Huawei Technologies Co Ltd's chief financial officer, Meng Wanzhou, the 46-year-old daughter of the company's founder, was detained in Canada on December 1. The Globe and Mail newspaper cited law enforcement sources as saying she is suspected of trying to evade USA curbs on trade with Iran.
Bolton told NPR that Huawei has represented "enormous concerns for years" for the United States over the theft of American intellectual property and forced technology transfers, two notable issues the administration is seeking to resolve as part of the trade negotiations.
Huawei's smaller rival ZTE Corp pleaded guilty past year to conspiring to evade embargoes by selling U.S. equipment to Iran.
"If the Trump administration were really serious about Iran, that would be the overwhelming priority, and it wouldn't have granted waivers to eight countries allowing them to import Iranian oil", Miller said.
Officials discovered ZTE was selling its products with USA technology to Iran and North Korea.
A person familiar with the matter told Reuters she faces extradition on charges related to US sanctions violations. "I don't see the basis on which this could be quashed by Canada", he said.
"The appropriate authorities took the decisions in this case". He noted there is a publication ban on the case and says can not comment further.
That view is shared by other global security analysts after Canada's Justice Department said the U.S.is seeking Meng's extradition.
Global stocks plunged on Thursday as the arrest escalates an already fraught trade relationship between the two countries. The Dow Jones dropped about 3 percent, or 750 points by late morning trading.
"We have made solemn representations to Canada and the USA, demanding that both parties immediately clarify the reasons for the detention, and immediately release the detainee to protect the person's legal rights", Chinese foreign ministry spokesman Geng Shuang told a regular press briefing in Beijing.
China has expressed extreme displeasure at the detainment of Meng Wanzhou and demanded her immediate release.
The Crown counsel is expected to argue that Meng poses a flight risk and should be kept in a detention facility, legal experts said. "Would not want to be a Canadian business leader in China right now".
Trump's tariff hikes on Chinese imports stemmed from complaints Beijing steals or pressures foreign companies to hand over technology.
Adding to worries about US recession risks, the yield curve remained inverted between two- and five-year zones, with five-year notes yielding 2.763 percent, below 2.778 percent on two-year notes.More news: CFO for Huawei Technologies arrested in Vancouver, sought for extradition
Canada's arrest of a Chinese telecommunications executive in Vancouver at the request of the United States sparked widespread surprise, but in security and diplomatic circles it was pure deja vu. "That was a well-known story and she eventually proved herself and moved herself up in the ranks", he said.
A Huawei spokesman declined to comment on Thursday and said that Wednesday's statement still stands. It said Huawei still is a supplier of other equipment and a "valued innovation partner".
The Wall Street Journal reported this year US authorities are investigating whether Huawei violated sanctions placed on Iran. Huawei has rejected claims that it could use the infrastructure to spy on behalf of the Chinese government, and denies reports that it has violated sanctions regimes.
Huawei is regarded as far stronger commercially than ZTE.
People walk past an advertisement for Huawei at a subway station in Hong Kong, Dec. 5, 2018. Huawei has released a statement saying she is facing extradition to the Eastern District of NY.
Canada on Thursday defended its arrest of an executive of Chinese tech giant Huawei on a USA extradition request as markets wobbled on fears of fresh friction between Washington and Beijing. I knew in advance, but this is something that's, that we get from the Justice Department and these kinds of things happen with some frequency.
"Huawei complies with all applicable laws and regulations where it operates, including applicable export control and sanction laws and regulations of the UN, US, and European Union".
Trump's national security adviser, John Bolton, acknowledged that he knew that Canada was planning to arrest Meng on Saturday just as all eyes were on the summit in Buenos Aires.
Geng, the foreign ministry spokesman, said China objects to unilateral sanctions outside the United Nations.
"China has entertained hopes that they could split us away from the U.S.in the Trump era", he said.
Meng was changing planes in Canada when she was detained.
"If the upcoming U.S.jobs data on Friday shows some weakness, markets will face a major challenge", said Shuji Shirota, head of macro economic strategy at HSBC. "He desperately wants a settlement", said Lam.
"The Chinese will absolutely interpret it as being directly connected", said Dean Cheng, a Heritage Foundation senior research fellow on Chinese political and security affairs.
Wang Heng, a Chinese law professor at the University of New South Wales in Australia, said the United States could use Meng's case to increase pressure on China during trade talks. "The idea that no one here, not even the prime minister, can call up a judge and tell them what to do".