Huawei reviewing FedEx relationship, says packages 'diverted'
reuters.com
reuters.com
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Why would they be up on the news? They're just as likely to be engaging in the same behavior, only for a different set of government actors.
Getting a private company operating in a foreign country to do your intelligence work so blatantly is certainly news worthy. Maybe not stock price shifting news though.
Fedex has thousands of customer service agents with the ability to change package destinations for legitimate purposes.
Is any company's security is so strong they can prevent employees from independently cooperating with governments?
Stasi is a living memory in Germany.
I enjoyed the "FedEx doesn't comment..." policy.
The illusion of the rule of law, free world, globalization and the reality of control is simply frightening, and worrisome.
Rule of law has always been national. International politics are anarchic. Huawei quite clearly broke the laws of the United States (e.g. with respect to Iran), repeatedly and wilfully.
Huawei appears to have known this as well seeing as Meng Wanzhou had fraudently misrepresented the relevant transactions to the banks it was working with.
There was nothing extralegal about Meng Wanzhou's arrest.
You can start to see how far-reaching American sanctions are. A British bank is being told that it cannot do business with a Chinese company, because that Chinese company allegedly controls a Hong Kong company that imported small numbers of American goods into Iran. As I understand it, these sorts of extensive secondary sanctions are not normal, and are a sore point between the US and many countries, including some of its allies (such as France and Germany).
I would be very interested to know what gives the US any jurisdiction to demand the arrest of a foreign executive on foreign territory, for acts committed on foreign territory. Whatever the legal justification, though, this is a very unusual and aggressive step, and one that is transparently motivated by political considerations in the ongoing trade war.
She violated American laws with American products using U.S. dollars for years. She then travelled to an American ally.
This is a stupid counter argument.
Meanwhile, Société Générale, Deutsche Bank, BNP Paribas, JP Morgan have provably done exactly that.
Yet there is only one C-suite level executive who is currently being held personally, criminally liable for corporate actions. I guarantee you won't be seeing Jamie Dimon threatened with prison time for JP Morgan's 87 violations of Iranian sanctions and Weapons of Mass Destruction sanctions, anytime soon.
Laws which are enforced selectively lack credibility.
Your faith is US justice is admirable and patriotic. Do you believe Assange would also get a fair trial in USA ?
No. I don’t believe secret courts can be fair courts.
Meng, however, is being charged through normal channels by a prosecutor who must make a case in the regular court system. The charges and decisions will be made in the open. (There is a decent chance, due to the difficulty of admitting large swaths of evidence, that she could win.)
Was it proven in court or we should just believe everything US administration says?
Its fine if Huawei doesn't want to follow US law, but they shouldn't expect to do business with Americans or American companies either.
"If you do business in any way with any Americans at any point, regardless of who you are or where you're based, then you will be thrown in jail the moment we can get your hands on you, if you do business with anyone on this list, or with anyone who does not implement our rules either"
See how companies like ARM are being forced to stop doing business with Huawei despite not being American companies. It's massive overreach.
Are you saying that I can simply divert you mail because I think you broke my laws?
I suppose the only real difference was that this wasn't well-known in advance. It's like the Joker's statement about people losing their shit when something happens unannounced but being orderly when much worse is announced in advance.
And what consequences do you imagine there will be?
Previously, my little factory spent 100% of the budget for component x and component y on buying from American suppliers (quality and price are both very good).
But going forward, we plan to spend 70% to buy from Americans, 20% from other countries, and 10% to fund demestic research, and we will reduce the 70% part as soon as we can manage.
You can imagine if multiplying our small adjustment by the actions of hundreds of thousands of similar businesses around the world who are watching closely what's going on recently, then the interests of American businesses will probably be severely affected.
>The order, which will not name specific countries or companies, has been under consideration for more than a year but has repeatedly been delayed, the sources said, asking not to be named because the preparations remain confidential. It could be delayed again, they said.
https://www.reuters.com/article/us-usa-china-huawei-tech-exc...
Is it your position that Huawei is not a national security threat?
Huawei is probably a security threat but that isn’t new nor relevant. My position is that this is a transparent attempt to gain leverage at the negotiating table.
https://www.reuters.com/article/us-usa-trade-china/trump-say...
