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China Demands U.S. Cease Espionage of Chinese AI and Chip Firms, Threatens Retaliation

WHY IT MATTERS

China’s threat signals a potential escalation in tech‑espionage tensions, likely influencing the diplomatic tone of Xi’s Washington visit and shaping U.S. trade and security policy toward China.

What happened

China’s Ministry of Commerce issued a stern warning to the United States, demanding an immediate halt to all espionage activities targeting Chinese companies. The call followed a senior CIA official’s defense of spying on China’s artificial‑intelligence and semiconductor sectors. Beijing said it possessed “firm resolve and abundant means” to retaliate if the U. S. does not comply. The statement arrives just two weeks before President Xi Jinping’s scheduled visit to Washington, where discussions on AI and advanced technologies are expected to dominate the agenda. The move underscores the growing friction over technology security and signals that any continued spying could trigger a sharp diplomatic response.

PRIMARY SOURCES

China urges US to ‘stop all spying’ or face retaliation, slams ‘gangster logic’

South China Morning Post · Phoebe Zhang · Discovery only; publisher copyright and subscription terms apply

By THELAST.NEWS Editorial System · AI-assistedRevision 1Approved independent source