Huawei founder's daughter arrested for violating US sanctions on Iran

Huawei founder's daughter arrested for violating US sanctions on Iran

An editorial in the pro-government Global Times accused the US of "maliciously finding fault" with Huawei.

The CFO, Wanzhou Meng, was arrested for allegedly breaching Iran sanctions.

When news broke on Thursday (Dec 6) that a top Huawei executive has been arrested in Canada, Ms Meng Wanzhou became one of the most talked-about persons in online chatter and social media chat groups.

The arrest will not help the 90-day tariff truce the nations agreed after President Donald Trump and his Chinese counterpart Xi Jinping met at the G20. The Wall Street Journal reported in April that the US Justice Department was investigating whether Huawei violated US sanctions on Iran.

"The Chinese side has lodged stern representations with the United States and Canadian side, and urged them to immediately correct the wrongdoing and restore the personal freedom of Ms Meng Wanzhou".

The dispute over Meng's arrest comes just days after the US and China agreed to a temporary truce on their escalating trade conflict.

Meng is the deputy chairman of the company's board and the daughter of its founder, Ren Zhengfei, a former Chinese military engineer.

"Americans are grateful that our Canadian partners have arrested the Chief Financial Officer of a giant Chinese telecom company for breaking United States sanctions against Iran", he said.

It's hard to overstate the size and importance of Huawei both within and outside of China, and how shocking this arrest is. The ban was sought by Meng, who has a bail hearing Friday, he said.

What has Canada said about the arrest?

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Abe was the first foreign leader to meet Trump, flying to NY to see the new American president after his win at the 2016 election. The three-month period halted the addition of new tariffs by both countries and was aimed at resolving the ongoing trade dispute.

The South China Morning Post said that Ms Meng has spoken to Huawei staff in a recent internal briefing on regulatory compliance.

That was until her shock arrest in Canada at the request of US authorities on Wednesday, a move that has entangled her in the protracted diplomatic tensions between Washington and Beijing.

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

The Chinese Embassy in Canada condemned the detention of Ms Meng denying she had violated Chinese or USA laws. President Trump has agreed to postpone planned tariff hikes on Chinese goods, while China has pledged to purchase a "very substantial" amount of American produce and curb the export of deadly opioid Fentanyl to the U.S. in exchange.

Lenovo has also come under attack in the United States for allegedly selling compromised computers that expose users to spying. Huawei is one of the world's largest makers of smartphones and telecommunications network equipment.

"We'll see more cases like this over the next three months, sanctioning China's state-owned enterprises and individuals, to boost momentum on the USA side", Liu said.

The comments come after China's embassy in Ottawa issued a statement Wednesday calling Meng's arrest a serious violation of human rights.

In a response, ZTE denied the charges while Huawei insisted it "posed no greater cybersecurity risk than any ICT [Information and Communications Technology] vendor". Three months later, the company eventually reached a deal with USA authorities by paying $1.4 billion in fines, as well as agreeing to overhaul its senior management. "The US has identified that China has found a backdoor to enter the US market through venture capitalists and private investors but those are also now shutting down gradually".

Last month, New Zealand blocked a mobile phone company from using Huawei equipment, saying it posed a "significant network security risk".

Meng's arrest also threatened to inflame disagreements over Iran and Trump's decision to break with other governments and re-impose sanctions over the country's nuclear development.

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