The U.S. charge of racketeering against Huawei relates to competition rather than law, said Chinese tech giant Huawei on Thursday in response to U.S. accusation.

U.S. prosecutors on Thursday accused Huawei of stealing trade secrets and helping Iran track protesters in its latest indictment against the Chinese company, escalating the U.S. battle with the world's largest telecommunications equipment maker.

In the indictment, Huawei was charged with conspiring to steal trade secrets from six U.S. technology companies and violating a racketeering law typically used to combat organized crime.

It also contains new allegations about the company's involvement in countries subject to sanctions. Among other accusations, it says Huawei installed surveillance equipment in Iran that was used to monitor, identify, and detain protesters during the 2009 anti-government demonstrations in Tehran.

The indictment was "part of an attempt to irrevocably damage Huawei's reputation and its business for reasons related to competition rather than law enforcement," said a Huawei spokesperson.

It called the racketeering accusation "nothing more than a contrived repackaging of a handful of civil allegations that are almost 20 years old."

CGTN talked to international executive advisor Tao Zhang on the impact of the U.S. indictment.

(With input from Reuters)