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Huawei Faces US Racketeering Trial Over Iran and North Korea

Huawei faces a federal racketeering and fraud trial in Brooklyn over Iran and North Korea business dealings and alleged trade secret theft.

By Muhamed Porić

September 11, 2026 at 12:16 PM

Photo by Alex Fu on Pexels

Huawei Technologies is heading to a federal criminal trial in Brooklyn, New York, eight years after U.S. prosecutors secretly charged the Chinese telecommunications giant over alleged bank fraud and sanctions violations tied to business dealings in Iran.

"The government's overarching narrative is demonstrably false," a Huawei spokesperson said in a statement on Saturday regarding the case.

Jury selection is scheduled to begin on Tuesday in the U.S. District Court for the Eastern District of New York before U.S. District Judge Ann Donnelly. Legal proceedings for the multi-count racketeering and fraud trial are expected to last approximately three months, according to a report by Yahoo News.

Expanding Charges Beyond Iran

While the initial 2018 indictment focused primarily on transactions involving Iran, the federal case has expanded to encompass a broader array of corporate misconduct allegations. Prosecutors accuse Huawei of conspiring to steal trade secrets from five distinct U.S. technology companies, introducing additional intellectual property theft claims into the courtroom.

The indictment also alleges that the Shenzhen-based firm concealed its business operations in North Korea and provided surveillance equipment to Iranian authorities. According to court documents, that technology was allegedly used to track protesters during the 2009 anti-government demonstrations in Tehran.

What Is at Stake in the Brooklyn Proseedings

The trial marks an escalation in the long-running legal and geopolitical confrontation between Washington and one of the world's largest networking equipment manufacturers. For U.S. regulators, the proceeding represents a major test of extraterritorial jurisdiction over foreign corporate fraud and sanctions enforcement. For Huawei, a conviction could reinforce strict international trade restrictions and deepen corporate isolation in Western markets, intensifying the technological decoupling between the United States and China.

HuaweiIran SanctionsTrade SecretsUS CourtsFinancial Fraud
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Muhamed Porić

Founder and Editor of Embers.

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