Huawei plans to shift research center to Canada from US: Sources
5G sign
HuaweiTechnologies Co LtdplanstoshiftitsresearchcentertoCanadafromthe United States, Ren Zhengfei, the founder of the Chinese telecoms equipment maker, said in an interview withCanada'sGlobeandMail.
Ren's remarks came asReutersreported on Friday that the United States is weighing expanding its power to stop more foreign shipments of products withUStechnology toHuawei. TheUSCommerce Department in May placedHuaweion a trade blacklist, citing national security concerns.
Huawei's "center forresearchand development will be moved out of the United States. And that will be relocated toCanada," Ren told theGlobeandMail, adding that the company will also manufacture some mobile network equipment outside China.
TheHuaweifounder wants to build new factory capacity in Europe to make fifth-generation (5G) networking equipment there, hoping to assuage fears stemmingfromUSallegations that its product could be used by China for spying, theGlobeandMailreported.
Huaweiwas not immediately available to comment on Ren's interview when contacted byReuters. The firm has previously denied it is a risk toUSnational security.
The company spent $510 million on the operations of itsUSresearcharm last year, according to theGlobeandMailreport, which added that it has now trimmed the arm's workforce by 600 to about 250.
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Separately, Ren's daughter andHuaweiChief Financial Officer Meng Wanzhou, who was arrested by Canadian police on aUSwarrant late last year, is fighting extradition to the United States on charges of violating sanctions against Iran. She is currently out on bail.
Huaweihas denied the charges and China has urgedCanadato release her.
Commenting on her case, Ren said that it is an example of "obvious political interferencefromtheUS"