Huawei arrest: Justin Trudeau denies political motivation

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On December 5, Canadian authorities confirmed that Meng Wanzhou, chief financial officer and deputy chair of Chinese telecoms giant Huawei as well as a daughter of Huawei's founder, was arrested in Vancouver, British Columbia on December 1 at the request of US law enforcement authorities.

The arrest of Meng, the daughter of Huawei's founder, sparked fears of a new escalation of tensions between the United States and China, which reached a truce in their trade war less than a week ago.

The company also said it was "not aware of any wrongdoing" by Meng.

Huawei is one of the largest tech companies in the world, but it has been under pressure in nations like the U.S., U.K., and Australia for allegedly doing the bidding of the Chinese government. A ministry spokesman, Gao Feng, said China will promptly carry out their agreement and is confident they can reach a trade deal during the 90 days set by Trump to suspend US tariff hikes.

The prime minister declined to comment further on the case, citing a court-ordered publication ban sought by Huawei chief financial officer Meng Wanzhou, arrested at the request of United States authorities as she was changing planes in Vancouver. "The Chinese government should seriously mull over the USA tendency to abuse legal procedures to suppress China's high-tech enterprises".

Huawei, the biggest global supplier of network gear used by phone and internet companies, has been the target of deepening U.S. security concerns.

Sasse's Senate colleague Ted Cruz said Canada "must stand strong and extradite [Meng] to the United States, where she will face something China does not have: a fair, impartial justice system".

The British bank HSBC is cooperating with USA authorities in its investigation, people familiar with the matter said Thursday.

The South China Morning Post also reported that Meng specifically told her company's employees that they could weigh the risks of not complying with laws in some instances.

"Huawei complies with all applicable laws and regulations where it operates, including applicable export control and sanction laws and regulations of the UN, US and European Union", the company said in a statement.

A Chinese foreign ministry spokesman Geng Shuang reiterated Beijing wanted the U.S. and Canada "to clarify the grounds for the detention, to release the detainee and earnestly safeguard the legitimate rights and interests of the person involved", Bloomberg reported.

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The Wall Street Journal reported last month that U.S. officials had briefed counterparts in countries including Germany, Japan and Italy on potential security risks from Huawei equipment.

Huawei said in a statement Wednesday it has not been provided many details about Meng's arrest. Stocks of most major chip manufacturers fell after news of the arrest broke, with chipmaker stocks usually serving as a bellwether for investor confidence in U.S.

New Zealand turned down Huawei equipment from being used in its rollout of 5G network over national security concerns, after Australia imposed a similar ban on both Huawei and fellow communications firm ZTE.

Earlier this year, it barred USA companies from exporting to ZTE, effectively shutting down the firm.

"That's something we should be watching out for".

Trump has "pulled out all the stops" to hamper Chinese ambitions to challenge the United States as a technology leader, Lam said.

Speaking to reporters in Montreal, Mr Trudeau said his government was told about the arrest a few days beforehand, but it did not play a role.

In April, China appealed to Washington to avoid damaging business confidence following a Wall Street Journal report that USA authorities were allegedly investigating whether Huawei violated sanctions on Iran amid spiralling technology tensions. "It's a prominent member of their society and it's a company that really embodies China's quest for global recognition as a technology power".

James McGregor, the greater China chairman of the public relations firm APCO, likens the situation to what it would be like if Chinese law enforcement suddenly arrested a relative of Apple CEO Tim Cook or Microsoft founder Bill Gates.

Both Huawei and ZTE have not only been barred from use by USA government agencies and contractors; they have also been mostly locked out of the American market. In a report released by the U.S. Permanent Select Committee on Intelligence in 2012, Huawei and ZTE Corp. were tagged as potential threats to U.S. security interests.