BEIJING/OTTAWA - China's government and its leading smartphone maker, Huawei Technologies Ltd, stepped up pressure on Monday on the U.S. and Canadian governments in a dispute over trade and telecoms technology that has ensnared Huawei's CFO, who faces U.S. criminal charges.
It was the latest escalation of an unprecedented crisis for Huawei, the world's largest telecommunications equipment maker and No. 2 manufacturer of smartphones, as Washington calls on governments around the world to stop using its gear, particularly in the next generation of telecommunication networks, known as 5G.
“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, which 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 allegations. 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 were not talking about dropping charges against Huawei.
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