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

Beijing has urged the United States to “immediately stop all espionage activities” targeting Chinese companies, warning that it had “firm resolve and abundant means” to retaliate after a senior CIA official defended spying on China’s artificial intelligence (AI) and chip sectors.

The call from China’s Ministry of Commerce comes just two weeks ahead of President Xi Jinping’s visit to Washington, where AI and advanced technologies – the new battleground in the US-China rivalry – are expected to be high on the agenda.

The ministry’s remarks late on Friday were in direct response to statements made earlier in the week by Michael Ellis, the deputy director of the US Central Intelligence Agency.

In a rare public speech on Tuesday, Ellis revealed that the CIA was expanding its intelligence work on China, suggesting that Chinese companies were “legitimate targets” for espionage in areas such as AI, semiconductors and biotechnology.

Friday’s brief Chinese ministry statement said the US had “exposed its gangster logic of hegemony in broad daylight”, which China firmly opposed.

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Economic competition was a regular commercial activity, and those in advantage relied on technology, talent and innovation, said the statement, which was attributed to a ministry representative.