Skip to content

US-China Relations - 47. page

DHS: China Is a Long-term Strategic Threat to the U.S.

In October, the Department of Homeland Security (DHS) issued a first-of-its-kind Homeland Threat Assessment. The report mentioned major threats that countries such as China and Russia pose, including cybersecurity and foreign influence. Acting Secretary of Homeland Security Chad Wolf called China a long-term strategic threat to the United States.

The report stated that the United States faces potential threats that China poses in terms of cyber security, foreign influence, and supply chains.

On October 6, Wolf tweeted, “The most long term strategic threat to Americans, our Homeland, and our way of life is the threat from China.”

The report said, “China already poses a high cyber espionage threat to the Homeland and Beijing’s cyber-attack capabilities will grow.”

“Chinese cyber actors will, almost certainly, continue to engage in wide-ranging cyber espionage to steal intellectual property and personally identifiable information (PII) from U.S. businesses and government agencies to bolster their civil-military industrial development, gain an economic advantage, and support intelligence operations. China possesses an increasing ability to threaten and potentially disrupt U.S. critical infrastructure.”

DHS expects China’s cyber operations against U.S. companies to focus on critical manufacturing, defense, the industrial base, energy, healthcare, and transportation sectors.

“Chinese operatives probably are waging disinformation campaigns using overt and covert tactics—including social media trolls— to shift responsibility for the pandemic to other countries, including the United States.” “Since August 2019, more than 10,000 suspected fake Twitter accounts with suspected ties to the Chinese Government have been involved in a coordinated influence campaign.”

On the 2020 U.S. presidential election, “China likely will continue using overt and covert influence operations to denigrate the U.S. Presidential Administration and its policies and to shape the U.S. domestic information environment in favor of China. China will further use its traditional ‘soft power’ influence toolkit—overt economic measures and lobbying—to promote U.S. policies more aligned with China’s interests.”

China will also “seek to cultivate influence with state and local leaders directly and indirectly, often via economic carrots and sticks such as informal and legal or social agreements that seek to promote cultural and commercial ties. Chinese officials calculate that U.S. state- and local-level officials enjoy a degree of diplomatic independence from Washington and may leverage these relationships to advance policies that are in China’s interest during times of strained relations.”

In terms of economic security, “China and Russia will continue to represent the top threats to U.S. supply chain security, given the sophisticated intelligence and cyber capabilities they can use to infiltrate trusted suppliers and vendors to target equipment and systems. Criminal actors also will engage in efforts to compromise supply chains, with such methods as inserting malicious code in a third party’s software to conduct operations against firms that use the software.”

The report identifies China’s threat in U.S. supply chains of medical products. DHS is “targeting illicit Chinese manufacturers who produced and disseminated fraudulent or prohibited COVID-19 PPE and medical supplies to the United States. This has resulted in the seizure of over 1,000,000 FDA-prohibited COVID-19 test kits and 750,000 counterfeit masks.”

“China is collecting information on U.S. supply chain shortages and is using the COVID-19 crisis to build additional leverage with the United States. … China could exploit future shortages of critical supplies by conditioning their provision on U.S. acquiescence in other matters important to Beijing.”

On academic institutions and research, “China—which has mobilized vast resources to support its industrial development and defense goals—will continue exploiting U.S. academic institutions and the visa system to transfer valuable research and intellectual property (IP) that Beijing calculates will provide a military or economic advantage over the United States and other nations.”

“China will remain the leading source of U.S. trade policy violations. Actions by China-based criminal organizations will continue to present the principal challenge to U.S. enforcement of trade laws and policies in the year ahead, despite progress in U.S.-China negotiations aimed at addressing this issue.”

Wolf told CBS during an interview that the China threat “cuts across a variety of different threats, from the cyber threats we see, from foreign influence, to supply chain security, to exploiting our academic and visa systems, foreign investment here in the U.S., trade policy violations and the like.” He said, “It goes on and on and on. …”  “Just across the board, threat after threat stream, we see China playing a very significant and enhanced role really trying to do the U.S. some long-term harm.”

