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The Threat Posed by China to America, Part 3

FBI Director Christopher Wray outlines the threat China poses to U.S. economic and national security. He delivered the review during a meeting with the Hudson Institute in Washington, D.C.

Threats to the Rule of Law

All the while, China’s government and Communist Party have brazenly violated well-settled norms and the rule of law.

Since 2014, Chinese General Secretary Xi Jinping has spearheaded a program known as “Fox Hunt.” Now, China describes Fox Hunt as some kind of international anti-corruption campaign—it is not. Instead, Fox Hunt is a sweeping bid by General Secretary Xi to target Chinese nationals whom he sees as threats and who live outside China, across the world. We’re talking about political rivals, dissidents, and critics seeking to expose China’s extensive human rights violations.

Hundreds of the Fox Hunt victims that they target live right here in the United States, and many are American citizens or green card holders. The Chinese government wants to force them to return to China, and China’s tactics to accomplish that are shocking. For example, when it couldn’t locate one Fox Hunt target, the Chinese government sent an emissary to visit the target’s family here in the United States. The message they said to pass on? The target had two options: return to China promptly, or commit suicide. And what happens when Fox Hunt targets refuse to return to China? In the past, their family members both here in the United States and in China have been threatened and coerced, and those back in China have even been arrested for leverage.

I’ll take this opportunity to note that if you believe the Chinese government is targeting you—that you’re a potential Fox Hunt victim—please reach out to your local FBI field office.

Exploiting Our Openness

Understanding how a nation could engage in these tactics brings me to the third thing the American people need to remember: that China has a fundamentally different system than ours—and it’s doing all it can to exploit the openness of ours while taking advantage of its own closed system.

Many of the distinctions that mean a lot here in the United States are blurry or almost nonexistent in China—I’m talking about distinctions between the government and the Chinese Communist Party, between the civilian and military sectors, and between the state and the “private” sector.

For one thing, an awful lot of large Chinese businesses are state-owned enterprises—literally owned by the government, and thus the Party. And even if they aren’t, China’s laws allow its government to compel any Chinese company to provide any information it requests—including American citizens’ data.

On top of that, Chinese companies of any real size are legally required to have Communist Party “cells” inside them to keep them in line. Even more alarmingly, Communist Party cells have reportedly been established in some American companies operating in China as a cost of doing business there.

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These kinds of features should give U.S. companies pause when they consider working with Chinese corporations like Huawei—and should give all Americans pause, too, when relying on such a company’s devices and networks. As the world’s largest telecommunications equipment manufacturer, Huawei has broad access to much that American companies do in China. It’s also been charged in the United States with racketeering conspiracy and has, as alleged in the indictment, repeatedly stolen intellectual property from U.S. companies, obstructed justice, and lied to the U.S. government and its commercial partners, including banks.

The allegations are clear: Huawei is a serial intellectual property thief, with a pattern and practice of disregarding both the rule of law and the rights of its victims. I have to tell you, it certainly caught my attention to read a recent article describing the words of Huawei’s founder, Ren Zhengfei, about the company’s mindset. At a Huawei research and development center, he reportedly told employees that to ensure the company’s survival, they need to—and I quote—“surge forward, killing as you go, to blaze us a trail of blood.” He’s also reportedly told employees that Huawei has entered, to quote, “a state of war.” I certainly hope he couldn’t have meant that literally, but it’s hardly an encouraging tone, given the company’s repeated criminal behavior.

In our modern world, there is perhaps no more ominous prospect than a hostile foreign government’s ability to compromise our country’s infrastructure and devices. If Chinese companies like Huawei are given unfettered access to our telecommunications infrastructure, they could collect any of your information that traverses their devices or networks. Worse still: They’d have no choice but to hand it over to the Chinese government if asked—the privacy and due process protections that are sacrosanct in the United States are simply non-existent in China.

Responding Effectively to the Threat

The Chinese government is engaged in a broad, diverse campaign of theft and malign influence, and it can execute that campaign with authoritarian efficiency. They’re calculating. They’re persistent. They’re patient. And they’re not subject to the righteous constraints of an open, democratic society or the rule of law.

China, as led by the Chinese Communist Party, is going to continue to try to misappropriate our ideas, influence our policymakers, manipulate our public opinion, and steal our data. They will use an all-tools and all-sectors approach—and that demands our own all-tools and all-sectors approach in response.

Our folks at the FBI are working their tails off every day to protect our nation’s companies, our universities, our computer networks, and our ideas and innovation. To do that, we’re using a broad set of techniques—from our traditional law enforcement authorities to our intelligence capabilities.

And I will briefly note that we’re having real success. With the help of our many foreign partners, we’ve arrested targets all over the globe. Our investigations and the resulting prosecutions have exposed the tradecraft and techniques the Chinese use, raising awareness of the threat and our industries’ defenses. They also show our resolve and our ability to attribute these crimes to those responsible. It’s one thing to make assertions—but in our justice system, when a person, or a corporation, is investigated and then charged with a crime, we have to prove the truth of the allegation beyond a reasonable doubt. The truth matters—and so, these criminal indictments matter. And we’ve seen how our criminal indictments have rallied other nations to our cause—which is crucial to persuading the Chinese government to change its behavior.

We’re also working more closely than ever with partner agencies here in the U.S. and our partners abroad. We can’t do it on our own; we need a whole-of-society response. That’s why we in the intelligence and law enforcement communities are working harder than ever to give companies, universities, and the American people themselves the information they need to make their own informed decisions and protect their most valuable assets.

Confronting this threat effectively does not mean we shouldn’t do business with the Chinese. It does not mean we shouldn’t host Chinese visitors. It does not mean we shouldn’t welcome Chinese students or coexist with China on the world stage. But it does mean that when China violates our criminal laws and international norms, we are not going to tolerate it, much less enable it. The FBI and our partners throughout the U.S. government will hold China accountable and protect our nation’s innovation, ideas, and way of life—with the help and vigilance of the American people.

Photo: China’s first home-built aircraft carrier leaves Dalian in Northeast China’s Liaoning province for sea trials (China Defence Ministry)