Huawei logo Canada to shun Huawei for government project over security risks

Canada is likely to shun Chinese telecommunications equipment firm Huawei from the government communications network over security fears, echoing similar concerns in the United States and European Union.

Canada is likely to shun Chinese telecommunications equipment firm Huawei from the government communications network over security fears, echoing similar concerns in the United States and European Union.

 
Andrew MacDougall, spokesperson for Canada's Prime Minister, said that it would be “choosing carefully” when it came to contructing the network, adding that “national security” is being considered. He strongly hinted that Huawei would therefore not be part of it.
 
The move comes only days after the US House of Representatives Intelligence Committee issued a report asking American businesses to end partnerships with Huawei and ZTE over the alleged security risk they pose, which they claim involves industrial espionage and potential cyber threats to vital infrastructure.
 
Huawei logo Canada to shun Huawei for government project over security risks
 
The European Union is also unhappy with the two telecommunication equipment giants, with Trade Commissioner Karel De Gucht preparing evidence for an anti-dumping and anti-subsidy case. If that were not bad enough for Huawei, Australia banned it from taking part in a $38 billion national broadband network.
 
Despite the government's strong stance, Huawei believes Canada cannot exclude it from the deal. Its Canadian spokesperson Scott Bradley said that the national security exception that the government is employing to discriminate against it only applies to foreign companies, whereas Huawei is “fully incorporated in Canada, and operates as a subsidiary Canadian company.”
 
However, Canada's spy agency, the Canadian Security and Intelligence Service, said that foreign state-owned companies could pose a significant threat to national security if they are allowed to invest in or take over key infrastructure.
 
Source: Reuters