China appeals over scuttled 3Com deal

Beijing has appealed to Washington for "fair and legal" treatment of an investment by Huawei Technologies in US communications equipment company 3Com, the Financial Times reported. The US$2.2 billion deal with Huawei and US private equity firm Bain Capital fell through due to security concerns of the Committee on Foreign Investment in the US over sensitive technologies owned by 3Com. A Foreign Ministry spokesman said the investment was "in accordance with market rules," adding that he hoped the US would "deal with this issue fairly." The comments reflect feelings among Beijing’s policy makers that the US was attempting to justify protectionism. 3Com said the three parties were committed to continuing discussions and taking steps to address US political concerns.