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Under fire Huawei agrees to UK security demands
by Staff Writers
London (AFP) Dec 7, 2018

Japan to ban government use of Huawei, ZTE products: reports
Tokyo (AFP) Dec 7, 2018 - Japan is to ban government use of telecoms products made by Chinese tech giants Huawei and ZTE on concerns about cybersecurity, reports said Friday.

The government plans to revise internal procurement rules to exclude products made by Huawei and ZTE as early as Monday, the mass circulation Yomiuri Shimbun reported. Jiji Press agency also reported the expected move.

The ban comes after a US request to allies to avoid products made by the two companies over fears they contain viruses used for cyberattacks, the Yomiuri said, citing unnamed government sources.

Domestic products that use parts made by the two Chinese firms will also be excluded from government use, it said.

The Yomiuri said the government was not expected to name the companies directly, so as to avoid angering China.

Asked about the report, top government spokesman Yoshihide Suga declined to comment, adding Japan was "closely cooperating with the United States" on cybersecurity issues.

China said it was "seriously concerned" about the reports, adding that Huawei and ZTE have been operating legally in Japan for a long time.

"We hope that Japan will provide a level playing field for Chinese companies to operate in Japan," Chinese foreign ministry spokesman Geng Shuang told a regular press briefing.

"Do not do anything that would undermine mutual trust and cooperation."

The reports come after the arrest of a top Huawei executive in Canada infuriated China, sending global markets wobbling on fears of intensifying tensions between Beijing and Washington.

The detention of Meng Wanzhou, Huawei's chief financial officer, comes after US authorities reportedly launched an investigation into suspected Iran sanctions violations by Huawei.

The firm was already under scrutiny by US intelligence officials who have deemed the company a national security threat.

Huawei's affordable smartphones have made strong inroads in the developing world, but the company has faced repeated setbacks in major Western economies over security concerns.

Huawei has been under scrutiny in Washington for more than a decade, and is facing bans for 5G contracts in Australia and New Zealand, both Pacific allies of the US.

Embattled Chinese telecoms giant Huawei has agreed to British intelligence demands over its equipment and software as it seeks to be part of the country's 5G network plans, the FT reported Friday.

Huawei executives met senior officials from Britain's National Cyber Security Centre (NCSC), where they accepted a range of technical requirements to ease security fears, according to the FT's sources.

The NCSC said in a statement that it was "committed to the security of UK networks, and we have a regular dialogue with Huawei about the criteria expected of their products.

"The NCSC has concerns around a range of technical issues and has set out improvements the company must make," it said.

The Chinese telecoms provider has come under scrutiny over the last few weeks, with one of its executives arrested in Canada last Friday on a US extradition request, raising fears of an escalation in the trade war between China and the US.

Beijing called the arrest of chief financial officer Meng Wanzhou a "despicable rogue's approach" and part of a campaign to stymie China's high-tech ambitions.

Over the summer, Australia barred Huawei from providing 5G technology for wireless networks over espionage fears.

New Zealand followed suit in November but said the issue was a technological one.

Britain's largest mobile provider has also joined the global ban.

On Wednesday, BT announced it was removing Huawei's telecommunications equipment from its 4G cellular network, following a warning from the head of the MI6 foreign intelligence service that singled out the Chinese company as a potential security risk.

But Robert Hannigan, former head of the GCHQ intelligence agency that deals with cyber-security, on Friday warned of "hysteria" over Chinese technology.

"My worry is there is sort of a hysteria growing... we need a calmer approach," he told BBC Radio 4's Today programme.

British intelligence agencies have not "reported a backdoor or malicious intervention" by Huawei, and any official criticisms so far are of "incompetence rather than malice," he added.

But he warned that 5G presented a different challenge given that more data is processed locally, making it harder to keep tabs on.

Huawei arrest a 'despicable rogue' action: Chinese media
Beijing (AFP) Dec 7, 2018 - Chinese state-run media on Friday condemned the arrest in Canada of a top executive of telecoms giant Huawei on a US extradition request as a "despicable rogue's approach" to contain Chinese high-tech ambitions.

The arrest of Meng Wanzhou, chief financial officer and daughter of the company's founder, has angered the Chinese government and raised concerns that it could disrupt a trade war truce between the world's two biggest economies.

