China's Huawei launches court challenge to U.S. security law

Huawei Technologies Ltd.'s announcement Thursday comes as the biggest global maker of network equipment for phone and internet companies fights U.S. efforts to persuade allies to exclude the company from next-generation telecom systems.

Huawei has about 40 per cent of the global market for network gear but its U.S. sales evaporated after a congressional panel in 2012 cited the company and a Chinese competitor, ZTE Corp., as security risks and told phone carriers to avoid dealing with them. The ban is "based on numerous false, unproven and untested propositions," said Song Liuping, the company's chief legal officer, in the statement. "Huawei has an excellent security record and program. No contrary evidence has been offered."

Huawei, founded in 1987 by a former military engineer, overtook Ericsson in 2017 as the biggest global supplier of network gear. It says it supplies 45 of the world's top 50 phone companies and has contracts with 30 carriers to test 5G wireless technology. China's government arrested two Canadians, a former diplomat and a businessman, on Dec. 10 in what was widely seen as an attempt to pressure Canada to release the executive, Meng Wanzhou.

Should be banned in Canada

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