The US Formally Requests For Huawei CFO Extradition From Canada

A Monday report says that the US will make a formal request to extradite Huawei CFO Meng Wanzhou from Canada.

The imminent request was under a discussion between David MacNaughton – Canada’s ambassador in the US, and the Toronto-based Globe and Mail, but when that’ll happen remains unknown. According to Reuters, the deadline for the US to file its request is January 30, which is exactly 60 days after Meng’s arrest.

Meng Wanzhou was released on bail in Vancouver, Canada

China demanded that the US drop its request. Hua Chunying, a spokeswoman of Chinese Foreign Ministry, said that the extradition agreement between Canada and the US violated Chinese citizens' safety and legitimate interests and rights.

Meng Wanzhou is not only the chief financial officer of Huawei but also the daughter of Ren Zhengfei, Huawei’s founder. On December 1, Meng was arrested in Vancouver, Canada, following US request as per accusation of Iran sanctions violation. On February 6, Meng was released on bail also in Vancouver.

Last week, for the first time since 2015, Ren Zhengfei made a public statement to foreign media. Accordingly, he said that Huawei didn’t have a role in Chinese spying as well as to praise US President Donald Trump.

Since Meng was arrested, tensions between China and Canada has got worse with China’s last week warning of repercussions in case of Canadian government’s ban over the sale of Huawei 5G devices.

Following Meng’s arrest, China detained two Canadian men, entrepreneur Michael Spavor and diplomat Michael Kovrig. Also, a Chinese court suddenly reopened a trial, ruling that Canadian Robert Lloyd was sentenced to death for drug smuggling.

Huawei Chairman Liang Hua

At the World Economic Forum held in Switzerland, Huawei Chairman Liang Hua spoke out against US extradition request. According to Liang, the company was following the issue closely but couldn’t contact authorities directly.

During his speech, Liang warned that Huawei may do business in countries where it will be welcomed rather than struggling with regulatory issues in Western countries. Though it’s an odd statement, Huawei is probably raising a threat over the coming 5G era.

Huawei, like various other telecom device suppliers, has spent effort on developing 5G wireless technology. Therefore, it has a role in shaping 5G and owns several 5G-related patents. If Huawei does what it said, some companies won’t be able to use its technology.

In turn, countries that have long partnered with Huawei but are now thinking about banning it following security concerns can suffer from negative effects. The question left is how large is the scale of impact?

Last summer, although many of Huawei’s devices were banned from the US market, the company managed to overtook Apple’s second place in the world’s list of largest phone makers, just behind Samsung. Vice versa, the US government, and its contractors are also restricted from purchasing certain video surveillance and telecommunication equipment from many Chinese companies, including Huawei.

None of the parties involved in this story has responded to requests for comments.