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China demands Canada release Huawei executive

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China demands Canada release Huawei executive

BEIJING (AP) — China on Thursday demanded Canada release a Huawei Technologies executive who was arrested in a case that adds to technology tensions with Washington and threatens to complicate trade talks.

Huawei’s chief financial officer, Meng Wanzhou, faces possible extradition to the United States, according to Canadian authorities. The Globe and Mail newspaper, citing law enforcement sources, said she is suspected of trying to evade U.S. trade curbs on Iran.

The timing is awkward following the announcement of a U.S.-Chinese cease-fire in a tariff war over Beijing’s technology policy. Meng was detained in Vancouver on Saturday, the day Presidents Donald Trump and Xi Jinping met in Argentina and announced their deal.

Stock markets tumbled on the news, fearing renewed U.S.-Chinese tensions that threaten global economic growth. Hong Kong’s Hang Seng lost 2.5 percent and the DAX in Germany sank 1.8 percent.

A Chinese government statement said Meng broke no U.S. or Canadian laws and demanded Canada “immediately correct the mistake” and release her.

Beijing asked Washington and Ottawa to explain the reason for Meng’s arrest, said a foreign ministry spokesman, Geng Shuang. He said arresting her without that violated her human rights.

But the Ministry of Commerce signaled Beijing wants to avoid disrupting progress toward settling a dispute with Washington over technology policy that has led them to raise tariffs on billions of dollars of each other’s goods.

China is confident they can reach a trade deal during the 90 days that Trump agreed to suspend U.S. tariff hikes, said a ministry spokesman, Gao Feng.

Huawei Technologies Ltd., the biggest global supplier of network gear used by phone and internet companies, has been the target of deepening U.S. security concerns. Under Trump and his predecessor, Barack Obama, Washington has pressured European countries and other allies to limit use of its technology.

The United States sees Huawei and smaller Chinese tech suppliers as possible fronts for spying and as commercial competitors. The Trump administration says they benefit from improper subsidies and market barriers.

Trump’s tariff hikes on Chinese imports stemmed from complaints Beijing steals or pressures foreign companies to hand over technology. But American officials also worry more broadly that Chinese plans for state-led creation of Chinese champions in robotics, artificial intelligence and other fields might erode U.S. industrial leadership.

“The United States is stepping up containment of China in all respects,” said Zhu Feng, an international relations expert at Nanjing University. He said targeting Huawei, one of its most successful companies, “will trigger anti-U.S. sentiment.”

“The incident could turn out to be a breaking point,” Zhu said.

Last month, New Zealand blocked a mobile phone company from using Huawei equipment, saying it posed a “significant network security risk.” The company was banned in August from working on Australia’s fifth-generation network.

On Wednesday, British phone carrier BT said it was removing Huawei equipment from the core of its mobile phone networks. It said Huawei still is a supplier of other equipment and a “valued innovation partner.”

The Wall Street Journal reported this year U.S. authorities are investigating whether Huawei violated sanctions on Iran. The Chinese government appealed to Washington to avoid any steps that might damage business confidence.

Huawei’s biggest Chinese rival, ZTE Corp., was nearly driven out of business this year when Washington barred it from buying U.S. technology over exports to North Korea and Iran. Trump restored access after ZTE agreed to pay a $1 billion fine, replace its executive team and embed a U.S.-chosen compliance team in the company.

Huawei is regarded as far stronger commercially than ZTE. Based in Shenzhen, near Hong Kong, Huawei has the biggest research and development budget of any Chinese company and a vast portfolio of patents, making it less dependent on American suppliers.

Its growing smartphone brand is among the top three global suppliers behind Samsung Electronics and Apple Inc. by number of handsets sold.

Meng was changing flights in Canada when she was detained “on behalf of the United States of America” to face unspecified charges in New York, according to a Huawei statement.

“The company has been provided very little information regarding the charges and is not aware of any wrongdoing by Ms. Meng,” the statement said.

A U.S. Justice Department spokesman declined to comment.

Huawei said it complies with all laws and rules where it operates, including export controls and sanctions of the United Nations, the United States and European Union.

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.

Geng, the foreign ministry spokesman, said China objects to unilateral sanctions outside the United Nations. China has said it will continue to do business with Iran despite the possible threat of U.S. penalties.

Meng is a prominent member of China’s business world as deputy chairman of Huawei’s board and the daughter of its founder Ren Zhengfei, a former Chinese military engineer.

Despite that, her arrest is unlikely to derail trade talks, said Willy Lam, a politics specialist at the Chinese University of Hong Kong.

“I think too much is at stake for Xi Jinping. He desperately wants a settlement,” said Lam.

Longer term, however, the case will reinforce official Chinese urgency about developing domestic technology suppliers to reduce reliance on the United States, said Lam.

