Canada has rolled out the welcome mat to Huawei, even in hockey

07 December, 2018, 09:48 | Author: Mary Valdez
  • Asian markets tumble, China tech hit after Huawei arrest

Canadian Prime Minister Justin Trudeau has defended the decision by Canadian authorities to execute a U.S. extradition request and detain a Huawei executive.

The ministry said the USA is seeking her extradition and she faces a bail hearing on Friday, adding it could not provide further details due to a publication ban that was sought by Meng, whose father, Huawei founder Ren Zhengfei, is a former Chinese People's Liberation Army engineer.

"I can assure everyone that we are a country of an independent judiciary and the appropriate authorities took the decisions in this case without any political involvement or interference", Trudeau said.

A month later, Washington and Beijing reached a deal that would strike ZTE from the sanctions list - just days after China reportedly offered to ramp up purchases of American goods to reduce the trade imbalance with the US.

The comments come after China's embassy in Ottawa said Wednesday night that Meng hasn't violated any Canadian or American laws and called the arrest a serious violation of human rights.

The Chief Financial Officer of Huawei Technologies has been arrested in Canada.

Huawei said it was unaware of any wrongdoing by Meng and was provided "very little information" about the charges.

Without providing any further detail, Bolton said that Huawei is a company that U.S. officials have been concerned about for a number of reasons. "Now we know that Huawei, like ZTE, has violated USA sanctions law".

Meng was detained provisionally by Canadian authorities on behalf of the U.S. on Wednesday while she was transferring flights in Vancouver, and is facing as yet unspecified charges in the Eastern District of NY. ZTE, China's second-largest telecoms equipment maker, agreed to pay $1.4 billion in total fines to the USA after Washington slapped a ban in April on purchases of essential American components for seven years to punish the company for Iran sanctions violations.

Huawei recently surpassed Apple to become the world's second-biggest smartphone-maker behind only Samsung. China has said it will continue to do business with Iran despite the possible threat of USA penalties.

Top British and New Zealand telecom providers have banned Huawei from their 5G networks, as did the Australian government. President Trump has agreed to postpone planned tariff hikes on Chinese goods, while China has pledged to purchase a "very substantial" amount of American produce and curb the export of deadly opioid Fentanyl to the United States in exchange.

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US national security adviser John Bolton says in an interview with NPR that he knew in advance of the pending arrest in Canada of an executive for a Chinese tech company.

Chinese officials are loudly calling for Meng's release and want Canada to reveal the reason for her arrest.

"Huawei is one of the Chinese government's pet companies", James Lewis, director of technology policy at the Center for Strategic and International Studies and a former Commerce Department official told Axios.

"The detainment of Huawei's CFO doesn't improve or worsen in any sense the security posture of Huawei with regards to Canada", Parsons said.

These are steps that USA authorities typically follow in seeking arrests and extraditions of individuals in foreign countries.

"Huawei is one company we've been concerned about", Mr Bolton told NPR. Both countries have been locked into a trade war for much of the year, and only agreed last weekend to restart discussions.

But suspicions persist. Concern now centres on the deployment of fifth-generation (5G) mobile networks, where Huawei is at the cutting edge.

Mulroney said Canada should be prepared for "sustained fury" from the Chinese and said it will be portrayed in China as Canada kowtowing to Trump.

The detention of Meng, who takes her family name from her mother and has also used the English first names "Cathy" and "Sabrina", has once again thrown the spotlight on Huawei at a time of heightened global concerns over electronic security.

The Globe and Mail newspaper, citing law enforcement sources, said Meng Wanzhou is accused of trying to evade United States trade curbs on Iran.

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