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China news roundup / Nachrichten 2025-07-17/18
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Microsoft Says It Has Stopped Using China-Based Engineers to Support Defense Department Computer Systems
"In its investigation, ProPublica detailed how Microsoft uses engineers in China to help maintain the Defense Department’s computer systems — with minimal supervision by U.S. personnel — leaving some of the nation’s most sensitive data vulnerable to hacking or spying from its leading cyber adversary. The arrangement, which was critical to Microsoft winning the federal government’s cloud computing business a decade ago, relies on U.S. citizens with security clearances to oversee the work and serve as a barrier against espionage and sabotage.
But these workers, known as “digital escorts,” often lack the technical expertise to police the work of foreign engineers with far more advanced skills"
--- How would you ever get the idea that it is OK for any security-relevant data might be processed in China?
"Since 2011, cloud computing companies like Microsoft that wanted to sell their services to the U.S. government had to establish how they would ensure that personnel working with federal data would have the requisite “access authorizations” and background screenings. Additionally, the Defense Department requires that people handling sensitive data be U.S. citizens or permanent residents.
This presented an issue for Microsoft, which relies on a vast global workforce with significant operations in India, China and the European Union.
So the tech giant enlisted staffing companies to hire U.S.-based digital escorts, who had security clearances that authorized them to access sensitive information, to take direction from the overseas experts. An engineer might briefly describe the job to be completed — for instance, updating a firewall, installing an update to fix a bug or reviewing logs to troubleshoot a problem. Then, with little review, an escort would copy and paste the engineer’s commands into the federal cloud.
“We’re trusting that what they’re doing isn’t malicious, but we really can’t tell,” one escort told ProPublica."
--- Trust, yeah. Of course you can trust the CCP not to use its citizens to spy on the US military. No problem there.
This is probably exemplary of Western industries naivete, ignorance & complacency when it comes to China. They only see short-term profit. Nothing else matters.
Wells Fargo suspends China travel after employee exit ban
"The U.S. banking giant's Chenyue Mao was subjected to an exit ban after she entered China in recent weeks
[...] The ban could worsen concerns among multinational companies about the risks of doing business in China, particularly around employee safety and freedom of movement. The incident could also chill corporate travel to the country and complicate relations between the world's two biggest economies."
--- Doing business in China is risky. If you don't want to learn, you feel the pain.
"China's foreign ministry spokesperson Lin Jian told a press briefing on Friday that he was not familiar with the Wells Fargo matter, adding that China was committed to providing a welcoming environment for foreign companies to do business."
China pledges to crack down on illicit exports of rare earths, urges US to lift more trade controls
"In a report published Friday in the state-run newspaper Global Times, the Ministry of State Security said foreign “espionage and intelligence agencies” were colluding to steal rare earths-related goods by repackaging and relabeling rare metals to hide their Chinese origin."
--- Well, you don't need foreign intelligence for that. There are more than enough Chinese willing & able to smuggle all kinds of things in & out, if it makes a bit of money.
China puts new restrictions on EV battery technology in latest move to consolidate dominance
"The new controls mirror similar restrictions introduced just three months ago on certain rare earth elements and their magnets"
--- So much for relaxation of trade barriers...
"But while LFP batteries amounted to 40% of the global EV market by capacity, adoption of them is more prevalent in EVs made by Chinese manufacturers than elsewhere"
--- Hmm, might that be the reason that Chinese EV's are rather more prone to catching on fire?
China threatens to block Panama ports deal unless its shipping giant gets stake, WSJ reports
"Chinese officials have told BlackRock, MSC and Hutchison that if Cosco is left out of the deal, Beijing would take steps to block Hutchison's proposed sale of the ports, the newspaper said."
--- China again totally not politicising trade.
"China has always been firmly opposed to the "use of economic coercion, hegemony, bullying, and infringement of the legitimate rights and interests of other countries," its foreign ministry spokesperson Lin Jian said at a press briefing on Friday"
China was on the sidelines of the Iran-Israel war. That’s just where it wanted to be
"And contained in Araghchi’s message was a public hint of Iran’s disappointment: that in its time of need last month – when Israeli and US forces struck at will at top military and technological targets – its powerful friends in Beijing and Moscow appeared to sit on the sidelines.
