Huawei launches its counter-attack by suing the U.S. government

China blocks canola shipments from Canada's Richardson

Last year, the Trump administration banned Chinese company ZTE Corp. from purchasing critical USA technology for violating export sanctions against Iran and North Korea.

That Huawei has not launched similar legal action in Australia could be for a number of reasons, but the most likely is the small size of our market; with a shade under 25 million residents, excluding Huawei from our carriers is unlikely to have anywhere near as significant impact on Huawei's global operations as the U.S. ban will have.

The United States has asked allies not to use Huawei's technology because it could be a vehicle for Chinese spy operations, an accusation denied by the company.

But Schwinn said the lawsuit is one of Huawei's only remaining options, short of trying to get Congress to reverse the ban.

Huawei's Deputy Chairman Guo Ping accused Trump of acting as acting as "judge, jury and executioner". Recipients of federal loans or other benefits also could not spend the funds they received on Huawei products.

The company has about 40 percent of the global market for network gear but its US 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.

On Thursday, a Chinese foreign ministry official said China also objects to the US law.

Huawei's chief legal officer, Song Liuping, said the two cases were different in terms of evidence and scope, and that the Chinese firm's case had "full merits". By singling out the company and punishing it without a trial, the company also argues that the law violates the Constitution's bill of attainder clause.

The Chinese telecoms firm manufactures a range of technology, from network equipment to mobile phones.

Founder and Chief Executive Ren Zhengfei has said Huawei, the world's biggest telecoms gear maker, has never and will never share data with China's government.

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"The US Congress has repeatedly failed to produce any evidence to support its restrictions on Huawei products", said the goliath's chairman Guo Ping in a statement. Huawei's USA headquarters are in Plano, Texas.

Chinese telecom manufacturer Huawei is suing the us government, arguing Congress violated the Constitution when it banned government agencies from purchasing Huawei equipment. He added he had no information about whether China would join Huawei in the lawsuit.

Long before Mr Trump initiated the trade war, Huawei's activities were under scrutiny by U.S. authorities, according to interviews with 10 people familiar with the Huawei probes and documents related to the investigations seen by Reuters.

"With China kind of saying - because they're mad about the Huawei thing - they're basically saying like, "Oh, we're not going to buy any more", Townsend said.

"The solution to cyber security will come from openness, agreed global standards certification schemes and transparency".

Similarly, John Suffolk, Huawei's global cyber security and privacy officer, said the company is "the most open, transparent and scrutinized company in the world".

Estimates from industry sources show that allowing Huawei to compete would reduce the cost of wireless infrastructure by between 15% and 40%.

The move comes amid a conflict between the countries over Canada's arrest of a Chinese technology company executive and is seen by some as a new tactic to achieve leverage over Ottawa.

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