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Huawei reportedly under investigation by USA for stealing trade secrets

Huawei reportedly under investigation by USA for stealing trade secrets”

The Wall Street Journal, citing anonymous sources, said the Department of Justice is looking into allegations of theft of trade secrets from Huawei's USA business partners, including a T-Mobile robotic device used to test smartphones.

The legislation is the latest in a long list of actions taken to fight what some in the administration of US President Donald Trump have called China's cheating through intellectual property theft, illegal corporate subsidies and rules hampering US corporations that want to sell their goods in China.

The Journal wrote that sources familiar with the inquiry say it is at an advanced stage and nearing a possible indictment; neither the Justice Department or Huawei agreed to comment on the record to the paper. At issue was a robotics technology that T-Mobile used to test for quality control issues in smartphones.

Last year's effort to penalize foreign companies such as ZTE and Huawei was cast to the side after ZTE spent scores of money lobbying USA official against the measure.

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China subsequently detained two Canadians, raising diplomatic tensions between China and Canada, and drawing in Western allies such as the U.S. and Australia.

The Handelsblatt daily reported earlier that the German government was actively considering stricter security requirements and other ways to exclude Huawei from the buildout of 5G mobile networks.

The proposed legislation and the investigation are two of several challenges that Huawei, the world's biggest telecommunications equipment maker, faces in the United States market.

Separate allegations that Huawei could be spying on the behalf of Chinese intelligence agencies have resulted in the USA prohibiting the use of its technology for government work, as well as barring it from installing telecom equipment in major markets.

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According to T-Mobile's lawsuit, Huawei employees photographed the robot and attempted to remove one of its parts. The U.S. alleges that Huawei's chief financial officer, Meng Wanzhou, conspired to defraud banks to unwittingly clear transactions linked to Iran.

Meanwhile, American lawmakers and national security experts are concerned about ties between the companies and the Chinese government. Both have also been accused of failing to respect US sanctions on Iran.

The US campaign against Huawei continues unabated, with news breaking on Wednesday that federal prosecutors in Washington are pursuing a criminal case against the Chinese telecom giant.

They told the newspaper the investigation was prompted in part by lawsuits against Huawei. She is awaiting extradition hearings to the US while living under restrictions in her million-dollar Vancouver home.

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In May 2017, a jury said Huawei should pay T-Mobile $4.8 million in damages.



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