Source: Voice of America, October 7, 2020
https://www.voachinese.com/a/dhs-homeland-threat-assessment-china-20201007/5612461.html

U.S. Bans CCP Members from Immigrating to the U.S.

On October 2, U.S. Citizenship and Immigration Services issued a policy manual to “address inadmissibility based on membership in or affiliation with the Communist Party or any other totalitarian party. Membership in or affiliation with the Communist Party or any other totalitarian party is inconsistent and incompatible with the Naturalization Oath of Allegiance to the United States of America, which includes pledging to ‘support and defend the Constitution and laws of the United States.’” The policy also states that “unless otherwise exempt, any intending immigrant who is a member or an affiliate of the Communist Party or any other totalitarian party (or subdivision or affiliate), domestic or foreign, is inadmissible to the United States.”

The past immigration laws have regulations on the immigration of Communists and members of totalitarian political parties. The latest guidelines mainly indicate that the requirements of the federal immigration law must be strictly enforced. They clearly stipulate that Communists and related personnel should be prevented from obtaining immigration or permanent resident status in the U.S.

It has been reported that some Chinese immigrants and students studying in the U.S. have gone through the procedures to withdraw from the Communist Party through relevant means. Such means include proving proof that they have withdrawn from the Communist Party through a newspaper.

Since the beginning of this year, the conflicts and disputes between the U.S. and China over issues such as the trade war, COVID 19, Huawei, and Hong Kong have escalated step by step. In addition, in recent years, many Chinese scholars and international students have stolen U.S. technology secrets, forcing the U.S. to launch a series of espionage cases. Sanctions contain the gradual tightening of visas for certain individuals and international students. In early July, citing violations of human rights, the U.S. Department of the Treasury added four Chinese officials, including Xinjiang Party Secretary Chen Quanguo, to the sanctions list, banning them from entry into the U.S. and freezing their assets.

Washington’s recent sanctions target not only high-ranking officials in the Chinese government, but also personnel from key companies and organizations. U.S. Secretary of State Pompeo stated on July 15 that the U.S. will “impose visa restrictions on certain employees of Chinese technology companies like Huawei that provide material support to regimes engaging in human rights violations and abuses globally.” Prior to this, the U.S. began to impose visa restrictions on China’s official media reporters. At the beginning of June, the U.S. also announced that it would no longer issue graduate visas to international students related to the Chinese military, and that visas already issued will also become invalid.

Source: Voice of America, October 3, 2020
https://www.voachinese.com/a/USCIS-new-policy-guidance-indamissiblity-based-on-party-membership-20201003/5607582.html

SMIC Stockpiling Supplies Far More Than One Year’s Needs

Semiconductor Manufacturing International Corporation (SMIC) is the Chinese partially state-owned publicly-listed semiconductor foundry company. The U.S. Department of Commerce has placed an export restriction on its suppliers. It is scaling up its procurement from upstream suppliers in the United States, Europe, and Japan, with a size exceeding a full-year’s demand for 2020. The procurement items include etching, lithography and wafer cleaning equipment. The purchase of consumables used to maintain the operation of the equipment is also more than one year’s need. SMIC is even cooperating with other Chinese chip manufacturers to establish a shared reserve of such parts, and has established a central warehouse to store these products.

A source from a U.S. chip equipment manufacturer said that SMIC is eager to stock up on equipment. The company ordered more equipment than needed for its current expansion plan. At the end of last year, ASML (ASML.US), Europe’s largest chip manufacturing equipment manufacturer, shipped an advanced extreme ultraviolet lithography (EUV) chip production tool to SMIC. However, the transaction has been put off.

SMIC relies heavily on foreign semiconductor equipment suppliers, including U.S. based Applied Materials, Lam Research, KLA, Taradyne, ASML in the Netherlands and Tokyo in Japan.

Source: Sina.com, October 4, 2020
https://finance.sina.com.cn/tech/2020-10-04/doc-iivhvpwz0355862.shtml

People’s Daily: U.S. Presidential Debate Should Not Discuss China

Hours before the September 29, 2020, presidential debate, People’s Daily, the official newspaper of the Central Committee of the Chinese Communist Party (CCP), published a commentary titled, “The U.S. Election Should not Manipulate the ‘China issue’ as in a Spectacle.”

