China Industrial Policy Seeks to Steal ‘Crown Jewels’ of U.S. Tech
White House exposes Chinese economic aggression
China’s government is using a multi-pronged strategy to systematically steal advanced American technology as part of economic aggression against the United States, according to a White House report.
Most Chinese economic aggression has taken place in the United States or against American companies doing business in China
Technologies targeted include artificial intelligence, blockchain know how, robotics, high-tech manufacturing, and high-tech shipping
The report, based in part on declassified intelligence from the Pentagon and intelligence agencies, provides some of the first public details on China's industrial policies that have produced the world's second largest economy, often at the expense of American companies. "The Chinese state seeks to access the crown jewels of American technology and intellectual property," says the report, made public Tuesday night. China's economic strategy involves obtaining and utilizing technologies and know-how gathered from around the globe through a combination of state-sponsored theft, cyber attacks, violations of U.S. export controls, and counterfeiting and piracy.
However, most of the Chinese economic aggression has taken place in the United States or against American companies doing business in China. China's economic aggression was defined by the White House as six behaviors: Theft, forced tech transfer, evasion of export controls, export restraints on raw materials, information-harvesting, and acquisitions. Key American technologies targeted by the Chinese include artificial intelligence, blockchain know how, robotics, high-tech manufacturing, and high-tech shipping.
In dealing with American companies in China, Beijing has resorted to coercive and intrusive regulatory controls designed to force tech transfers from companies—based on promises of access to the Chinese market. In the United States, China employs some of the hundreds of thousands of Chinese nationals studying and working at universities and research institutes to gain access to cutting edge technology and send it back to Chinese firms.
State-backed Chinese companies also are buying up American companies and hiring scientists and experts as part of the systematic program of economic aggression, the report said. The 36-page report, "How China’s Economic Aggression Threatens the Technologies and Intellectual Property of the United States and the World," was produced by the White House Office of Trade and Manufacturing Policy. The office has been spearheading President Trump's policy of forcing China into changing its unfair trade and economic policies. The report comes as the president announced on Monday he will add an additional $200 billion in tariffs on Chinese goods beyond the $50 billion announced last week. He announced the new tariffs after China retaliated by imposing $50 billion in tariffs on U.S. goods. "China apparently has no intention of changing its unfair practices related to the acquisition of American intellectual property and technology," Trump said in a statement. "Rather than altering those practices, it is now threatening United States companies, workers, and farmers who have done nothing wrong." The White House report is based in part on a Pentagon study produced by the Defense Innovation Unit Experimental, known as DIUx, that concluded, "the scale of the [Chinese economic] espionage continues to increase."
http:// freebeacon.com/national-security/china-industrial-policy-seeks-steal-crown-jewels-u-s-tech/