German minister and US envoy have clash over Huawei’s possible participation in Germany’s 5G network - SCMP

Ross J Burland FXStreet

The South China Morning Post has reported that the German minister and US envoy have clash over Huawei’s possible participation in Germany’s 5G network.

Opening paragraphs

German Chancellor Angela Merkel is facing more criticism for her Huawei Technologies-friendly approach to 5G development, as the American ambassador to Germany called her economic minister’s remarks on cybersecurity an “insult” to the US.

The latest rift emerged as the minister, Peter Altmaier, one of Merkel’s few allies on her 5G approach, on Sunday compared concerns over potential spying by the Chinese government to previous phone-tapping by the “unreliable” US government.

Key notes

Economic minister Peter Altmaier says risk of Huawei transmitting data to Chinese intelligence agencies is no greater than what ‘unreliable’ US has already done.
US ambassador Richard Grenell calls comparison ‘an insult’ to Americans ‘who contribute to the security of Germany’.

FX implications

Earlier in the day, there were additional reports of Chinese interest in opening up relations with Europe, which can on;y be a supportive factor for the euro as the US becomes isolated.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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