The development comes as the United States is exerting pressure on its allies to block Huawei, the world's biggest maker of telecommunications network equipment, over data security concerns.
Orange, a leading telecommunications company in Poland, says it's cooperating with the Polish security services who say a Polish employee at the company and a Chinese manager for tech giant Huawei have been accused of spying on Poland for China.
Huawei didn't immediately respond to a request for comment.
Local media identified the Chinese man as a Huawei director. If convicted, they could face up to 10 years in prison each.
"Huawei has always abided by applicable laws and regulations of the country where it is located... and requires all employees to abide by the country's laws and regulations", it said.
The allegations were that Huawei was using its kit to spy on other governments - claims the firm has strenuously and repeatedly denied.
Seeking to distance itself from the incident, Huawei said in a statement it had sacked Wang Weijing, whose "alleged actions have no relation to the company".
The two men were arrested on Tuesday and are suspected of having "worked for Chinese services and to the detriment of Poland", said Polish special services spokesman Stanislaw Zaryn.
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Huawei has been iced out of bidding on massive contracts for American, British, and Australian communications infrastructure like upcoming 5G networks.
He said their apartments and workplaces were searched, adding that the Polish suspect had worked "for several state institutions".
Australia and New Zealand banned Huawei equipment from the planned 5G networks of carriers in the countries, and the head of British spy agency MI6 said last month the government needs to decide whether to ban the company.
But unlike Meng, who was detained for possible extradition to the U.S., Wang is suspected of conducting espionage against Poland.
Poland's internal affairs minister, Joachim Brudzinski, called for the European Union and North Atlantic Treaty Organisation to work on a joint position over whether to exclude Huawei from their markets.
The European Union and North Atlantic Treaty Organisation should work on a joint position on whether to exclude Chinese telecommunications equipment maker Huawei from their markets, Poland's internal affairs minister, Joachim Brudzinski, said on Saturday.