A former U.S. ambassador to China says that linking the trade dispute to national security issues will only make things more complicated for American authorities preparing a formal request to extradite a senior Huawei executive.
Huawei CFO Meng Wanzhou was arrested in Canada on Dec. 1, at the request of U.S. authorities who say her company violated U.S. sanctions on Iran and may have made illegal transactions with HSBC. She is currently on bail but the U.S. has until the end of January to file an extradition request.
"I think it's always a mistake to try to link trade issues with national security issues," Max Baucus, a former U.S. ambassador to China, told CNBC's "Squawk Box" on Thursday.
"They should not be mixed together generally and, unfortunately, as (Canada's) Ambassador McCallum said, President (Donald) Trump has suggested linkage that he may not seek extradition of Meng in exchange for China behaving, in Trump's view, on trade. That's a big mistake," Baucus said.