in no uncertain terms - that if they did buy Huawei they may face issues having their license renewed.

Of course, for real security they should treat every device as compromised on arrival (ie. treat Cisco as just as bad as Huawei) and mandate heterogeneous multi-vendor infrastructure with aggressive anomaly detection, zero architectural SPOFs, and other defense in depth mitigations / failsafes.