China Demands Release of Telecom Executive Arrested in Canada

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"China has expressed our solemn position to Canada and the USA regarding the case".

Others say Canada needs to stand firm in the face of Chinese pressure.

"That could include tit-for-tat moves against Canadians, a motive that many, myself included, suspect to have been at the bottom of the 2014 arrest and imprisonment of Canadians Julia and Kevin Garratt". "It pulls in: Who is going to be the world leader essentially".

The Chief Financial Officer of Huawei, Meng Wanzhou, has been arrested in Canada under an extradition request from the United States. "The reaction of the US government would be very strong".

"But we've had enormous concerns for years", Bolton said, "about the practice of Chinese firms to use stolen American intellectual property, to engage in forced technology transfers, and to be used as arms of the Chinese government's objectives in terms of information technology in particular".

Nigel Inkster, a senior advisor at The International Institute for Strategic Studies and 30-year veteran with British intelligence service MI6, told Radio National's Breakfast program that "there clearly are risks" with using Huawei equipment, even if those risks are hard to define. It said Huawei still is a supplier of other equipment and a "valued innovation partner".

Canada's Prime Minister Justin Trudeau also said he had prior knowledge of the country's authorities' plans to arrest Meng Wanzhou but hadn't taken part in the decision-making process.

The arrest of Meng Wanzhou, who is suspected of trying to evade USA trade curbs on Iran, could further complicate a trade standoff between Beijing and Washington.

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

The yield inversion is a symptom of a weak economy, said Bryan Whalen, group managing director of TCW in Los Angeles, noting the USA economy has not been able to achieve sustainable economic growth of more than 2 percent in recent years.

Markets had initially brightened this week after USA and Chinese leaders agreed a temporary trade truce at a meeting on Saturday.

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The U.S. sees Huawei and smaller Chinese tech suppliers as possible fronts for spying and as commercial competitors.

Ms Meng's arrest is part of an ongoing investigation by USA prosecutors into whether Huawei violated banking laws as it sought to evade sanctions against Iran by routing a series of transactions through HSBC Holdings, according to a person briefed on the matter.

FILE - U.S. President Donald Trump's National Security Adviser John Bolton waits for the begenning of talks with Russian President Vladimir Putin in the Kremlin in Moscow, Russia, June 27, 2018. Trump restored access after ZTE agreed to pay a $1 billion fine, replace its executive team and embed a US -chosen compliance team in the company.

Houlden said he thinks the more likely to be a target. New Zealand and Australia already have. It was also reported earlier this year that Huawei continued to sell network equipment to the Islamic Republic despite punitive financial sanctions. "And they took this decision without any political involvement or interference".

But Huawei is not alone in having to deal with privacy troubles. They urged him to keep Huawei off Canada's next-generation network.

She has held the positions of director of the worldwide accounting department, CFO of Huawei Hong Kong, and president of the accounting management department, according to the website.

The bail hearing could be just a preliminary session to set out a schedule, lawyers said.

Global Times, the hawkish tabloid backed by the Communist Party's official mouthpiece People's Daily, published an editorial calling Meng's arrest a "despicable" hooligan act by Washington to contain Huawei's rise. "We will deal with the matter from various perspectives".

Scissors said he doubts that China will change its tech policies. Yet its political and economic system - which promotes inefficient state-owned companies at the expense of nimbler private ones - discourages innovation. He declined to talk about the specifics of the case and said he didn't know if Trump knew about before it happened but added that there has been enormous concern about the practice of Chinese firms like Huawei allegedly using stolen USA intellectual property.

The US request for Ms Meng's extradition stems from a Trump administration campaign to increasingly hold Chinese nationals accountable for committing crimes, said a second person familiar with the matter, who asked not to be identified speaking about the sensitive issue.