The Case for Economic Espionage
AI-generated overview
The article contends that the U.S. prohibition on economic espionage is outdated because national security increasingly depends on private-sector technology, while China continues to target American commercial innovation. It reviews historical U.S. restraint, the Obama administration’s 2014 directive and international commitments, and evidence that those commitments did not stop Chinese espionage. The author argues that warning firms about theft is insufficient and urges the government to share commercially valuable intelligence with strategically important companies. Because such sharing could distort competition or enable corruption, the article calls for clear eligibility rules and robust oversight.
What’s discussed
- The Center for Strategic and International Studies recorded 224 incidents of Chinese-sponsored espionage against the United States between 2000 and 2023; more than half targeted commercial technologies.
- A 2014 presidential policy directive under Barack Obama stated that collecting foreign trade secrets to afford U.S. companies a competitive advantage was not an authorized intelligence purpose.
- At a 2015 summit, Barack Obama and Xi Jinping announced a common understanding against cyber-enabled theft of intellectual property for commercial advantage.
- A G-20 communiqué two months later reaffirmed the prohibition on such theft for the world's 20 largest economies.
- The article says the CIA and other U.S. intelligence agencies disclosed in September that they had broadened espionage efforts against China, including Chinese industry.
- The second Trump administration had not publicly rescinded the executive order reaffirming the prohibition, according to the article.
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