The climate has been tense between China and North America. Since the Canadian government arrested the CFO (chief financial officer) and heiress of Huawei, Meng Wanzhou.
To further increase tension, China has arrested 13 Canadian citizens who were about to enter the country, according to the website AndroidHeadlines.
Canada stated that “at least” 8 of these 13 citizens have already been released. Perhaps in an attempt to calm things down, the Canadian government made no connection between these arrests and Meng Wanzhou’s.
Huawei’s CFO is on parole and can not leave Canada
All of this began on December 1 when Meng was detained at Vancouver Airport. Initially, it was thought to have been on US orders, Donald Trump. In fact, the detention was due to Huawei to deviate from business sanctions against Iran and North Korea.
In the first place, the ZTE company was guilty of the same actions and its presence in the United States was practically extinguished. Such an event would not be good for the public image of Huawei, although they have almost no presence in the US market.
Eventually, Meng Wanzhou was released on probation with a $ 7.4 million bail. The tycoon also has to wear an ankle monitor and observe a curfew from 23 in the evening to 6 in the morning. All this in one of their homes in Vancouver.
A complicated situation for Canada and Huawei
Canada has an extradition agreement with the United States. Upon request, Canada may send Meng to answer the charges in the United States. However, Canada is one of the only North American countries to have a Huawei market. Whether it’s infrastructure, networking, or even selling smartphones.
Therefore, any of the choices will not be positive for Canada. They run the risk of alienating the US in the sense that they are “protecting” Meng. If they extraditem they are in bad conditions with Huawei, a company with business present in their country.
Subsequently, the United States issued cautionary instructions to any Americans traveling to China. They have emphasized the practice of keeping suspected offenders inside China for years or baseless accusations. The Chinese foreign minister replied that China accepts all foreigners and expects them to abide by the laws.
The Huawei, China and United States situation
It is public knowledge that the United States does not want Huawei to operate in its market. Due to the company’s links with the Chinese government, there are suspicions that Huawei products could be used to spy on US citizens. Something that the US government already does through the NSA (National Security Agency). It should be noted that Huawei manufactures its own processors, the Kirin. Samsung also does them but in the United States, they are “forced” to use Qualcomm’s Snapdragon.
From a business point of view, Huawei says that this is all due to the fact that Samsung and Apple fear the competition. Both companies keep the United States under their wings because of the number of carrier contracts. Huawei is now the second largest smartphone manufacturer in the world. In short, there is an increasing need to address these issues and allow all countries to freely enjoy the equipment sold by each brand.