Canada Goose shares slide amid Beijing-Ottawa row over Huawei CFO arrest

Ann Santiago
December 13, 2018

Meng Wanzhou, 46, Huawei's chief financial officer and the daughter of its founder, faces US accusations that she misled multinational banks about Iran-linked transactions, putting the banks at risk of violating usa sanctions. Companies are barred from using the US financial system to funnel goods and services to sanctioned entities. If she is extradited to the United States and convicted, she faces up to 30 years in jail.

Public Safety Minister Ralph Goodale said Canada was "sparing no effort" to ensure the safety of Michael Kovrig, who has previously worked at the Canadian Embassy in Beijing.

An ICG spokesman said that the organisation has had a presence in China since 2007 but closed their Beijing office in 2016 due to changes in Chinese laws around NGOs.

A pizza delivery to the Vancouver home of Huawei executive Meng Wanzhou turned into an unexpected lunch on Wednesday for members of the media camped outside.

China may be seeking to take a stand without directly inflaming trade talks with the USA, said John Higginbotham, a fellow at Carleton University's Norman Paterson School of International Affairs.

Forest industry leaders from British Columbia are continuing a trade mission to China without provincial government officials, who are cutting short the trip to Asia as a court case involving a senior executive of Huawei Technologies unfolds in Vancouver. Her next court date will be Feb 6.

A Canadian judge has set a string of conditions on a top Chinese executive facing possible extradition to the United States while releasing her on 10 million Canadian-dollar ($A10.4 million) bail.


Following Meng's arrest, China's Ministry of Foreign Affairs Geng Shuang responded to the news, demanding clarification regarding the reason for her arrest - as well as her immediate release - at a press conference last Thursday. "We've got serious people working on them and I don't think they'll be affected by this", Lighthizer said.

Meng is now facing extradition to the United States.

Roland Paris, a former foreign policy adviser to Canadian Prime Minister Justin Trudeau, called Mr Trump's comments troubling.

She was arrested on 1 December and could be extradited to the U.S. to face fraud charges linked to the alleged violation of sanctions on Iran. According to Bloomberg and CNBC, the bail was met by her husband and four former colleagues who together pledged cash and home equity.

On Sunday, White House officials said Meng's arrest and extradition request was "solely a law enforcement matter, "and would not derail the talks with China".

She must remain in Canada and be accompanied by security guards when she leaves her residence.

Huawei, the world's largest supplier of telecommunications network equipment and second-biggest maker of smartphones, is at the cutting edge of fifth-generation (5G) mobile network technology.

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