(29 Jan 2019) U.S. intelligence agencies are warning that China's capabilities including counterintelligence is a big threat to the U.S.
"While we were sleeping in the last decade and a half, China had a remarkable rise in capabilities that are stunning," said Director of National Security Dan Coats.
"A lot of that was achieved, a significant amount of that was achieved by stealing information from our companies by inserting Chinese in certain of our labs or bringing back technological stolen properties which China engaged."
Coats made comments along with other intelligence agency leaders at a hearing before the Senate Intelligence Committee on global security threats.
This comes as a bitter dispute between China and the U.S. over Huawei intensified Tuesday as Beijing demanded Washington back off its sweeping "crackdown" on the telecom giant on charges of technology theft and Iran sanctions violations, complicating trade talks between the world's two biggest economies.
Huawei Technologies Ltd. denied committing any of the violations in the U.S. indictment while China's foreign ministry said it would "firmly defend" its companies.
The nearly two dozen charges unsealed Monday by the Justice Department accuse Huawei of trying to spirit a robot hand and other technology out of a T-Mobile smartphone testing lab. They also allege Huawei, two subsidiaries and a top executive of misleading banks about the company's business and violating U.S. sanctions.
The allegations mark a new phase in the dispute between the two countries over global technological dominance; U.S. intelligence chiefs who briefed Congress on worldwide threats sounded the alarm about China's efforts to gain an edge over competitors including the United States.
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