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Canadian publication The Globe and Mail reported that Meng Wanzhou, the global chief financial officer at the Chinese telco, faces extradition to the US.

Reports appeared in April 2018 that federal prosecutors in NY had an open probe into whether Huawei had violated USA restrictions against Iran.

Officials for the Canadian and US Justice Departments did not immediately respond to a request for comment.

On its website, Huawei bills itself as "a leading global provider of information and communications technology (ICT) infrastructure and smart devices, with integrated solutions across four key domains - telecom networks, IT, smart devices, and cloud services".

In addition to serving as CFO, Meng is the daughter of Huawei founder Ren Zhengfei and is the deputy board chair.

This story is developing.

The U.S.is seeking Ms. Meng's extradition so as to have her appear in federal court in the Eastern District of NY, according to people familiar with the matter. She is reportedly sought by the U.S. for breaking trade embargo with Iran.

The statement went on to say how Huawei complies with all applicable laws and regulations where it operates, "including applicable export control and sanction laws and regulations of the United Nations, US and European Union".

The Wall Street Journal reported the United States government was trying to persuade companies in allied countries to avoid Huawei.

"The ban was sought by Ms. Meng", continued the statement.

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News of Meng's arrest comes in the wake of reports in April of 2018 that USA prosecutors based in NY were investigating the possible violation of US sanctions against selling US -origin products to Iran.

A spokesperson from the federal Justice Department said the chief financial officer of Huawei Technologies was arrested.

The Chinese Embassy in Ottawa said her human rights were violated and demanded her immediate release.

Australia and New Zealand have already turned down Huawei's offer to supply 5G equipment to telecommunication companies, citing security risks.

News of the arrest came on the same day that BT announced it would be removing Huawei-manufactured equipment from its 3G and 4G mobile networks. Huawei has said neither it nor Skycom ultimately provided the HP equipment.

In 2016, the Commerce Department sought information regarding whether Huawei was possibly sending US technology to Syria and North Korea as well as Iran.

The news of the arrest broke today.

In May, the Pentagon banned the sale of Huawei phones on military bases.

Skycom tried to evade United States sanctions against Iran and sell Hewlett-Packard computers to the country's largest mobile phone operator in 2010.