Is Honor Device Co. Honourable Enough to Win Canada Over?

Four years after Canada shut Huawei out of its 5G networks, one of its former subsidiaries is hoping for a second chance in the Canadian market. Honor Device Co., a Chinese consumer electronics company and former Huawei subsidiary, is planning talks with federal officials in Ottawa as it explores bringing its electronic devices to Canadian consumers.

Founded by Huawei in 2013, Honor was sold in 2020 after U.S. sanctions targeted its parent company. Today, the company is majority-owned by a Shenzhen municipal state-owned enterprise, but it maintains that it operates independently from the Chinese government. To support its case, Honor highlights partnerships with major technology firms such as Google and Microsoft. Unlike Huawei’s newer devices, Honor smartphones continue to offer full access to Google apps and services.

Honor’s efforts to enter Canada will be shaped by the country’s complicated history with Huawei. In 2022, the federal government banned Huawei from Canada’s 5G telecommunications networks over national security concerns, citing fears that sensitive data could be vulnerable to foreign government influence. Although the ban did not apply to consumer devices, it left a lasting cloud over Chinese technology companies seeking a presence in Canada.

At the same time, broader economic and geopolitical trends may work in the company’s favour. Canada has recently signalled interest in diversifying its international trade relationships, including strengthening economic ties with China. Honor views Canada as a stable and attractive market not only for device sales but also for potential research and development investments. Whether the company ultimately succeeds will depend on its ability to reassure policymakers that it is distinct from Huawei and poses no threat to Canada’s security or telecommunications infrastructure.