But in one case the media will tell us about evil authoritarian regime that doesn't want to play by the rules, and in another case they present it as a "fair punishment" for "misdeeds".
There has never been an absolute "rule of law". The rule of law is always protected and uphold by the government military. Otherwise, what to prevent your neighbour from killing you and taking your assets. There must be someone more powerful and armed than him.
The government uses the "power of law" idea to make people happy and mentally stable. But it'll use power when need be. The US bombed japan with nuclear weapons and will redo it again to protect its interests.
(But I do agree overall that it's probably nothing)
No. If they want quiet intercepts, that's what they get... even if it means "slow down conveyor belts and post agents to manually read every incoming package label before it hits the scanner".
This was either unrelated or an intentionally loud message.
We had a similar situation in Russia. A mobile operator was cooperating with government to hack into activists' Telegram accounts. They disabled SMS service for a user and then requested a password restore using SMS, intercepted it and got access. But they forgot to delete this information from their internal systems, so when the user called support, they told them that SMS service was disabled, and later even gave a signed confirmation about it.
I don't know whether the story from the article is true or not, but people tend to make such kind of mistakes. Imagine a typical accounting system, written on bunch of legacy technologies during last 20 years, and think how difficult it would be to remove all traces from all the databases and logs and not break anything. And tell every employee that would process the package not to scan it.
Why on earth would they do something so obvious to leave such a paper trail when you know they could pull this off quietly?
The ideal approach would be to have packages of the "interesting" kind automatically diverted to a scanning location, and then continue on their way...
Dont think of it as them being interested in a single package. They are interested in setting up a mechanism by which ALL packages of interest can be diverted with only very small effort on their part.
My impression from the prior accounts was that the interception was far more clandestine.
The obvious and most probable answer is usually the right answer unless you have evidence otherwise.
Not every weird incident is part of some conspiracy.
Check this: https://www.cnbc.com/2019/05/28/huawei-says-fedex-diverted-p...
According to FedEx’s website, the status “exception” means an unexpected event is preventing delivery of a package, for example a customs delay, a holiday, or no one being available to accept delivery. FedEx declined to give details on what the exception was in this case.
According to Huawei, a FedEx customer service representative in Vietnam replied to their inquiry on May 22 when two expected packages did not arrive on time, saying: “Please be informed that FDX SG received notification from FDX US to hold and return the package to US. Hence, the shipment is not deliver to consignee and now being hold at FDX station and under process to RTS it (return to sender),” the representative wrote in broken English, according to an email Huawei showed to Reuters.
In this age of fingerprints and occasional iris checks, sending intelligence personnel through foreign airports is risky.
that's like asking "why are there software bugs when programmers know how to code!"
of course, there's the other side of that coin, in that of you've got a big enough company and enough of a complex package network, the probability that you'll find packages routed erroneously or in bizarre directions approaches 1.
Given that we do not know the details of the packages, either their contents or supposed reason for rerouting, but we do know that Huawei has made a media story of this (a couple of packages rerouting is nothing to get in the paper about, and they could have kept quiet if they were genuinely concerned), about the only thing we can really take away from this is that is likely part of the public relations/propaganda jostling currently going on between US/China corporates.
Hanlon's razor isn't as strong of an argument if you already have evidence that something similarly malicious has been done by that actor before. Obviously we still need to be skeptical, but not blindly so.
[1]: https://www.infoworld.com/article/2608141/snowden--the-nsa-p... [2]: https://arstechnica.com/tech-policy/2014/05/photos-of-an-nsa... [2]: https://techcrunch.com/2014/03/23/latest-snowden-allegations...
https://arstechnica.com/tech-policy/2014/05/photos-of-an-nsa...
It doesn't make sense to be anything other than an error and Huawei being paranoid (rightfully so, but still).
(I genuinely can't tell if this is a joke or not)
To me, it appears as a Chinese way of saying they are are as much at the mercy of US logistics as the Western World is at the mercy of Huawei's logistics ( 5G ).
edit: even it when it is not true, the message comes across.
They tend to have fewer customs issues too since they go through a separate stream in a lot of countries.
[1]: https://techcrunch.com/2014/03/23/latest-snowden-allegations...
Or US intelligence requested the documents be diverted. Either is about equally likely I'd say.
