Science Technology
Huawei in Latin America: A factory of deception, espionage and corruption
As scrutiny of the company intensifies, recent cases raise concerns about transparency, corporate ethics and Beijing's expanding military influence in Latin America through firms like Huawei.
![Shoppers test Huawei phones at a store in Shanghai. [AFP]](/gc4/images/2025/04/01/49813-huawei1-600_384.webp)
By Juan Camilo Escorcia |
BOGOTA -- Colombian authorities have launched an investigation of Chinese telecom giant Huawei over alleged violations of consumer rights, once again exposing the company's long track record of deception, espionage and corruption in Latin America.
Huawei, already at the center of a bribery scandal in the European Union, now faces scrutiny in Colombia for allegedly using misleading advertising -- an offense that, if proven, could result in a substantial fine.
"The investigation is currently under evaluation for the opening of a probationary period," Colombia's Superintendency of Industry and Commerce (SIC) told Entorno. The agency, which oversees consumer protection, filed charges against Huawei in January.
The company responded with its defense on February 7.
![Huawei CEO Ren Zhengfei, who served in the Chinese People's Liberation Army (PLA) as a technician and engineer, attends a session of the annual World Economic Forum (WEF) in Davos, Switzerland, in January 2020. [Fabrice Coffrini/AFP]](/gc4/images/2025/04/01/49814-huawei2-600_384.webp)
A January 17 press release from the SIC revealed that its Directorate of Investigations and Consumer Protection had examined Huawei's advertising and inspected its website, finding that the company had "allegedly" provided consumers with "information that lacked clarity, truthfulness and verifiability."
Additionally, Huawei promoted online sales without disclosing essential terms and conditions.
The ongoing investigation will determine whether Huawei violated consumer rights through misleading promotions for its smartphones during Colombia's Black Friday sales.
As scrutiny over Huawei's practices intensifies, this latest case underscores the broader concerns about the company's operations in Latin America. It raises questions about transparency, corporate ethics and Beijing's growing influence in the region.
Huawei's Costa Rican scandal
Huawei's legal troubles in Latin America continue to mount, as the Chinese telecom giant faces a criminal complaint in Costa Rica for alleged crimes against the country's treasury. The complaint, filed by President Rodrigo Chaves on December 11, accuses Huawei and former officials of the Costa Rican Electricity Institute (ICE) of fraud, bribery and influence peddling.
Announcing the legal action at a press conference, Chaves stated that the complaint specifically targets Huawei's manager and its general representative in Costa Rica. Semanario Universidad reported last December that the accusations include attempts to manipulate government contracts and gain undue influence over public institutions.
Huawei has aggressively pursued contracts in Costa Rica for 5G infrastructure and equipment supply. Even though it served as one of ICE's primary suppliers in recent years, the company's standing with the government has deteriorated since Chaves signed a decree in August 2023.
The measure restricts 5G contracts to companies from countries that have signed the Budapest Convention on Cybercrime -- a category that excludes China.
Meanwhile, Costa Rican authorities, working with the United States, uncovered cyber intrusions linked to "malicious actors based in China," who infiltrated Costa Rica's communication and technology networks. The Costa Rican Presidency and the US Embassy in San Jose revealed the findings in a joint statement published on X on December 17.
Paraguayan espionage probe
Authorities in Paraguay are investigating Huawei's potential role in an espionage case involving Taiwanese Ambassador Han Chih-Cheng. The incident occurred on October 9, when a gray Audi was spotted outside the diplomat's residence in Asuncion.
According to Infobae, when an officer approached the vehicle, two occupants fled the scene. Surveillance footage reportedly captured a "man with oriental features" pointing what appeared to be an electronic device at the ambassador's residence.
Investigators traced the car to Huawei Technologies Paraguay. While the driver was identified as a Paraguayan citizen, the second individual remains unidentified.
Weeks later, on November 26, a joint statement from the US Embassy in Paraguay and the Paraguayan Ministry of Information and Communications Technology alleged that a Chinese-linked group, "Flax Typhoon," had conducted cyber espionage against Paraguayan government systems.
Chilean lobbying controversy
Huawei's influence in Chile has raised concerns over questionable lobbying tactics linked to improper contract execution. On September 8, 2023, Miguel Crispi, the president's chief advisor, met with a senior Huawei executive at the Government Palace, sparking transparency concerns from both the opposition and ruling party members.
Attorney Luis Hermosilla, a criminal lawyer who advised both Crispi and Huawei, also attended the meeting. Now in pretrial detention, Hermosilla faces charges of bribery, money laundering and tax crimes not related to that meeting.
The meeting occurred just weeks before President Gabriel Boric visited China, where his administration signed a technological cooperation agreement with Huawei.
Meanwhile, leaks reported by Ex-Ante in December 2024 suggest that former Interior Minister Andrés Chadwick was hired by Hermosilla to advise a tech company believed to be Huawei.
This case adds to growing concerns about the influence of Chinese firms in Latin America's strategic sectors and their ties to local governments.