Canada defended the arrest on Thursday, saying there was no political motivation, and a senior advisor to US President Donald Trump denied it was linked to US-China trade talks.

But Chinese media cast the move as an assault on the development of the country's high-tech industry.

"The Chinese government should seriously mull over the US tendency to abuse legal procedures to suppress China's high-tech enterprises," said the nationalist tabloid Global Times in an editorial.

"Obviously, Washington is resorting to a despicable rogue's approach as it cannot stop Huawei's 5G advance in the market," it said.

The China Daily warned that "containing Huawei's expansion is detrimental to China-US ties".

US authorities have not disclosed the charges she faces following a publication ban sought by Meng, but "one thing that is undoubtedly true and proven is the US is trying to do whatever it can to contain Huawei's expansion in the world simply because the company is the point man for China's competitive technology companies," the daily said.

China has lodged diplomatic protests over the arrest and has repeatedly asked the US and Canada to "clarify" reasons for the arrest.

"In the past seven days, be it Canada or the US, neither have provided any evidence of the involved party breaking the law in either country," Chinese foreign ministry spokesman Geng Shuang told a regular press briefing in Beijing.

Meng's arrest follows a US probe into the company's alleged violations of Iran sanctions. She faces a bail hearing in Canada on Friday.

-'Game of politics'-

Though China's technology sector is still reliant on certain US exports like microchips, Beijing wants to transform the country into a global tech leader -- with a technological prowess rivalling the United States -- in a plan dubbed "Made in China 2025".

Huawei is one of the world's largest telecommunications equipment and services providers. Its products are used by carriers around the world, including in Europe and Africa.

But its US business has been tightly constrained by worries it could undermine American competitors and that its cellphones and networking equipment, used widely in other countries, could provide Beijing with avenues for espionage.

Australia, New Zealand and Britain have followed suit this year by rejecting some of the company's services over security concerns.

Japan too plans to ban government use of telecom products made by Huawei and Chinese tech firm ZTE, reported Japanese media Yomiuri Shimbun on Friday.

Chinese netizens have criticised Meng's arrest on Weibo, China's Twitter-like platform, where online trolls sometimes deliberately incite nationalist fervour or pro-government stances.

Some users viewed the incident as part of the trade war -- and a broader conspiracy to keep down China's technological development.

"One of the most important reasons why the US started the trade war was to attack China's technology sector and its 'Made in China 2025' plan," wrote one Weibo user.

The goal is to keep China stuck in "low-end industries and force China into the middle income trap."

The detention of Meng appears to be a "game of politics", wrote another user.

- 'Totally separate issues' -

Earlier this year, ZTE nearly collapsed after Washington banned US companies from selling crucial hardware and software components to it for seven years, though the ban was lifted after it agreed to pay a $1 billion fine.

Some analysts say Meng's arrest could be used as a bargaining chip, but White House trade advisor Peter Navarro denied it was linked the US-China trade negotiations.

"The two issues are totally separate," Navarro told CNN.

But CNN, quoting an unnamed official, said that the United States saw the arrest as providing leverage in trade talks.

Canadian Prime Minister Justin Trudeau also denied "any political involvement or interference" in Meng's arrest.

"I can assure everyone that we are a country (with) an independent judiciary," Trudeau told a tech conference in Montreal.

Trump's national security advisor, John Bolton, said he knew that Canada was planning to arrest Meng, but he declined to discuss specifics of the case.

But, he added, the United States has had "enormous concerns for years" about the practice of Chinese firms to "use stolen American intellectual property" and being used as "arms of the Chinese government's objectives in terms of information technology in particular."

"So not respecting this particular arrest, but Huawei is one company we've been concerned about," he added.


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CYBER WARS
Canada defends Huawei arrest after markets wobble
Montreal (AFP) Dec 7, 2018
Canada on Thursday defended its arrest of an executive of Chinese tech giant Huawei on a US extradition request after markets wobbled on fears of fresh friction between Washington and Beijing. With China demanding the release of Huawei chief financial officer Meng Wanzhou, Canadian Prime Minister Justin Trudeau said officers who arrested her Saturday as she was changing planes in Vancouver had acted on their own. "I can assure everyone that we are a country (with) an independent judiciary," Trud ... read more

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