8...] But the latest stress-test of the “axis” appeared to show its weaknesses: as Israeli and US bombs rained down on Iran, Russia and China looked more focused on their own interests and rhetoric, analysts say, rather than backing Iran materially or using their weight to push Israel or the US to stop the fighting. Xi and Putin did, however, use the conflict to stress their own united front."
--- That's Chinese friendship for you: all nice & well until it starts costing China.
China's record-breaking heat pushes power demand to new high
""The power system is holding up so far,""
--- Except in a few cities where the power was out for a couple of days. But - hey - we don't talk about that, because China doesn't want to talk about it.
"Sales of air conditioners and handheld fans have surged 112% and 103% month-on-month, respectively, according to Chinese e-commerce giant JD.com . The catering sector has also seen a notable rise in demand, as people seek out cool refreshments.
"It could improve consumer sentiment as it is helping sales of air conditioning, which is a big household appliance,""
--- Phhh... They more probably simply cut back on other expenses.
China issues safety warning for its nationals studying in the Philippines
China and US ally in maritime confrontation near disputed territory
--- China Uncensored features the usual weekend news variety:
--- CNBC: This is why Myanmar is critical to China's rare earths dominance
--- The Australian: Why China rolled out the red carpet for Albanese and what it really means
Ausländische Agenten im Visier: Peking wirft Geheimdiensten Schmuggel von seltenen Erden vor
"Ausländische Geheimdienste sollen laut chinesischen Angaben versucht haben, seltene Erden aus der Volksrepublik zu schmuggeln. Wie Chinas Staatssicherheit mitteilte, wollten die Agenten in den vergangenen Jahren mit "Gesetzesbrechern" im Inland zusammenarbeiten, um die für die Industrie wichtigen Rohstoffe per Versand zu stehlen.
Den Angaben zufolge deckten die Behörden auf, dass Pakete mit "nicht-chinesischem Ursprung" oder einem anderen Wareninhalt falsch deklariert wurden. Die Geheimdienste hätten Leute in China etwa angewiesen, stattdessen "Lötfett" oder andere gewöhnliche Produkte darauf auszuweisen, um eine Ausfuhrkontrolle zu umgehen. Auch seien die Metalle in anderen Produkten versteckt worden, wie etwa Plastikpuppen oder Wasserflaschen."
--- Ja, genau, & dafür brauchen chinesische Kriminelle die Anleitung ausländischer Geheimdienste.
"Jüngst setzte Pekings Handelsministerium außerdem Technologien, die zur Herstellung von Batterien für Elektroautos und zur Verarbeitung von Lithium wichtig sind, auf eine Ausfuhr-Kontrollliste."
--- Alles im Namen des freien Handels, natürlich.
FSB-Leak offenbart: Russlands Geheimdienste warnen vor China
"Das achtseitige FSB-Dokument, das nach Einschätzung westlicher Geheimdienste authentisch ist, offenbart ein bemerkenswertes Spannungsfeld zwischen politischem Kalkül und sicherheitsstrategischer Realität. Während Putin die Annäherung an Peking offensiv vorantreibt, betrachten die russischen Sicherheitsapparate China längst als ernstzunehmende, aber öffentlich nicht benennbare Bedrohung. Eine Dynamik, die die russisch-chinesische Allianz als fragile Zweckgemeinschaft entlarvt.
[...] Das von der New York Times veröffentlichte FSB-Dokument zwingt zu einer kritischen Neubewertung. Die offizielle Rhetorik der „grenzenlosen Freundschaft“ wird von den russischen Sicherheitsdiensten intern längst als hochriskantes Abhängigkeitsverhältnis wahrgenommen. Moskaus Sicherheitsapparate betrachten China nicht als loyalen Partner, sondern als potenzielle Bedrohung. Öffentlich darf das jedoch nicht benannt werden. Die strukturellen Abhängigkeiten und das wachsende Misstrauen innerhalb dieser Zweckgemeinschaft sollte jedenfalls keineswegs übersehen werden. Das FSB-Dokument zeigt: Die Partnerschaft mag strategisch opportun erscheinen – sie ist jedoch keine gleichgewichtige Allianz, sondern ein fragiles Machtverhältnis, in dem Russland schrittweise seine nationale Handlungsfähigkeit an China abtritt."
--- Was von Anfang an klar war.
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