 

The author of the commentary was Zhongsheng, a homophonic abbreviation of the “Voice of China” which is generally viewed as representing the opinion of the CCP leadership on international issues.

 

The commentary stated, “It must be emphasized that the U.S. election is an internal affair of the United States. China is not interested in it and has never interfered with it. Distractions and shifting conflicts cannot resolve the problems that the United States faces. The biggest ‘enemy’ of the United States is itself.”

 

The commentary further stated, “As an independent country, China has the right to safeguard its sovereignty, security, and development interests. It will not sacrifice its principles to cooperate with the U.S. election game. Some U.S. politicians should immediately stop playing tricks that drag China into American domestic politics.”

 

Source: People’s Daily, September 29, 2020

http://paper.people.com.cn/rmrb/html/2020-09/29/nw.D110000renmrb_20200929_2-03.htm

LTN: U.S. Sanctions China’s Chip Maker SMIC

Major Taiwanese news network Liberty Times Network (LTN) recently reported that, according to an official document that the U.S. Commerce Department’s Bureau of Industry and Security (BIS) issued, the U.S. government has decided to apply export controls on goods sold to SMIC based on the U.S. Export Administration Regulations (EAR) Section 744.21. The restriction is based on the fact that SMIC products are ultimately used for military purposes. The U.S. Department of Commerce has informed U.S. export companies about this decision. The document listed SMIC and its branches as well as directly related companies inside and outside of China. SMIC is China’s largest chip maker and Huawei’s only hope for a domestic supply of chips. However, SMIC depends heavily on U.S. technology for manufacturing equipment and software. Also, SMIC technology is generations behind leading chip-making vendors like TSMC (Taiwan Semiconductor Manufacturing Company). This new U.S. sanction will place huge pressure on Huawei as well as the entire Chinese chip-making industry.

Source: LTN, September 26, 2020
https://ec.ltn.com.tw/article/breakingnews/3304204

Chinese Netizens Challenge China’s Spokesperson’s Comments on US COVID-19 Death Count

On September 25, Hua Chunying, the spokesperson for the Ministry of Foreign Affairs, once again tweeted and criticized the U.S. In the tweet, Hua wrote “200,000. This is not cold statistics but real lives. Without the right to survival, #HumanRights is only an illusion and nonsense.” At the same time, she attached a picture of a poster from the #COVIDMemorialProject with the following words, “In memory of the 200,000+ Americans who have needlessly lost their lives to COVID-19.”

After Hua’s remarks were posted on Sina Weibo, many people criticized them and made sarcastic remarks. By September 27, all the negative comments had been deleted. Below is the translation of some of those comments that were in the screenshot:

“Not sure how many deaths you (the CCP) have concealed! Have Americans been denied their human rights? Remember those people from Hubei (who died). Their names were not even reported.”

“You only care about fighting with foreign countries and don’t even care about the massive flooding in China!”

“Those who died in Wuhan do not mean anything! I prefer human rights rather than the right to survive. I own the right to survive and it has nothing to do with others.”

“The pigs in a pigpen are limited in their rights to survive. Do they have human rights?”

“The U.S. has compared human rights and freedom in the U.S. with what is going on in China (in the CCP), and China (the CCP) is now comparing its death toll with the death toll in the United States. China has taken the comparison and called its lower death toll a so-called victory. The CCP uses it as evidence that the Chinese people enjoy better human rights. Thus they deluded themselves that they have won a mental victory.”

“Auntie Hua, you are an Idiot. You will become a schizophrenic sooner or later.”

Comments were also left on twitter:

AbhiSpeaksStrait: “They have died because of the China Vi-Rus.”

Phantom: “What’s the real Chinese number?”

Jeri Carroll: “These numbers are not accurate. Most were in nursing homes. Most died from other medical conditions and it was then listed as COVID. It was fraud to the extreme in order to get federal money.”

