China’s Spying Activities: How They Operate and Who They Target

Espionage is a key part of how countries gather information and protect themselves. China has one of the largest intelligence agencies in the world, using paid employees, proxy organizations like the United Front Work Department (UFWD), and even regular people to collect data for the government.

Western Focus Shift

For many years, Western countries focused on Islamic terrorism, especially after the 9/11 attacks. However, they were slow to recognize the threat from China. Chinese spies have three main goals: to influence political and economic trends in favor of China, to gather information on sensitive industries like defense technologies, and to monitor diaspora populations such as the Uyghurs.

FBI’s Warning

The FBI has warned that China’s espionage efforts are a serious threat to the economic wellbeing and democratic values of the United States. They emphasize the need for a whole-of-society response to counter these efforts, which target businesses, academic institutions, researchers, lawmakers, and the general public.

CSIS Survey Findings

The Center for Strategic and International Studies (CSIS) in the USA found 224 incidents of Chinese espionage from 2000 to March 2023, excluding over 1,200 cases of intellectual property theft. This number is higher than any other country, including Russia. The survey noted that 69% of these incidents were reported after Xi Jinping took office.

Impact on the US Economy and Security

The long-term cost to the American economy and national security from Chinese espionage is estimated to be in the billions of dollars. The theft of weapons technology, including nuclear weapons test data, has caused immeasurable damage to national security. In recent years, China has also added the theft of personal information, political coercion, and influence operations to its espionage activities.

Recruitment Tactics

Chinese nationals who come to the US to work or study are often recruited for espionage. They may be offered financial incentives or threatened with punishment of family members still in China. CSIS data shows that 49% of incidents involved Chinese military or government employees, 41% were private Chinese citizens, and 10% were non-Chinese actors, usually Americans recruited by China.

Espionage in Taiwan

Taiwan has been particularly affected by Chinese espionage. Recently, three retired members of Taiwan’s Military Intelligence Bureau were sentenced to imprisonment for creating a spy ring and passing classified information to China. The US has refused to sell top-tier platforms like the F-35 fighter to Taiwan due to such malfeasance within its military.

New Zealand’s Response

New Zealand, a member of the Five Eyes intelligence alliance, has also become more vocal about Chinese espionage. The NZ Secret Intelligence Service released a report highlighting how China uses professional social networking sites to recruit New Zealanders for espionage activities.

China’s Ministry of State Security

China’s Ministry of State Security (MSS) is responsible for counterintelligence, foreign intelligence, domestic surveillance, and national security intelligence. It relies on organizations like the UFWD to gather intelligence. In a 2014 speech, Xi Jinping described the UFWD as a ‘magic weapon’ for China’s rejuvenation.

Recent Espionage Cases

Recent cases of Chinese espionage in the US include Linda Sun, a naturalized American citizen who worked for New York state, and two men accused of running a covert police station in Lower Manhattan. The FBI Director has warned that Beijing poses a ‘multi-pronged assault on our national and economic security.’

China’s Counterclaims

Ironically, China claims to be a victim of espionage. The MSS reported uncovering over 1,000 cases of Taiwanese espionage and arrested Taiwanese political activist Yang Chih-yuan. Two Canadians were also detained by the MSS in 2018, seen as retribution for Canada’s arrest of Huawei CFO Meng Wanzhou.

China’s extensive spy network continues to gather intelligence globally, posing a significant threat to national security and economic wellbeing.