Trump has “pulled out all the stops” to hamper Chinese ambitions to challenge the United States as a technology leader, Lam said. That includes imposing limits on visas for Chinese students to study science and technology.

“If the Chinese need further convincing, this case would show them beyond doubt Trump’s commitment,” said Lam.

David Mulroney, a former Canadian ambassador to China, said U.S. and Canadian business executives could face reprisals in China.

“That’s something we should be watching out for. It’s a possibility. China plays rough,” Mulroney said. “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.”

___

Gillies reported from Toronto. AP researcher Yu Bing in Beijing contributed.

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Culture and Religion

Two weeks after Benghazi attack, Ilhan Omar Tweeted ‘Allahu Akbar’

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Two weeks after Benghazi attack Ilhan Omar Tweeted Allahu Akbar

This is old news, of course, but bears repeating at this time. Representative Ilhan Omar has been doing everything she can over the last couple of weeks to paint herself as the victim of bigotry and someone who loves our country. And while there’s definitely some substance to the notion that crowds of Republicans shouldn’t be chanting “send her back,” it’s also understandable why so many Americans are opposed to her presence on Capitol Hill.

Even if we dismiss reports that she married her brother, called for CBP to be eliminated, said this is “not going to be the country of white people,” referred to 9/11 as “some people did something,” and is regularly praised by former KKK leader David Duke, it’s difficult to dismiss her reaction to the Benghazi attacks that took the lives of four American heroes in 2012.

I’m not going to dignify her Tweet with an opinion. She’s the one who needs to explain it. But despite her celebration, life isn’t good for the four men who lost there’s in Benghazi. Remember this, folks, as Democrats embrace her wholeheartedly.

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Foreign Affairs

Iran has seized a British tanker

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Evidence points to Iran seizing British tanker

Update 2: They may have captured a second British tanker.

Update 1: Iran has confirmed it seized the tanker.

Original Story:

A British oil tanker traveling through the Strait of Hormuz to Saudi Arabia has made some strange maneuvers, causing speculation that it has been seized by Iran.

The tanker, Stena Impero, veered off course according to positioning trackers and is now heading towards the Iranian island of Qeshm which has a substantial Islamic Revolutionary Guard Corps (IRGC) base. British authorities are seeking answers.

The Islamic republic has threatened retaliation for the British seizure of an Iranian tanker heading towards Syria, which would break an EU sanction. Five Iranian attack vessels confronted a British tanker last week but quickly retreated when the Royal Navy frigate HMS Montrose closed in.

Iran has long claimed sovereignty over the international waters of the Strait of Hormuz. They attempted to stage bombings of two oil tankers last month and four in May in hopes of being able to act as defenders of the Strait, but U.S. video of the second round of bombings caught an Iranian ship removing an unexploded mine from the haul. With that potential bargaining chip off the table, it appears they’re trying to work their way to the negotiating table by force.

A collapsing economy is forcing Iran to make aggressive moves. This is standard operating procedure for the desperate. An international military response may be in order to abate further acts of terrorism by Iran.

This story is developing and will be updated.

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Foreign Affairs

Is war with Iran inevitable?

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Is war with Iran inevitable

Aggressive actions have become commonplace between Iran and the United States over the last two months. The U.S. sent the powerful Abraham Lincoln Carrier Strike Group and a bomber squadron to the region following the defection and intelligence cache delivery by former Iranian Brigadier General Ali Nasiri. Since then, Iran has been bombing tankers, shooting down American drones, and attempting to seize a British Tanker.

Today, the escalation continued as Iran admitted to capturing at least one foreign oil tanker. Then, the United States sent the USS Boxer, loaded with 2000 Marines, into the Persian Gulf where it shot down an Iranian drone that came within 1000 yards of the ship.

Is war inevitable?

No. There is still a very good chance President Trump will not risk reelection by engaging in another unpopular Middle East war. There are those who think Iran will push it too far, and that may be the case, but their goal would be to provoke attack, not war. It behooves them to get hit by the United States so they can play the victim card in the international arena. This is why they’ll poke, prod, annoy, and continue to be aggressive without going so far as to make war warranted.

An attack by the west is the best thing Iran can hope to happen at this point. Their economy is crumbling. Their terror and military proxies are hurting because of the dried up funds no longer coming in from Tehran. They can’t seem to sneak an oil tanker around Africa to Syria, one of the few places willing to disregard U.S. sanctions against Iran. So they’re left with either giving up their nuclear weapons ambitions altogether or provoking a war without being clearly seen as the aggressors.

Even though I do not believe war is inevitable, I don’t see a way to completely avoid military action. Iran won’t stop until they’ve forced an attack against them.

The Middle East has always been a volatile place. With Iran doing everything they can to appear like the victims to the international community while still seeming strong internally, strikes may be inevitable but war is not.

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