"The rapidly dwindling good-feeling towards the United States and China's vague trade war ceasefire turned actively hostile on Thursday, investors fearing that, 90-day truce or not, the relationship between the two superpowers might be about to take a turn for the worse".
Trudeau added that he has had no conversations with the Chinese government about the case, which has said it firmly opposes the arrest and demanded Canada "immediately correct the mistake" and release Meng.
National security adviser John Bolton did not know about the arrest of a top Chinese telecommunications executive before President Trump met with Chinese President Xi Jinping at the G-20 summit in Argentina, a spokesperson for Bolton told CBS News.
In an incident similar to Meng's case, ZTE's chief financial officer was stopped at Boston's Logan Airport during the USA investigation of that company, according to sources familiar with the case.
"The company believes the Canadian and U.S. legal systems will ultimately reach a just conclusion".
Huawei has said it complies with all applicable export control and sanctions laws and other regulations.
Huawei has clarified from their end that she faces unspecified charges in the NY.
The company has reportedly been under investigation since 2016 for allegedly shipping products from the U.S.to Iran and other countries in violation of USA export and sanctions laws.
Huawei is one of the largest telecommunications equipment and services providers in the world, recently passing Apple to become the second-biggest smartphone maker after Samsung. "The Chinese government should seriously mull over the USA tendency to abuse legal procedures to suppress China's high-tech enterprises".
Before the arrest on Wednesday, Britain's BT Group said it was removing Huawei's equipment from the core of its existing 3G and 4G mobile operations and would not use the Chinese company in central parts of the next network.
G20 a chance for USA and China to mend relationship
It noted also that China did not mention U.S. calls for deep structural changes in its economic policies. The U.S. and China have agreed to a 90-day truce in a bid to work out their trade differences.
Crown prosecutors have declined to say why Meng is being sought for extradition, but the Wall Street Journal has reported that it is related to alleged violations of US trade sanctions, which Reuters news reported were sanctions against Iran.
Sen. Marco Rubio called for Meng's extradition.
Chinese officials are loudly calling for Meng's release and want Canada to reveal the reason for her arrest.
The United States has also been looking since at least 2016 into whether Huawei violated U.S. sanctions against Iran, Reuters reported in April.
The Global Times said in a separate editorial on Friday: "We believe that the USA government, like China, is willing to end the trade war".
Meng's arrest has "potentially huge implications" for the trade war and signals the USA government is willing to get tough on Chinese companies that do business with Iran, according to Michael Every, head of Asia-Pacific research at investment bank Rabobank.
Huawei is one of the largest tech companies in the world, but it has been under pressure in nations like the U.S., U.K., and Australia for allegedly doing the bidding of the Chinese government.
"The detainment of Huawei's CFO doesn't improve or worsen in any sense the security posture of Huawei with regards to Canada", Parsons said.
The U.S. sees Huawei and smaller Chinese tech suppliers as possible fronts for Chinese spying and as commercial competitors. -China trade war could come to a swift end.
"It really speaks to the depth of the Chinese concern in their economies and their desire to get the US-China relationship back on a more even keel", said Elizabeth Economy, a senior fellow at the Council on Foreign Relations.
Earlier this year, six top United States intelligence chiefs voiced their concerns about Huawei phones to the Senate Intelligence Committee, with FBI Director Christopher Wray saying he was "deeply concerned about the risks of allowing any company or entity that is beholden to foreign governments that don't share our values to gain positions of power inside our telecommunications networks".
In exchange, ZTE agreed to pay a hefty US$1 billion (RM4.17 billion) fine and put an additional US$400 million in escrow in case of future violations.