China accuses Canadian, Huawei to sue as spat escalates

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NEW YORK: China's government and its leading smartphone maker Huawei Technologies Ltd on Monday stepped up pressure on U.S. and Canadian ...

NEW YORK: China's government and its leading smartphone maker Huawei Technologies Ltd on Monday stepped up pressure on U.S. and Canadian governments in a dispute over market access that has ensnared Huawei's CFO, who faces U.S. criminal charges.

“We are obviously very concerned with this position that China has taken," Canadian Prime Minister Justin Trudeau said about the accusations on Monday."We’ve been engaging and standing up for the two Canadians who have been arbitrarily detained by China from the very beginning." Huawei will challenge an addition to the U.S. National Defense Authorization Act signed last year, that controlled U.S. government contracts with Chinese companies and strengthened the role of the panel that reviews foreign investment proposals. Beijing has condemned the NDAA act as targeting China.

U.S. officials have alleged Chinese telecom manufacturers are producing equipment that allows their government to spy on users abroad, including Western researchers working on leading-edge technologies. Beijing and the Chinese companies have repeatedly denied such claims. Trump said in February he may or may not include Huawei and ZTE in the trade deal being negotiated with China. Trump told reporters at the White House that U.S. officials are not talking about dropping charges against Huawei.Huawei CFO Meng, who is out on bail, is due to appear in a Vancouver court on Wednesday, when a date will be set for her extradition hearing. Ottawa rejects Chinese calls to release Meng, saying it cannot interfere with the judiciary.

 

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