Cybersecurity Policy Report, White House Dislikes Lawmakers’ Proposal to Target Chinese Hacking, (Sep 10, 2024)
The White House today expressed opposition to a House bill that would establish a Department of Justice unit dedicated to investigating cyber-enabled industrial espionage and other trade secret theft by the Chinese Communist Party (CCP).
The House today began consideration of the bill, the Protect America’s Innovation and Economic Security from CCP Act (H.R. 1398, 118th Cong. (2024)), which was introduced by Rep. Lance Gooden (R., Texas).
The legislation would establish a CCP Initiative at DoJ, resurrecting the China Initiative that was established by the Trump administration in 2018 (CPR, Dec. 14, 2018).
“The initiative would focus on identifying and prosecuting individuals engaged in the theft of trade secrets, hacking, and economic espionage, and protecting critical U.S. infrastructure from being compromised based on foreign investment and supply chains,” according to a report accompanying the bill.
“Over 160 individuals and entities were indicted under the China Initiative, at least 45 of which have since been convicted or pled guilty. Arguably, these cases brought under the China Initiative were just the tip of the iceberg,” the report says.
But the Biden administration ended the China Initiative and opposes its reestablishment.
“The Administration has worked to combat threats posed by trade secret theft, hacking, and economic espionage, including by actors affiliated with the People’s Republic of China,” the White House said in a policy statement.
“But grouping cases in the manner contemplated by this legislation would undermine DOJ’s ability to investigate and prosecute such criminal activity, including by making it more difficult for the Department to obtain cooperation from victims and witnesses,” it said.
“The bill also could give rise to incorrect and harmful public perceptions that DOJ applies a different standard to investigate and prosecute criminal conduct related to the Chinese people or to American citizens of Chinese descent,” it added.
Similar concerns were expressed by Rep. Jerry Nadler (D., N.Y.), the ranking member of the House Judiciary Committee. “H.R. 1398 would reestablish the failed China Initiative at the Department of Justice (DOJ) in everything but name,” Rep. Nadler said in a dissenting statement appended to the House report.
“While there are legitimate national security and economic espionage concerns posed by the People’s Republic of China (PRC), this program did nothing to counter those threats,” he said. “Instead of preventing intellectual property theft, the China Initiative encouraged unrelated, unsupportable cases against Chinese academics at the height of their careers and stoked tensions with a community already experiencing unprecedented levels of discrimination.”
MainStory: TopStory DataSecurity FederalLegislation