Huawei CFO bail hearing to resume in Canada as Beijing piles pressure

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Meng Wanzhou, Huawei's global chief financial officer, was arrested in Canada on December 1 and faces extradition to the United States, which alleges that she covered up her company's links to a firm that tried to sell equipment to Iran despite sanctions.

On Friday, Foreign Minister Chrystia Freeland told reporters Canada's relationship with China was important, and the country's ambassador in Beijing has assured the Chinese consular access will be provided to Meng.

China also urged the United States to "take immediate measures to correct wrong practices, and revoke the arrest warrant against the Chinese citizen".

Le warned both countries that Beijing would take steps based on their response.

China's Vice Foreign Minister Le Yucheng has summoned the U.S. Ambassador to China, Terry Branstad, in a protest over the arrest of Huawei Technologies Co.

Ms Meng has been held since Dec 1 in Canada on an American extradition request and faces USA charges related to sanctions-breaking business dealings with Iran.

The Wall Street Journal reported earlier this year that US authorities were investigating whether Huawei violated sanctions on Iran.

In a statement cited by official news agency Xinhua, China's Vice Foreign Minister Le Yucheng said Meng's detention was a "severe violation" of her rights and interests as a Chinese citizen. The move followed the summoning of Canadian Ambassador John McCallum on Saturday over Ms Meng's detention and a similar protest warning of "grave consequences" if she is not released.

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-China relations and worrying global financial markets.

Meng's lawyers told the court high-tech surveillance devices would ensure their client does not flee and proposed a C$15 million ($11.3 million) bail guarantee for her release.

When a Reuters news agency story was published in 2013 describing how Huawei controlled Skycom and that Skycom had attempted to send us -manufactured computer equipment to Iran in violation of the sanctions, several banks involved in the case asked Huawei whether the allegations were true. In a sworn affidavit, she said she is innocent and will contest the allegations against her at trial if she is surrendered to the United States. There's no point in pressuring the Canadian government.

Meng's wealth and power are undeniable as the financial chief of one of the biggest telecommunications companies in the world, which builds everything from networks to handsets and is seen as one of China's best chances to change the global technology landscape. The announcement came amid fears China could detail Canadians in retaliation.

Huawei has denied any ties to the Chinese government, but many in Washington and other Western capitals are skeptical and have raised security concerns. It alleges Huawei used a Hong Kong shell company to evade US trade curbs on Iran. Banks in the USA cleared money for Huawei, but unbeknownst to these financial firms, they were conducting business with Skycom in contravention of the sanctions, the lawyer said.

The world's top two economies have exchanged steep tariffs on more than $300 billion in total two-way trade, locking them in a conflict that has begun to eat into profits.

Her bail hearing is resuming Monday.

Meng's case has struck a nerve with Chinese officials in part because Huawei, founded by her father Ren Zhengfei, is a national champion at the forefront of President Xi Jinping's efforts for China to be self-sufficient in strategic technologies.

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