The truth is probably that FedEx is just terrible at their job and goofed it.
(ATL is a hub for Delta, and a few other airlines run a ton of flights out of there too)
If this had been a us govt request they wouldn’t have scanned the packages at the sorting facilities in the US!
https://arstechnica.com/tech-policy/2014/05/photos-of-an-nsa...
“The recent experiences where important commercial documents sent via FedEx were not delivered to their destination, and instead were either diverted to, or were requested to be diverted to, FedEx in the United States, undermines our confidence,” Joe Kelly, a spokesman for Huawei, told Reuters.
You don't issue a press release for two missing packages. And since they were "important commercial documents" I am assuming that US intelligence must have intercepted them for some reason.
Sure, it’s highly suspicious that a Hauwei shipment end up in America but equally it seems unlikely FedEx would be dumb enough to advertise that fact on their tracking page if they were ordered to divert said documents.
I’m not suggesting there isn’t something deeper going on that governments are keeping classified, however if there is then they’re doing a good job of keeping it a secret by making this trade war sound like petty bickering.
We arrested their cfo in canada and have been on attack with them since.
The actual question is - the US has been doing this against them for quite some time now Mr smith.
So...
Did huwai just realize, or do they have enough anomalous tracking that they are leaking public to measure reaction.
Look, dont be a fool - WWIII - as Einstein stated, is not nuclear, its informational - and we are in the midst;
Echelon <— nobody believed this existed in the 80s and 90s
Carnivore <— att guy went to jail for revealing this
Stuxnet <— israel fucked that one up
Duqu <— scary that this dropped off the map
PRISM <— one of many of the trackers
Lots more: too many.
Etc
Etc
There are a lot of subs in that list and a lot of ghosts we dont know about...
But only a moron would think that cyber war is NOT in full force
I remember a picture I can't remember the details now but think the East Germans discovered a tunnel from West Berlin into a phone vault in East Berlin with a bunch of taps installed. That was in the 1960's. The Soviets were planting microwave recording devices on the east coast in the 1970's. The US has been tapping under sea cables since the 1970's. Maybe earlier.
Everyone's been trying to spy on everyone else. Commercial companies are either willing partners cough facebook cough or haplessly in the middle. Notable they threw Joseph Nacchio in prison for not playing along.
Half the time these stories seem about as dubious as the Bloomberg (I think it was?) Supermicro debacle.
I’m genuinely open to the possibility there is something covert going on but equally I’m also exercising some healthy scepticism about the claims that are being reported. There is always the possibility that this is literally just a trade war and nothing else; and the “espionage” angle is really just unsubstantiated FUD.
Ultimately we are never going to know the truth so the best we can do is enjoy our speculation for what it is.
The Puzzle Palace came out in the early 80’s and 2600 was on the library shelf not much later. It was widely believed that telegram and international calls were intercepted.
I knew lots of crackpots before then who insisted every domestic call was recorded and was printed speech-to-text into some giant filing cabinet, where, they couldn’t say.
Saw a few instances of this same thing happening yesterday as well.
If HN were to force voters to capture their reasons for such reactions I’m sure there would be fascinating psychological study waiting to happen there.
Dumbest thing I ever heard.
I am not sure that will happen here. But it sure does seem like that is the trajectory for China.
For example: it may have gone to Alaska, but that's actually closer to Japan and China than any of their other hubs.
At the end of the day any losses have to be explained to sharebolders, regadless of political loyalties.
I'm sure the rest of us will receive similar consideration.
My cynical view is Huawei has some sort of edge on competitors to quickly deploy 5G around the world (state subsidies possibly), and the 5 Eyes Alliance will lose their 'information dominance' as once expressed by Gen Alexander, so the option was to start flexing against Huawei with 1980s cold war style aggression to slow them down.
“This week a number of media outlets reported another serious allegation: that the National Security Agency took steps to compromise IT products enroute to customers, including Cisco products. We comply with US laws, like those of many other countries, which limit exports to certain customers and destinations; we ought to be able to count on the government to then not interfere with the lawful delivery of our products in the form in which we have manufactured them."
Criminal penalties for their executives are the real stick.
Ever since every Chinese company with >50 employees requires a representative of the communist party. Every multinational knows that China will screw them over. They just have an excuse now.
