Chinese Foreign Ministry spokesman Lu Kang says entrepreneur Michael Spavor and former Canadian diplomat Michael Kovrig have been taken into custody on suspicion of "engaging in activities that endanger the national security" of China.
Michael Kovrig's detention comes after police in Canada arrested the chief financial officer of China's Huawei Technologies on December 1 at the request of US authorities.
Meng Wanzhou, 46, Huawei's chief financial officer and the daughter of its founder, faces US accusations that she misled multinational banks about Iran-linked transactions.
Canada wants to keep Huawei’s Chief Financial Officer Meng Wanzhou in jail after she was arrested on December 1 in Vancouver at the request of the United States over claims she violated sanctions on Iran.
The news of Meng's arrest has roiled stock markets and drawn condemnation from Chinese authorities, although the US president and his top economic advisers have played down its importance to trade talks after Xi and Trump agreed to a truce.
Canada’s Department of Justice said Meng Wanzhou is facing extradition to the United States. China called for Meng’s immediate release.
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