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US Fears China’s ‘Nation of Spies’ Will Target Foreign Firms

China’s Ministry of State Security has encouraged citizens to join its counter-espionage work, offering rewards for information


A staff member wearing a face mask walks past United States and Chinese flags set up before a meeting between Treasury Secretary Janet Yellen and Chinese Vice Premier He Lifeng at the Diaoyutai State Guesthouse in Beijing, China, Saturday, July 8, 2023. Mark Schiefelbein/Pool via REUTERS/File Photo
A staff member wearing a face mask walks past United States and Chinese flags set up before a meeting between Treasury Secretary Janet Yellen and Chinese Vice Premier He Lifeng at the Diaoyutai State Guesthouse in Beijing, China in July 2023. Photo: Reuters

 

The United States has said it’s concerned about China’s call to its citizens to spy for the party, warning that foreign companies in the country could be punished for regular business activities.

China’s Ministry of State Security on Tuesday said China should encourage its citizens to join counter-espionage work, including creating channels for individuals to report suspicious activity and rewarding them for doing do.

A system that makes it “normal” for regular people to participate in counter-espionage should be established, the ministry said.

That followed an expansion of China’s counter-espionage law that took effect in July and bans the transfer of information it sees as related to national security. It has alarmed the United States, which has warned that foreign businesses in China could be targeted.

 

Also on AF: China Proposes Eight-Minute Limit on Smartphone Use by Kids

 

“We do have concerns over it, certainly encouraging citizens to spy on each other is something that’s of great concern,” State Department spokesperson Matt Miller told a daily news briefing.

“We are closely monitoring the implementation of China’s new counter-espionage law as we have been, which as written greatly expands the scope of what activities are considered espionage,” he said.

In recent years, China has arrested and detained dozens of Chinese and foreign nationals on suspicion of espionage, including an executive at Japanese drugmaker Astellas Pharma in March. 

Australian journalist Cheng Lei, accused by China of providing state secrets to another country, has been detained since September 2020.

China’s declaration that it is under threat from spies comes as Western nations, most prominently the United States, accuse China of espionage and cyberattacks, a charge that Beijing has rejected.

 

  • Reuters with additional editing by Sean O’Meara

 

Read more:

China Calls on People to be Nation of Spies For the Party

China’s New Anti-Espionage Law Puts Firms at Risk, US Warns

China Hiring Uni Students for Industrial Espionage – FT

 

 

Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.