The technology industry knows China likes to find ways to stay current in the global technology industry. The United States believes China uses nefarious tactics to stay relevant. And the United States believes the Chinese company Huawei, likes to copy protected tech secrets. The U.S. says they do it all the time. Meng Wanzhou, Huawei’s chief financial officer, and the daughter of the founder thought traveling to Canada would be a typical business trip last week. But Canadian officials arrested Wanzhou when she landed in Vancouver. The United States asked Canada to arrest Meng for violating Iran sanctions.
Some news reports say Trump needs leverage over the Chinese. He wants the Chinese president to agree to drop the 47 percent tariff on American automobiles. And he wants the Chinese president to agree to buy more products from the United States in order to balance the trade numbers. Mr. Trump’s threatening a trade war with China made financial markets bleed green last week. A stock market recovery seems unlikely now that China sees what Trump is up to in terms of applying pressure to do things his way.
But the Chinese don’t respond to threats like other countries. Chines officials measure every move they will make before they make the first move. President Xi has a reputation as a fierce competitor who knows how to maneuver on the world stage. He wants Meng Wanzhou back, and if that doesn’t happen soon, Canada may feel the pain of China’s retaliation.
If Canada sends Meng to the United States to face charges that her company defrauded several financial institutions, she could spend 30-years in an American prison. The U.S. claims she covered up her relationship with a company that still sells equipment to Iran. The Canadians are between a political rock and a hard place. If they don’t turn Meng over to the United States, Trump will make life as miserable as he can for Canadians. If Canada extradites her to the U.S., the Chinese will do their best to hurt Canada’s economy.
Canada told China officials spent six hours hearing arguments for and against extradition. But officials say a decision on the fate of Meng may come as early as Monday. Trump didn’t say much about Meng’s arrest in Canada. He’s too busy trying to find a way to stay out of Mueller’s way. But that’s not working, according to the recent news that Trump knew and directed Cohen to pay off the women he hooked up with before the campaign.