US says Huawei funded by China spy agency

The CIA has accused Huawei of receiving funding from three branches of China's state security apparatus, according to a report in the Times of London.

Huawei

The CIA has concluded Huawei is funded by China's state security agency, the Times of London says. (AAP)

US intelligence has accused Huawei Technologies of being funded by Chinese state security, according to the Times of London, adding to the list of allegations faced by the Chinese technology company in the West.

The CIA accused Huawei of receiving funding from China's National Security Commission, the People's Liberation Army and a third branch of the Chinese state intelligence network, the British newspaper reported, citing a source.

Earlier this year, US intelligence shared its claims with other members of the Five Eyes intelligence-sharing group, which includes Britain, Australia, Canada and New Zealand, according to the report.

Huawei dismissed the allegations in a statement cited by the newspaper.

"Huawei does not comment on unsubstantiated allegations backed up by zero evidence from anonymous sources," a Huawei representative told The Times.

The company, the CIA and Chinese state security agencies did not respond immediately to requests for comment.

The accusation comes at a time of trade tensions between Washington and Beijing and amid concerns in the United States that Huawei's equipment could be used for espionage.

The company has said the concerns are unfounded.

Authorities in the United States are probing Huawei for alleged sanctions violations.

Meng Wanzhou, Huawei's chief financial officer and daughter of its founder, Ren Zhengfei, was arrested in Canada in December at the request of the United States on charges of bank and wire fraud in violation of US sanctions against Iran.

She denies wrongdoing and her father has previously said the arrest was "politically motivated".

Amid such charges, top educational institutions in the West have recently severed ties with Huawei to avoid losing federal funding.

In Australia, TPG stopped building the rollout of its mobile network in January, because of the federal government's ban on using Huawei and other Chinese 5G equipment.

Another Chinese technology company, ZTE Corp, has also been at the centre of similar controversies in the United States.

US sanctions forced ZTE to stop most business between April and July last year after Commerce Department officials said it broke a pact and was caught illegally shipping U.S.-origin goods to Iran and North Korea.

The sanctions were lifted after ZTE paid $A1.95 billion in penalties.

Reuters reported earlier this week that the United States will push its allies at a meeting in Prague next month to adopt shared security and policy measures that will make it more difficult for Huawei to dominate 5G telecommunications networks.


Share
3 min read

Published

Source: AAP


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world