China's commerce ministry sticks up for ZTE, Huawei -

China has hit back at the European Union following accusations that its national network vendors are doing the dirty.

The country is sticking up for ZTE and Huawei after the European Union accused the pair of wrong doing.  Last month the EU told its member states that it had been gathering evidence for an anti-dumping case against the duo, claiming that they had received illegal government subsidies and sold products in the EU below cost.

If they are found to have acted illegally then the pair could be forced to shell out for a large fine, as well as repay EU taxes.

China's commerce ministry has dismissed the claims as "groundless". 

Commerce ministry spokesperson Shen Danyang said that both companies had been developing within a completely competitive market.

Danyang added that European companies were doing business in China, and China and Europe as a result were enjoying mutual benefits.

"We don't want this win-win situation to be damaged," the spokesperson said.