The reason for Wanzhou Meng's arrest was not immediately
07 December, 2018, 08:15
According to Chinese foreign ministry spokesman Geng Shuang, both the USA and Canadian authorities have yet to clarify their reason for arresting Meng. Geng also says Meng's legal rights must be ensured, adding that neither Canadian nor American officials had so far responded to China's concerns.
"The Chinese side firmly opposes and strongly protests over such kind of actions which seriously harmed the human rights of the victim".
Meng is scheduled to appear in court on Friday for a bail hearing. The Globe and Mail newspaper, citing law enforcement sources, said she is suspected of trying to evade US trade curbs on Iran.
Chinese officials are loudly calling for Meng's release and want Canada to reveal the reason for her arrest.
Huawei, the world's biggest supplier of network gear used by phone and internet companies, has always been seen as a front for spying by the Chinese military or security services, whose cyber-spies are widely acknowledged as highly skilled.
"This is really not good for the Chinese-Canadian Trade relationship", Sui Sui, a Canada-China trade expert and professor at Ryerson University's Ted Rogers School of Management, told Yahoo Finance Canada. The tech company said it complies with all laws and rules where it operates. "The company believes the Canadian and USA legal systems will ultimately reach a just conclusion", the statement continued. -China trade war that the two nations agreed to at the recent G20 meeting.
The US State Department has for months classified China as an "increased caution" risk for American travelers, particularly businesspeople.
The Wall Street Journalreported last month that United States officials had briefed counterparts in countries including Germany, Japan and Italy on potential security risks from Huawei equipment. Meng was detained in Vancouver on 1 December and faces extradition to the USA over reported links to sanctions violations.
Meng is Huawei's chief financial officer and the daughter of the company's founder.
The arrest of a senior official in a company Beijing sees as the crown jewel of its tech companies came less than a week after China and the U.S. agreed to a 90-day truce after months of tit-for-tat trade tariffs, fuelling market concerns about whether the U.S. and China could agree on a permanent trade deal before the trade ceasefire ends on March 1. On Thursday, U.S. stock markets tumbled on fears that the 90-day cease-fire won't last, before regaining most of their losses by the close of trading.
British Telecom said this week that it would stop using Huawei equipment in its 5G network, the BBC reported, and us lawmakers have lobbied Canada's prime minister to freeze out the Chinese supplier. Under U.S. President Donald Trump and his predecessor, Barack Obama, Washington has pressured European countries and other allies to limit the use of its technology. -Chinese cease-fire in a tariff war over Beijing's technology policy.
But Mr. Simon said it was possible the Justice Department consulted the White House on timing, given the political concerns or sensitivities.
Aaron David Miller, a vice president at the Wilson Center, said the clash of priorities - squeezing Iran on one hand and reaching a trade agreement with China on the other - was likely accidental.
The New York Times meanwhile said that the company had been subpoenaed by the Commerce and Treasury Departments over alleged violations of Iran and North Korea sanctions.
CNN, quoting an unnamed official, said that the United States saw the arrest as providing leverage in trade talks.
Meng Wanzhou was detained at Vancouver airport on Saturday on an extradition request from the US.
Donald Trump last month reinstated all the U.S. sanctions on Iran that had been removed under a 2015 nuclear deal. Huawei is not listed but China's second-largest telecom equipment maker ZTE Corp sank 9 per cent in Hong Kong while most of the nearby national bourses lost at least 2 per cent.
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Meng who also uses the first names Cathy and Sabrina, was a board member of a Huawei-linked company in Hong Kong, Skycom Tech. BT still planned to use Huawei phone mast antennas and some other products from Huawei, it said.
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