Source:
1. Epoch Times, September 27, 2020
https://www.epochtimes.com/gb/20/9/27/n12433654.htm
2. Twitter

China’s C919 Aircraft Repeatedly Delayed amid Doubts about U.S. Sanctions

The Comac C919, which aerospace manufacturer Commercial Aircraft Corporation of China (COMAC) developed is China’s first domestically-made large passenger aircraft. It now has 815 orders from 28 customers. As the delivery date of the aircraft has been repeatedly delayed, doubts have emerged as to whether China’s aircraft industry will come under U.S. sanctions, following in the footsteps of Huawei.

Aiming to compete against the Airbus A320neo and the Boeing 737MAX, the C919 was originally scheduled to roll out its first aircraft by the end of 2015. However, it did not make its maiden flight until May 2017.

Voice of America quoted an internal document from COMAC that the company’s goal was to produce 150 C919’s annually after 2019, but did not provide a detailed schedule. Its first customer, China Eastern Airlines, is scheduled to receive the first C919 in 2021.

Shukor Yusof, founder of the aviation consulting firm Endau Analytics, has reservations about whether COMAC can deliver on time. He believes that although the aircraft is almost completed, it may not deliver until 2022 because China depends greatly on third-party suppliers from Europe and the United States. The impact of the COVID-19 epidemic is another factor.

Although China’s state media claimed that the C919 has achieved a localization rate of nearly 60 percent, the aircraft relies, to a large extent, on Western technology. Its propeller systems, flight control system, fuel system, power supply system and landing gear either use foreign products directly or come from joint ventures with foreign companies. China is mainly responsible for the design of the fuselage, wings, tail and interior.

Scott Kennedy, a scholar at the Center for Strategic and International Studies (CSIS), considers that China’s dependency on the West for China’s aircraft parts and assembly is far greater than Huawei’s dependence. Due to China’s strategic path in recent years and the tension between the U.S. and China, it is very likely that the U.S. will sanction China’s aviation industry in the future.

Source: Central News Agency, September 22, 2020
https://www.cna.com.tw/news/acn/202009220343.aspx

CCP Continues Attacking Miles Yu

The Chinese Communist Party (CCP) keeps attacking Miles Yu, a chief China policy adviser to U.S. Secretary of State Mike Pompeo. Miles Yu also addressed a panel, saying the Hong Kong experiment of one-country, two systems is a “bankrupt idea.” After having the high school that Yu attended in China chisel his name off the honor stone tablet, the CCP recently arranged a group of people of his genealogy to take his name out of their genealogical chart.

An online video posted last month showed a group of seniors in the Yu genealogy in Anhui Province. China held a meeting to denounce Miles Yu, though he does not have a direct relative living there. The meeting room hung up a banner that said, “Angrily condemn traitor Miles Yu, remove him from the genealogical chart, and drive him out of the genealogical chart.” The group announced six “crimes” that Yu had committed but the video didn’t show them.

The traditional Chinese culture emphasized a person’s heritage and genealogy. Taking a person out of the genealogical chart used to be a great humiliation for that person. However, after the CCP took control of China, it destroyed the traditional culture, so the genealogical charts do not mean much to the Chinese people nowadays. It is somehow bizarre for the CCP to use the genealogical chart to humiliate Miles Yu.

On September 19, Miles responded to this incident on Twitter:

“Taking my name off a genealogical chart (族谱?)that I have never heard of, and never cared about, seems bizarre. The farce crumbles under the weight of its absurdity.”

Sources:
1. Chinascope, July 31, 2020

Pompeo’s Advisor’s Name Removed from Honor Stone in China


2. Radio France International, September 14, 2020
https://www.rfi.fr/tw/中國/20200914-蓬佩奧智囊余茂春被逐出族譜
3. Radio France International, September 19, 2020
https://www.rfi.fr/cn/政治/20200919-被斥-漢奸-逐出族譜-余茂春-鬧劇在其荒謬的重壓下瓦解
4. Twitter, Miles Yu’s account, September 19, 2020