The arrest of Huawei’s global chief financial officer in Canada, reportedly related to the violation of U. S. sanctions, will affect trade negotiations between Washington and Beijing, according to risk consultancy Eurasia Group.
The arrest of Huawei’s global chief financial officer in Canada, reportedly related to a violation of U. S. sanctions, will corrode trade negotiations between Washington and Beijing, risk consultancy Eurasia Group said Thursday.
“Beijing is likely to react angrily to this latest arrest of a Chinese citizen in a third country for violating U. S. law,” Eurasia analysts wrote.
Canada’s Department of Justice said on Wednesday the country arrested Meng Wanzhou in Vancouver, where she is facing extradition to the U. S. The arrest is related to violations of U. S. sanctions, a person familiar with the matter told Reuters.
U. S. authorities have been probing Huawei, one of the world’s largest makers of telecommunications network equipment, since at least 2016 for allegedly shipping U. S.-origin products to Iran and other countries in violation of U. S. export and sanctions laws, sources told Reuters in April.
The analysts said the Huawei executive’s arrest will not derail the start of trade negotiations after U. S. President Donald Trump and Chinese President Xi Jinping’s meeting last weekend in Argentina saw them agree to first steps to resolve their trade dispute.
