The ongoing criminal case between the U.S. Department of Justice and the Chinese tech giant Huawei has once again come under the spotlight. According to reports from The Wall Street Journal and Reuters, negotiations for a settlement have hit a snag, leading to a scheduled trial directly in January 2026.

At the hearing, the Assistant U.S. Attorney updated U.S. District Judge Ann Donnelly about the deadlock in settlement talks. Judge Donnelly then suggested starting the trial in early January 2026 because of this issue.

Prosecutors expect the trial to last between four to six months because the case is complex. Nonetheless, Huawei, represented by Douglas Axel, agreed with the proposed schedule before the trial.

This legal dispute started back in 2018 when the case initially surfaced with a sealed indictment. Among the accusations leveled against Huawei are allegations of misleading banks regarding business dealings in Iran, alongside other charges such as conspiracy to steal trade secrets.

A significant event in this case was when Huawei’s CFO, Sabrina Meng, was arrested in Canada in December 2018 at the request of the U.S. However, after 4 years, she was released in September 2021 after reaching an agreement with U.S. authorities, leading to the dropping of charges against her.

Huawei’s response to the legal proceedings includes an intention to file a motion seeking to split the case into two parts. This motion aims to separate fraud charges from trade secret-related charges, a move the US government opposes strongly. 

With negotiations stalled, all eyes are now on the upcoming trial.  Set to commence in January 2026, this case holds the potential to significantly impact the technology industry and reshape the global geopolitical dynamics between the United States and China.

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