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Science Investigation Raises Ethical Concerns Over Fatal Gene-Editing Trial in China

Science magazine and the watchdog Retraction Watch jointly published investigations on July 23 detailing the death of a six-year-old Chinese girl following an experimental gene-editing treatment. The reports have reignited concerns over research ethics, informed consent, and regulatory oversight in China’s rapidly advancing biotechnology sector.

According to the investigations, the girl became the world’s first known patient to receive an in vivo base-editing therapy targeting the brain. Researchers at Shanghai Xinhua Hospital injected trillions of viral vectors carrying a customized gene-editing system into her cerebrospinal fluid to treat a rare genetic disorder. Her family reportedly paid US$860,000 to help fund development of the experimental therapy. The child developed a fever and signs of kidney injury after treatment and died one week later. Hospital investigators concluded that the most likely cause of death was an immune reaction to the viral delivery vector.

The investigations further report that both the girl’s death and her family’s financial support for the research were omitted from a Nature paper published by the research team in February 2026. According to Science, seven international experts in gene therapy and bioethics questioned whether the parents had been fully informed of the treatment’s risks and whether the trial should have proceeded given its highly uncertain prospects. The reports also raise questions about the validity of the published animal data and whether Nature should correct or reconsider the paper.

The case has intensified scrutiny of research integrity and medical ethics in China. Although the hospital reportedly received an administrative penalty, no public disciplinary action has been announced against the lead researcher, renewing questions about accountability and oversight in China’s biomedical research system. Source: Epoch Times, July 26, 2026
https://www.epochtimes.com/gb/26/7/25/n14817406.htm

China and the United States Accelerate Competing AI Alliances

Beijing moved earlier than the United States to establish a national strategy for artificial intelligence (AI) and shape global AI governance. China issued the “New Generation Artificial Intelligence Development Plan” in 2017, setting the goal of becoming the world’s leading AI innovation center by 2030 while calling for active participation in international AI governance and standards-setting. It subsequently launched the “World Artificial Intelligence Conference (WAIC)” as a state-backed platform for AI diplomacy, introduced national AI ethics guidelines in 2021, and unveiled the “Global AI Governance Initiative” at the Belt and Road Forum in 2023.

On the U.S. side, the Trump administration’s first term emphasized maintaining American leadership in AI through deregulation, market-driven innovation, and limited government intervention. The “American AI Initiative,” launched in 2019, marked the first U.S. national AI strategy, while the United States also joined multilateral efforts such as the “Global Partnership on AI (GPAI).” Following President Trump’s return to office in 2025, the administration shifted its focus to winning the global AI race through deregulation, rapid infrastructure expansion, strategic competition with China, and reducing ideological constraints on AI development.

The Trump administration further strengthened cooperation with allied countries by launching the “Pax Silica Declaration” in December 2025 to establish a trusted AI and semiconductor supply chain independent of China. An initial group of seven countries—including Japan, South Korea, Australia, the United Kingdom, Singapore, and Israel—signed the declaration, while Taiwan, the Netherlands, Canada, the United Arab Emirates, and the OECD participated in various capacities. At a second summit in Washington in June 2026, the coalition expanded to 35 countries and economies, which jointly endorsed the “Joint Statement on AI Opportunity,” emphasizing trusted supply chains, pro-growth, light-touch regulation, and accelerated AI infrastructure development.

Twenty days later, on July 16, 2026, China established the “World AI Cooperation Organization” (WAICO) in Shanghai with 29 founding members. The emergence of these two blocs signals an increasingly polarized global AI landscape, with competing approaches to AI governance, supply chains, and technology standards. China’s coalition consists primarily of Russia, Belarus, Cuba, Venezuela, Brazil, and developing countries in the Global South. While Beijing promotes an alternative framework centered on open-source cooperation, data sovereignty, and equality, the bloc’s combined technological capabilities remain significantly weaker than those of the U.S.-led alliance.

Source: Epoch Times, July 26, 2026
https://www.epochtimes.com/gb/26/7/25/n14817344.htm

Chinese State-Owned Enterprises Reportedly Ordered to Replace Anthropic’s Claude Code

A notice circulating on Chinese social media claims that state-owned enterprises in Shandong Province have been instructed to investigate employees’ use of Anthropic’s Claude Code and other foreign AI coding assistants and replace them with domestic alternatives. The notice alleges that Claude Code contains a hidden detection mechanism that identifies users in China’s time zone or those accessing the service through proxy servers and transmits related information back to Anthropic’s servers.

