It is not even remotely a surprise. A day after the Trump administration declared a national emergency in order to protect U.S. telecommunications from foreign antagonists–with a clear eye on China and Chinese companies such as Huawei–the Chinese government has warned that slapping restrictions on Huawei’s purchase of U.S. technology products that it needs for its telecommunications products would endanger U.S.A.-China trade talks.
It looks like China has decided, for its part, to ratchet up tensions. China’s Foreign Ministry has announced the formal arrest of two Canadian citizens who were detained shortly after Canada arrested Huawei Chief Financial Officer Meng Wanzhou in December. Meng faces extradition to the United States on charges that she conspired to defraud global banks about Huawei’s relationship with a company operating in Iran. She and the company deny the charges. On Wednesday, the Commerce Department said it was adding Huawei and 70 affiliates to its “Entity List,” which bars them from buying components and technology from U.S. firms without government approval.
###