Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Former Australian lawmaker retires from board of Huawei unit

Published 01/31/2019, 11:17 PM
Updated 01/31/2019, 11:20 PM
© Reuters. FILE PHOTO: Man walks by a Huawei logo at a shopping mall in Shanghai

SYDNEY (Reuters) - A former Australian lawmaker retired from the board of the local arm of China's Huawei Technologies Co Ltd on Friday, potentially weakening the firm's efforts to withstand government moves to restrict its market access on security grounds.

John Brumby, a former premier of the state of Victoria, will leave the world's biggest maker or telecommunications equipment on March 1 after eight years as a director of it's Australian subsidiary.

Brumby's exit reduces Huawei's influence in Canberra at a time when Western nations increase scrutiny of Chinese telcoms equipment makers over concern that China's government could use their products for espionage. Huawei says the concern is unfounded.

Brumby was a key figure in Huawei's unsuccessful efforts to prevent Australia's conservative government banning the company from participating in the country's fifth-generation (5G) communications network last year.

"The timing of my retirement from the board is completely unrelated to any recent commentary regarding China and Huawei," Brumby said in an emailed statement.

"I remain a strong supporter of closer ties between Australia and China, particularly in the fields of investment, trade, education and R&D."

Huawei has been under siege since the arrest of its chief financial officer in Canada in December at the behest of the United States. The U.S. Justice Department has accused Huawei of bank fraud and conspiring to steal trade secrets. Huawei denies wrongdoing.

Though barred from Australia's 5G network, Huawei has maintained its presence in the region and has secured a series of contracts in the face of Australian objection.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

"Brumby, as a former premier, carries weight as a lobbyist. Losing someone of the stature will hurt Huawei's efforts to prosecute its case and to be allowed to expand in the region," said Haydon Manning, professor of politics at Flinders University in South Australia.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.