In September, Huawei founder Ren met British Prime Minister David Cameron and signed a $2 billion investment deal in London. Ethiopia's minister of communication and information technology told Bloomberg News in an interview last week that it will sign a two-year contract with Huawei and ZTE in the coming weeks.

"There is no reason for the Chinese to risk devastation of that trade by pulling a stunt like that," Burns said, referring to the House Intelligence Committee's accusation that Huawei and ZTE insert "backdoors" in the software they make.

Burns also addressed the recommendation in the report that the Committee on Foreign Investments in the US - an interagency panel that reviews transactions based on security concerns - closely scrutinize the Chinese companies' dealings.

"I don't see the attitude of the committee toward Chinese investment in critical infrastructure changing. It is going to pose some barriers to certain Chinese investments," he says.

Yitai Hu, a partner in the Silicon Valley office of Alston & Bird LLP who litigates intellectual property cases, says the committee's move "is not about US protectionism" but does serve as an indicator to other Chinese companies.

"It is vital for Chinese companies to understand that when faced with any governmental or judicial inquiry, they must immediately engage competent US counsel so that they can fully respond to any such inquiry while protecting the companies' rights and interests," Hu says.

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