The directive reportedly originated from provincial cyberspace authorities and was distributed throughout Shandong’s state-owned enterprise system. It follows a July 8 advisory issued by China’s Ministry of Industry and Information Technology, which warned that certain versions of Claude Code contained a potential “security backdoor” and recommended uninstalling or upgrading the affected software.

Chinese technology media reported that reverse engineering found Claude Code collected information such as users’ system time zones and proxy settings and attached hidden markers to certain network connections. However, a Chinese network engineer said such behavior does not necessarily indicate the existence of a backdoor, noting that many software products collect similar information for security and anti-abuse purposes. He argued that Beijing demands Chinese software to set up “backdoor” but warns about foreign software for “backdoor” activity, to reinforce public distrust of foreign technology.

Chinese technology media reported that reverse engineering found Claude Code collected information such as users’ system time zones and proxy settings and attached hidden markers to certain network connections. However, a Chinese network engineer said such behavior does not necessarily indicate the existence of a backdoor, noting that many software products collect similar information for security and anti-abuse purposes. He argued that while Beijing requires domestic software to incorporate “backdoors,” it simultaneously portrays similar data collection by foreign software as evidence of espionage or security risks, reinforcing public distrust of foreign technology.

Source: Epoch Times, July 18, 2026
https://www.epochtimes.com/b5/26/7/17/n14811411.htm/amp

Kimi K3 Identifies Itself as Claude, Reviving Debate Over China’s AI Distillation Practices

China’s Moonshot AI recently released its latest large language model, Kimi K3, claiming performance comparable to leading models such as Claude and GPT-5-class systems. Chinese media have promoted Kimi as a domestic alternative to Claude and ChatGPT. However, user testing has reignited questions over whether the model was trained using outputs generated by Anthropic’s Claude.

Screenshots circulating online show a user said, “hey kimi hows it going!” and Kimi K3 responded with: “Hey! Doing well, thanks for asking! Quick heads up though—I’m Claude, not Kimi. Kimi is a different AI assistant (made by Moonshot AI). Easy mix-up, no worries!”

Similar behavior was previously observed in Kimi K2.5, which occasionally identified itself as Claude after extended conversations or when asked directly about its identity. The behavior resembles patterns described by Anthropic, that models distilled or trained on Claude-generated outputs may inherit Claude’s self-identification and response characteristics.

The incident has renewed scrutiny of Chinese AI developers’ use of model distillation—a technique that trains smaller models on the outputs of more advanced systems to reduce development costs and accelerate deployment. OpenAI has previously accused DeepSeek of improperly using ChatGPT-generated data. In addition, Anthropic alleged in a June letter to the U.S. Senate Banking Committee that operators linked to Alibaba’s Qwen AI laboratory used nearly 25,000 fraudulent accounts to generate approximately 28.8 million interactions with Claude in an effort to harvest model outputs. The repeated identity confusion exhibited by Kimi has fueled further speculation that Chinese AI developers may be relying extensively on distilled outputs from leading U.S. models.

Source: NTDTV, July 19, 2026
https://www.ntdtv.com/b5/2026/07/19/a104116746.html

Dutch Report Warns of CCP Interference in Strategic Industries

A report released on July 3 by the Hague Centre for Strategic Studies (HCSS) and the China Knowledge Network (CKN) warns that the Chinese Communist Party (CCP) is employing a broad range of foreign interference tactics to expand its influence over the Netherlands’ strategic industries, particularly the semiconductor, maritime, and aerospace sectors. The report identifies cyber espionage, talent recruitment, economic coercion, information operations, legal pressure, and supply chain leverage as key tools used by Beijing.

The report identifies Dutch semiconductor giant ASML as a primary target because of its global monopoly on commercial extreme ultraviolet (EUV) lithography machines, which are essential for producing advanced semiconductors used in cutting-edge electronics and military systems. According to the report, the CCP has sought to acquire ASML’s technology through talent recruitment, academic collaboration, and reverse engineering, while also using rare earth export controls to exert pressure on the company’s supply chain. Other semiconductor firms, including NXP, are also identified as targets.

