China Demands the Release of Huawei's CFO

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Bolton added that the suspected theft of USA intellectual property by Chinese firms will be a major part of trade talks with China.

Nonetheless, Canada could face political or economic retaliation.

Huawei would not change its cooperation with more than 13,000 companies worldwide, it said.

Meng Wanzhou, the chief financial officer and deputy chairwoman of Huawei Technologies, was arrested at Vancouver's airport while in transit over the weekend and faces extradition to the United States on unspecified charges. Such requests must be made through the U.S. Department of Justice's Office of International Affairs (OIA).

Reports say Ms Meng is facing extradition to the United States on suspicion she violated U.S. sanctions against Iran. It has recently faced controversy in America after some USA officials alleged that its products are being used for spying.

Huawei is one of the world's largest makers of smartphones and telecommunications network equipment. A U.S. National Security Agency cybersecurity adviser, Rob Joyce, last month accused Beijing of violating a 2015 agreement with the U.S.to halt electronic theft of intellectual property.

Over the summer, Australia barred Huawei from providing 5G technology for wireless networks in the country over espionage fears. It said Huawei still is a supplier of other equipment and a "valued innovation partner".

Chinese researchers argued that Meng's arrest was part of Washington's plan to seek more from Beijing in trade negotiations.

China is demanding Canada immediately free a top executive of a giant telecom firm arrested last Saturday on a USA warrant.

The arrest is related to violations of USA sanctions, a person familiar with the matter said, though officials have so far stayed mum on her allegations.

"So not respecting this particular arrest, but Huawei is one company we've been concerned about", he said.

"There's laws ... in China that require all Chinese companies to participate in state espionage if they're ordered to do so."
The Chinese government appealed to Washington to avoid any steps that might damage business confidence. "Of course, Huawei is a global company and wants to expand into foreign countries".

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In addition to Trump's tariffs, the administration is tightening regulations on high-tech exports to China.

Huawei is not the first Chinese telecoms equipment firm to face the ire of U.S. authorities. Her arrest follows reports this year that the Justice Department was investigating whether Huawei had violated American sanctions on Iran.

After Mr Bolton's interview, a White House official said that Mr Trump was not aware of the arrest in advance, distancing the President from the provocative move.

In exchange, ZTE agreed to pay a hefty $1 billion fine and put an additional $400 million in escrow in case of future violations.

James Lewis, director of technology policy at the Centre of Strategic and International Studies, who is also a former Commerce Department official, told U.S. news website Axios: "Huawei is one of the Chinese government's pet companies".

Dean Garfield, president of the U.S. Information Technology Industry Council trade group, said innovation by U.S. companies often depends utterly on product development and testing by Chinese partners, not to mention component suppliers.

Huawei's biggest Chinese rival, ZTE Corp., was almost driven out of business this year when Washington barred it from buying USA technology over exports to North Korea and Iran. It was also reported earlier this year that Huawei continued to sell network equipment to the Islamic Republic despite punitive financial sanctions. They will retaliate and take hostages.

But Huawei is not alone in having to deal with privacy troubles.

"There is ample evidence to suggest that no major Chinese company is independent of the Chinese government and Communist Party - and Huawei, which China's government and military tout as a "national champion" is no exception", Sens.

China's call for Meng's immediate release was front page news in Chinese city and business newspapers, and sparked strong nationalist sentiment on social media. "They may see that Canada has to do this, and the Canadian investment relationship is important".

The company is said to be employee-owned but there has always been speculation about Huawei's links to the Chinese Government.

It's been reported that Ren wasn't that impressed with his daughter, but she rose up in the company through hard work rather than privilege, said Wenran Jiang, a senior fellow at the University of British Columbia's Institute for Asian Research.

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