Ottawa Orders Beijing Surveillance Giant Hikvision Out as Trump Escalates Trade Clash and Security Demands

OTTAWA — Amid an escalating trade standoff with Washington, which has been pressing Ottawa to crack down on Chinese Communist Party vulnerabilities and influence, the Canadian government announced late Friday that it has ordered Chinese surveillance giant Hikvision to cease all operations in Canada, effectively banning its products from security platforms nationwide.

Hikvision is the world’s largest manufacturer of surveillance cameras and is largely owned by state-controlled China Electronics Technology Group Corporation, a key supplier to China's military and intelligence apparatus. The company has long been viewed by Western security agencies as an extension of Beijing’s surveillance state and a potential vector for espionage.

The move came just hours after President Donald Trump publicly broke off trade tariff negotiations with Ottawa, citing Canada’s digital services tax targeting major U.S. tech firms and longstanding dairy tariffs. Trump, backed by U.S. Treasury Secretary Scott Bessent, accused Canada of weaponizing its regulatory system against American innovation and warned of sweeping retaliatory measures if Ottawa did not reverse what he described as “unfair trade barriers.”

Industry Minister Mélanie Joly announced the decision to expel Hikvision on X at 11 p.m. Friday, following a National Security Review under the Investment Canada Act. The announcement underscored rising fears that Hikvision’s equipment could enable espionage and transnational repression by Beijing within Canada.

The company has been at the center of global controversy over its role in the mass surveillance and repression of Uyghurs and other Muslim minorities in China's Xinjiang region. Rights groups, including Human Rights Watch and Amnesty International, have documented the use of Hikvision cameras in internment camps and public surveillance grids used to monitor, track, and control the Uyghur population.

The United States began sanctioning Hikvision in 2019, adding it to the Entity List for “human rights violations and abuses” tied to Beijing’s Xinjiang campaign. Further restrictions have followed, including an explicit ban on using federal funds to purchase Hikvision equipment and a broader push to remove its technology from U.S. infrastructure due to espionage risks. The United Kingdom, Australia, and several European countries have also moved to restrict or phase out Hikvision products in sensitive installations, citing similar security concerns.

The decision to expel Hikvision comes as Canada faces rising pressure from Washington to tighten its stance on Chinese state-linked technology and influence operations. In recent years, U.S. officials have repeatedly warned allies that Chinese surveillance systems could be used as trojan horses for espionage and sabotage.

Canada has already barred Huawei and ZTE from its 5G networks, citing national security threats.

Yet in sharp contrast, a decision by British Columbia Premier David Eby’s government to award a major BC Ferries construction contract to Chinese state-owned shipbuilders — facilitated by a billion-dollar low-cost loan from Prime Minister Mark Carney’s government — has renewed national security and economic sovereignty concerns. The move comes as Ottawa navigates the fraught territory of a trade realignment driven by Washington, which is positioning itself for potential conflict with Beijing, particularly over Taiwan.

“Hikvision Canada Inc.’s continued operations in Canada would be injurious to Canada’s national security,” Joly said in a detailed statement. “This determination is the result of a multi-step review that assessed information and evidence provided by Canada’s security and intelligence community.”

She added: “The Government of Canada is prohibiting the purchase or use of Hikvision products in government departments, agencies, and crown corporations. We are further conducting a review of existing properties to ensure that legacy Hikvision products are not used going forward. The Government of Canada welcomes foreign investment — but will never compromise on Canada’s national security.”

While the order compels Hikvision Canada to close its business and exit the country, it does not extend to Hikvision’s affiliates operating outside Canada. However, Joly urged private Canadian entities and citizens to “take note of this decision and make their own decisions accordingly.”

This move against Hikvision marks one of Ottawa’s most forceful measures to date against a Chinese technology giant and is expected to reverberate through provincial and municipal governments as they assess the security of their surveillance infrastructure.

The government’s directive extends to federal agencies and crown corporations, with a sweeping prohibition on future purchases. Existing Hikvision devices will undergo a phased review and replacement process to ensure compliance.

While private businesses are not legally compelled to remove Hikvision equipment, Joly’s advisory signals potential future regulatory tightening and reputational risks for firms that continue to rely on the technology.