In the maritime sector, the report warns that Chinese state-owned enterprises, including COSCO Shipping Ports and China Merchants Port Holdings, have established significant operational roles at the Port of Rotterdam. It cautions that, in a crisis, Beijing could exploit these positions through cyber espionage, data access, or targeted disruption, potentially affecting European energy supplies, industrial production, and NATO logistics. The report concludes that China’s growing influence over Dutch strategic industries could constrain the Netherlands’ policy options, delay military preparedness, and complicate coordination with allies in the event of a Taiwan Strait conflict.

Source: Epoch Times, July 16, 2026
https://www.epochtimes.com/gb/26/7/15/n14810251.htm

Xi Jinping Calls for New Global AI Order to Challenge U.S. Leadership

At the 2026 World Artificial Intelligence Conference (WAIC) in Shanghai, Xi Jinping called for a new global AI governance framework, positioning China as an alternative to the U.S.-led AI order. He described China’s open-source AI models as a global public good and argued that AI development and governance should be driven by international cooperation rather than dominated by any single country.

Xi criticized the “overextension of the national security concept” in AI governance, an apparent reference to U.S. technology restrictions on China. He announced that China will provide 5,000 AI training opportunities for developing countries over the next five years, expand AI cooperation with BRICS, ASEAN, Latin America, and Africa, and make its AI-powered weather forecasting and early warning system available to 30 countries.

Xi also highlighted the launch of the Chinese-initiated World AI Cooperation Organization (WAICO), which reportedly has 29 member states. The initiative reflects Beijing’s broader effort to shape global AI governance, promote Chinese AI standards, and strengthen technological partnerships with the Global South as strategic competition with the United States intensifies.

Source: Deutscher Welle, July 17, 2026
https://www.dw.com/zh/习近平倡议中国建立全球ai新秩序-挑战美国主导地位/a-78007555

China Successfully Recovers Orbital-Class Rocket Booster for the First Time

China announced on July 10 that it had successfully recovered an orbital-class rocket booster for the first time, marking a major milestone in its effort to develop reusable launch vehicle technology. According to state media, the booster from a Long March-10B launch vehicle separated from the upper stage about six minutes after liftoff, executed a controlled vertical descent, and was successfully captured by a recovery net mounted on an offshore platform. Chinese officials described the test as a major technological breakthrough.

Beijing has identified reusable rocket technology as a national priority and has relaxed financing rules to support the country’s commercial space sector. The technology is considered essential for reducing launch costs and enabling the rapid deployment of China’s planned satellite constellations, which are widely viewed as potential competitors to SpaceX’s Starlink network. The Long March-10B is also part of China’s crewed lunar program, which aims to land astronauts on the Moon by 2030.

Despite this milestone, China still trails the United States by a considerable margin in reusable launch capabilities. SpaceX has completed hundreds of successful booster recoveries and routinely reuses boosters at a rapid operational pace, while China has achieved only its first successful recovery and plans just a limited number of reuse demonstrations this year. How quickly China closes this technological gap is likely to influence the next phase of U.S.-China competition in space, as Beijing seeks to challenge U.S. leadership in the sector.

Source: VOA, July 11, 2026
https://www.voachinese.com/a/china-claims-milestone-in-reusable-rockets-but-wide-gap-with-spacex-remains-20260701-/8170387.html

China Advances Development of Asteroid Defense and Early Warning System

Chinese authorities announced that they are advancing plans for a national asteroid defense system as part of the country’s broader space security strategy. Officials described the initiative as consistent with China’s role as a “responsible major space power” and said it is intended to strengthen the country’s capability to detect, assess, and respond to potential asteroid threats.

According to the plan, the system will integrate ground- and space-based monitoring capabilities. On the ground, China intends to establish a geographically distributed network of large-aperture optical telescopes to provide long-range, wide-area, and high-precision observation. In space, authorities plan to deploy a constellation of monitoring satellites equipped with telescopes to overcome the limitations of atmospheric interference and the day-night cycle, with particular emphasis on detecting asteroids approaching from the direction of the Sun, which are more difficult to observe from Earth.

Chinese researchers said they have achieved initial breakthroughs in asteroid impact risk prediction models and algorithms and are developing an operational near-Earth asteroid early warning system. The integrated monitoring network is designed to enable continuous, around-the-clock observation and enhance China’s ability to detect, track, and assess potential asteroid impact risks.

Source: People’s Daily, July 6, 2026
https://paper.people.com.cn/rmrb/pc/content/202607/06/content_30166956.html