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| China denounces US cyber-theft charges | China denounces US cyber-theft charges |
| (35 minutes later) | |
| China has denounced US charges against five of its army officers accused of economic cyber-espionage. | China has denounced US charges against five of its army officers accused of economic cyber-espionage. |
| Beijing says the US is also guilty of spying on other countries, including China, and accuses the US of hypocrisy and "double standards". | Beijing says the US is also guilty of spying on other countries, including China, and accuses the US of hypocrisy and "double standards". |
| China has summoned the US ambassador in Beijing over the incident. It says relations will be damaged. | China has summoned the US ambassador in Beijing over the incident. It says relations will be damaged. |
| US prosecutors say the officers stole trade secrets and internal documents from five companies and a labour union. | US prosecutors say the officers stole trade secrets and internal documents from five companies and a labour union. |
| The BBC's John Sudworth in Shanghai says it is extremely unlikely that any of the accused will ever be handed over to the US. | The BBC's John Sudworth in Shanghai says it is extremely unlikely that any of the accused will ever be handed over to the US. |
| China's defence ministry put out a strongly-worded statement on its website on Tuesday saying that China's government and its military "had never engaged in any cyber espionage activities". | China's defence ministry put out a strongly-worded statement on its website on Tuesday saying that China's government and its military "had never engaged in any cyber espionage activities". |
| It also took aim at the US, saying: "For a long time, the US has possessed the technology and essential infrastructure needed to conduct large-scale systematic cyber thefts and surveillance on foreign government leaders, businesses and individuals. This is a fact which the whole world knows. | It also took aim at the US, saying: "For a long time, the US has possessed the technology and essential infrastructure needed to conduct large-scale systematic cyber thefts and surveillance on foreign government leaders, businesses and individuals. This is a fact which the whole world knows. |
| "The US' deceitful nature and its practice of double standards when it comes to cyber security have long been exposed, from the Wikileaks incident to the Edward Snowden affair." | "The US' deceitful nature and its practice of double standards when it comes to cyber security have long been exposed, from the Wikileaks incident to the Edward Snowden affair." |
| Analysis: Carrie Gracie, BBC China editor | |
| China always insists it is a victim of hacking, not a perpetrator. And when US intelligence contractor Edward Snowden appeared in Hong Kong a year ago with evidence of US hacking into Chinese networks, Beijing felt vindicated. | |
| The US acknowledges that it conducts espionage but says unlike China it does not spy on foreign companies and pass what it finds to its own companies. | |
| Beijing typically shrugs this off as a smear motivated by those who find its growing technological might hard to bear. But to see five named officers of the People's Liberation Army indicted by a US grand jury is not something that can be brushed aside so easily. | |
| China has already announced the suspension of co-operation with the US on an internet working group. And once it has had time to digest this loss of face, it is likely to consider more serious retaliation. | |
| The defence ministry added that China's military had been the target of many online attacks, and "a fair number" of those had been launched from American IP addresses. | The defence ministry added that China's military had been the target of many online attacks, and "a fair number" of those had been launched from American IP addresses. |
| It said the arrest of the five Chinese army officers had "severely damaged mutual trust". | It said the arrest of the five Chinese army officers had "severely damaged mutual trust". |
| A Xinhua report on Tuesday stated that between March and May this year, a total of 1.18 million computers in China were directly controlled by 2,077 machines in the United States via Trojan horse or zombie malware. | A Xinhua report on Tuesday stated that between March and May this year, a total of 1.18 million computers in China were directly controlled by 2,077 machines in the United States via Trojan horse or zombie malware. |
| Chinese Assistant Foreign Minister Zheng Zeguang lodged a "solemn representation" with US ambassador Max Baucus on Monday night, Xinhua reported. | Chinese Assistant Foreign Minister Zheng Zeguang lodged a "solemn representation" with US ambassador Max Baucus on Monday night, Xinhua reported. |
| 'US losses' | |
| On Monday US Attorney General Eric Holder said a grand jury had laid hacking charges against the Chinese nationals, the first against "known state actors for infiltrating US commercial targets by cyber means". | |
| He identified the alleged victims as Westinghouse Electric, US Steel, Alcoa Inc, Allegheny Technologies, SolarWorld and the US Steelworkers Union. | He identified the alleged victims as Westinghouse Electric, US Steel, Alcoa Inc, Allegheny Technologies, SolarWorld and the US Steelworkers Union. |
| "The alleged hacking appears to have been conducted for no reason other than to advantage state-owned companies and other interests in China, at the expense of businesses here in the United States," Mr Holder said. | "The alleged hacking appears to have been conducted for no reason other than to advantage state-owned companies and other interests in China, at the expense of businesses here in the United States," Mr Holder said. |
| In the indictment brought in the western district of Pennsylvania - the heart of the US steel industry - the US named Wang Dong, Sun Kailiang, Wen Xinyu, Huang Zhenyu, and Gu Chunhui, all officers in Unit 61398 of the Chinese People's Liberation Army (PLA), as the alleged conspirators. | In the indictment brought in the western district of Pennsylvania - the heart of the US steel industry - the US named Wang Dong, Sun Kailiang, Wen Xinyu, Huang Zhenyu, and Gu Chunhui, all officers in Unit 61398 of the Chinese People's Liberation Army (PLA), as the alleged conspirators. |
| FBI officials said the hacking - between 2006 and 2014 - caused "significant losses" at the companies and that there were likely to be many more victims. | FBI officials said the hacking - between 2006 and 2014 - caused "significant losses" at the companies and that there were likely to be many more victims. |
| Last year, cyber-defence company Mandiant published a report on a Chinese military unit the firm said was behind the vast majority of significant attacks on American federal agencies and companies. | Last year, cyber-defence company Mandiant published a report on a Chinese military unit the firm said was behind the vast majority of significant attacks on American federal agencies and companies. |
| In March, Defence Secretary Chuck Hagel said the Pentagon planned to more than triple its cyber-security capabilities in the next few years to defend against such internet attacks. | In March, Defence Secretary Chuck Hagel said the Pentagon planned to more than triple its cyber-security capabilities in the next few years to defend against such internet attacks. |
| What is Unit 61398? | |
| • A unit of China's People's Liberation Army, to whose Shanghai address US cyber security firm Mandiant says it traced a prolific hacking team | |
| • The team was said to have hacked into 141 computers across 20 industries, stealing hundreds of terabytes of data | |
| • Mandiant says the team would have been staffed by hundreds, possibly thousands of proficient English speakers | |
| • China said Mandiant's report was flawed and lacked proof |