Huawei said it had filed a complaint at a federal court in Texas challenging Section 889 of the National Defence Authorisation Act (NDAA) - signed into law by US President Donald Trump in August - which bars federal agencies and their contractors from procuring its equipment and services.
Credit: ShutterstockHuawei's lawsuit specifically concerns a law passed by Congress a year ago, the National Defense Authorization Act, that singles out Huawei and ZTE. Huawei says the law would shrink its market share. "But the truth is, restricting Huawei's contribution to American and other 5G networks will only harm their networks".
Huawei argues in the suit that it's unconstitutional to single out a person or a group for penalty without a fair trial. The company has spent years trying to put to rest accusations it facilitates Chinese spying or is controlled by the ruling Communist Party.
Increasingly, both sides appear to be resorting to courts to try to press their cases. That could help Huawei in the process, said Calvin Yang, director of the Taiwan Bar Association's intellectual property commission. Huawei's USA headquarters are in Plano, Texas. The charges include conspiracy to steal trade secrets, attempted theft of trade secrets, wire fraud and obstruction of justice.
The dispute over the quality of Canadian canola comes amid rising tensions between Beijing and Ottawa, following Canada's arrest of the chief financial officer of Huawei Technologies Ltd, the world's largest telecommunications equipment maker, who faces U.S. criminal charges.
Meng faces fraud charges in the USA, where an indictment unveiled in January accused her of deceiving banks into approving transactions that may have violated unilateral U.S. sanctions against Iran. Huawei has repeatedly denied the claims. "It has never asked and will not ask Chinese companies to do anything against foreign laws and regulations". And is it really independent from China's authoritarian government?
The company is challenging the US law as an unconstitutional "bill of attainder", or a measure that targets a specific individual for penalties without a trial.
Huawei said that the U.S. has repeatedly failed to present evidence of accusations of state-sponsored espionage and this lawsuit could very well force the USA government to actually produce hard evidence.
Guo complained Washington was "sparing no effort to smear" the company but has released no evidence. The U.S. accounts for 20 percent to 25 percent of the global market for computer and telecom technology.
The fracas between the U.S. government and Chinese anufacturing giant, Huawei, just got interesting as the company has chose to take an unprecedented step.
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Huawei said the USA law it is protesting has Congress improperly play the role of a court.
The latest suspension was completely "reasonable and legal" and aimed at protecting the health and safety of Chinese citizens, Lu said.
Huawei has offered to work with the United States government to address security concerns, but it appears that these offers in the past have been ignored, implicitly for political reasons rather than any basis in fact. "No contrary evidence has been offered", he said.
He cited "harmful organisms" that he did not identify further, and said China's government "needs to protect the health and safety of its own people".
Founded in 1987 by a former military engineer, Huawei overtook Ericsson in 2017 as the biggest global supplier of network gear.
While Huawei had very little share of the United States market before the bill, it is the world's biggest telecoms gear-maker and is seeking to be at the forefront of a global rollout of fifth-generation (5G) mobile networks and services.
Huawei Rotating Chairman Guo Ping, center, speaks in front of other executives during a press conference in Shenzhen, China's Guangdong province, on Thursday.
Meanwhile, as tensions escalate between Australia and Huawei, a spokesperson for the firm said it was not a priority for the company to commence similar legal action against Australia.
On March 1, Meng also launched a lawsuit against the Canadian government, its border agency, and the Royal Canadian Mounted Police over her detention at the airport, alleging violation of her constitutional rights.