Plenty of multinationals that don't want to do business there.
I haven't heard any of them subject truthfully that they hate not able to do business there.
And every Western company is required to comply with NSA orders and sanctions arbitrarily imposed by anyone from US administration. Nothing different here.
> Plenty of multinationals that don't want to do business there.
A billion customers market is not something you can ignore. Google wants to return to China, and Apple is happily cooperating with its Chinese partner.
Scout's honor. Sounds a lot like Huawei saying it was just a coding error. Would they get away of a spying accusation with this? If it can happen in the US (FedEx, Cisco) it can surely happen in China.
It's strange seeing people defending this as "probably an error" and perfectly acceptable when coming from one side but definitely intentional and totally unacceptable from the other.
The hypocrisy is strong in this one...
P.S. For the casual observer, please note that this comment is not about which company is guilty and how (un)acceptable that may be.
Huawei is assumed to be working at behalf of the CCP because the CCP has management control over the company. It's like Fannie Mae and Freddie Mac. Do you doubt that the US government has control over them? They are "independent" government sponsored companies with oversight by the US government... just like Huawei.
Everyone knows Fannie Mae and Freddie Mac implement policies put in place by the US government. That's their job. But when it comes to Huawei, we're all suppose to ignore the CCP control?
China likes to have state-run companies (far more than the US does). The consequence is that no one trusts you. If they don't like it, and want to build trust with their customers, then they can liberalize their markets (or at least let Huawei be a fully independent company).
Again, decide for yourself what's good or bad but be consistent, not selective depending on who's doing it: "us" or "them" ;).
To me, this is clearly a case of not being able to read the shipping label, damage to packaging, or similar. It would make plenty of sense that manual "human" decisions on what to do with undeliverable packages is handled by FedEx employees in the US. I have had mail returned before and it always ends up going to a random place, likely to be hand sorted, and taking forever to make its way back.
This is likely a non-story trying to throw shade on US companies to distract from negative press on Hauwei. Besides, the mail was shipped using a US based carrier, probably airmail. A plane can make it across the world in 24 hours, so it might make sense to route certain destinations through the US regardless for logistical reasons. If I could ship something to Europe using China Post I would not be fazed if my package ends up in China at some point.
If you don't want something to end up in the US don't ship it using a US based mail carrier that is a private company allowed to send your package in any manner it desires. Hauwei complaining to the Chinese government about how their packages are being routed through the US on the way to their destination by a US based mail carrier, what a joke
And there are lots of Chinese like me feel the same. Trump and his China haters are pushing away a large group of influential Chinese elites in all different professions, intellectuals, government officials, (yes, there are a lot of pro-U.S / democracy government officials in China), entrepreneurs, engineers, doctors even who used to admire the U.S.
This is far more damaging... There will be cost.
I think it would be suspicious if you sent a package and weren't given one.
So they're confirming that the images are customer data, which makes them authentic. If they weren't authentic then they wouldn't be customer information, no?
>FedEx spokeswoman Maury Donahue told Reuters the packages were “misrouted in error” and that FedEx was not requested to divert them by any other party. //
Which doesn't tell us anything as NSA letters, for example, can IIUC require a company to lie to cover up executive activity.
>The U.S. Department of Commerce did not reply to a request for comment on whether the incident might be related to its move on May 16 to add Huawei to the so-called “Entity List,” //
Which is basically "hey are you being a shithead?", "oh, no comment!". Not even bothering to deny it??
>FedEx declined to give details on what the exception was in this case. //
I mean, it sounds a lot like the response of someone caught with their pants down (ie in the act of committing a nefarious offense).
What is clear is that this is more shots fired -- and TBH the message of "you can't trust USA not to be using security letters to pry in to foreign businesses confidential affairs" isn't anything like unbelievable.
I don't think that assumption works. Reuters asked for specific customer information: in particular, whether the records were valid. Answering in the affirmative or negative is divulging customer data, and FedEx would be wise to avoid doing so whether or not it's valid.
But still, "this is not a valid receipt" doesn't reveal data about a customer transaction.
Companies always respond with “no comment” for a good reason: to prevent people from drawing incorrect conclusions by reading between the lines as you are doing now.