China's Huawei is set to reward employee shareholders with a 3 per cent rise in cash dividends that are worth billions of dollars, according to company sources and Reuters calculations - a move expected to boost morale as it battles a US-led drive against its telecom gear.

Axar.az reports citing The Straight Times that, the payout also appears to indicate profit growth as well as confidence the company can survive US accusations that its telecoms network equipment may enable espionage by the Chinese government, analysts said.

Known for its so-called "wolf culture" that demands high levels of dedication from employees in return for high pay, Huawei Technologies Ltd boasts that some 80,000 of its workers own nearly all of the company's shares - a scheme viewed as unique for a firm of its size.

The cash dividend per share for 2018 is expected to rise to 1.05 yuan per share from 1.02 yuan, six employee-shareholder sources told Reuters, citing internal notices handed down over the past month.

Total returns per share dropped 7 per cent to 2.61 yuan, they added. That follows a stock split. There will also be a 1 to 1.56 stock split for 2018, the sources said.

"I am satisfied with the number given the macro environment," said one of sources. Like the other employee shareholders, the source was not authorised to speak to the media and asked not to be identified.

A spokesman for Huawei, the world's largest telecommunications equipment-maker and No. 2 manufacturer of smartphones, said the company does not publicly disclose its dividend policy.

The payout comes amid an unprecedented crisis for Huawei as Washington calls on governments around the world to stop using its gear, particularly in 5G networks.

The United States has also charged Huawei with bank fraud related to sanctions against Iran and is seeking to extradite Meng Wanzhou, its CFO and the daughter of founder Ren Zhengfei, from Canada on related charges. Canada on Friday authorised an extradition hearing.

Huawei has repeatedly denied its equipment represents a security risk and Meng has said she is innocent of the allegations made against her.