It baffles me that people are surprised by this. Huawei has never hidden their status as an instrument of Party Policy. An academic paper was written about it by Christopher Balding and Donald Clarke, using nothing but publicly available sources and China doesn't even conceal the fact that it is state-owned. Until Trump started to target them, they openly bragged about it on their company page, saying they were "proud and honored to be the digital eyes and ears of Chairman Xi's Glorious Chinese Dream of the Great Rejuvenation of the Zhonghua Minzu," and that's a direct quote from the company's English-language mainpage retrieved April 18, 2016.
Huawei denying that they spy for China is like a pedophile denying his support for the Girl Scouts.