Following a national security review under the Investment Canada Act, the Canadian government has ordered Chinese firm Hikvision to stop all operations in the country citing national security concerns. Additionally, the government has also prohibited the purchase or use of Hikvision products in government departments, agencies, and crown corporations.
Minister Mélanie Joly announced the ban after a security review found the vendor’s activities suspicious. The minister insisted that while Canada welcomes foreign investment, it won’t compromise on national security. There’s also an ongoing audit of government properties to ensure that legacy Hikvision products aren’t used going forward.
As expected, Hikvision isn’t happy with the decision. The company’s official statement claims that the review “lacks a factual basis, procedural fairness, and transparency.” Hikvision believes the decision is based on the fact that it’s a Chinese company instead of any security defects in its products “reflecting broader geopolitical tensions and an unjustified bias against Chinese companies.”
The statement also added that the company fully cooperated with the authorities during the audit but they announced the ban without sharing evidence or addressing any facts it provided. Hikvision has urged the Canadian government to “base its actions on facts rather than prejudice, and to uphold a fair, transparent environment for all businesses and investors,” but hasn’t explicitly mentioned when or if it’s going to wind down operations in the country.
This isn’t the first time Hikvision has faced trouble in North America. The US Federal Communications Commission (FCC) announced a total ban on telecom and surveillance technology from Chinese companies, including giants like Huawei, ZTE, and Hikvision in 2022, due to the same national security issues Canada cited. In November 2022, the British government also outlawed installation of Chinese-made security cameras at sensitive facilities due to security risks, but hasn’t announced a full ban yet.
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