Washington State Spends Nearly $9 million on Restricted Chinese Technology

Just this month, two members of the House Homeland Security Committee continued the warnings over specific security and privacy threats posed by emerging Chinese tech companies. And now research shows the State of Washington is has emerged as a new risk center with neary $9 million spent on restricted Chinese government-owned technology, including risky purchases by the Washington State Legislature and Washington State Department of Labor and Industries. We are still seeing one of the largest threats come from state governments continuing to purchase U.S. military-restricted equipment. This includes buying products from Lenovo and Lexmark, Chinese-owned companies that have been restricted by multiple military and intelligence agencies in the U.S. and around the globe because of security deficiencies. Through a… Read More

Summarizing AEI’s Derek Scissors on Decoupling, Semiconductors, and BIS

Derek Scissors, a scholar at the American Enterprise Institute (AEI), is a leading expert on trade and economic policy of the People’s Republic of China (PRC). He wrote the definitive guide to economic decoupling and offers a critical review of the actions of the Bureau of Industry and Security (BIS). As it relates to the eventual nominee to head BIS, he recently told China Tech Threat: “The Undersecretary for Industry and Security must accept that the philosophy of more sales always benefitting America is now damaging with respect to China and advanced technology. The most important sign of that acceptance is fully implementing the 2018 export control reform within six months of taking office.” One of Scissors contributions is the… Read More

Roslyn Layton Tells Voices of America The Importance of Securing the Semiconductor Industry in Both the Long and Short Term

During President Biden hosted a virtual meeting with leaders of some of the country’s biggest companies impacted by a global shortage of semiconductors, on April 12, he noted that the U.S must find a way to “strengthen our domestic semiconductor industry and secure the American supply chain.”  This meeting and the President’s urgency on this matter is commendable. However, in an article published by Voice of America White House Bureau Cheif Steve Herman, Roslyn Layton made it clear that the short-term issue of a shortage of semiconductors for the automotive industry should not be confused with the larger, existential problem that the United States does not produce enough of its own chips. Dr. Layton went on to say that there… Read More

Biden Administration Giving Attention to Semiconductor Supply Chains

At the end of February, President Biden issued an Executive Order directing several federal agency actions to secure and strengthen America’s supply chains. One of the directives is for the Commerce Secretary to submit a report to the President within 100 days “identifying risks in the semiconductor manufacturing and advanced packaging supply chains, and proposing policy recommendations to address these risks.” To aid in that effort, the Commerce Department’s Bureau of Industry and Security (BIS) issued a notice of request for public comments. China Tech Threat’s Roslyn Layton responded, highlighting research on this important area, including her recent report with the Coalition for a Prosperous America’s Jeff Ferry on “Maintaining U.S. Leadership in Semiconductors and Countering China’s Threats.” Her comment… Read More

Calling on Sen. Schumer’s Leadership To Help Halt Government Purchases from Chinese State-Owned IT Forms

Following Senator Schumer’s recent announcements about next-generation semiconductor research initiatives coming to Albany, China Tech Threat today issued a letter to Sen. Schumer requesting his support in determining what guardrails exist to prevent government purchases from Chinese state-owned manufacturers, particularly in New York State as the home to the world’s financial markets.  The letter by China Tech Threat Co-Founder Dr. Roslyn Layton cites New York’s State’s purchase of more than $28 million in technology products and services by Chinese state-owned tech manufacturers Lenovo and Lexmark, which have ownership ties to the Chinese government and Chinese Communist Party. It was issued as New York plans to allocate $23.5 billion in federal American Rescue Plan funding, much of which will be used… Read More

Summarizing CSET on Security Without Collateral Damage

Saif M. Khan is a leading tech policy expert with a background in intellectual property law and an education in physics. A Research Fellow at Georgetown’s Center for Security and Emerging Technology (CSET), he studies AI policy, semiconductor supply chains, China’s semiconductor industry and U.S. trade policy. Khan has written many, highly detailed reports which reflect on the importance of export controls and the Bureau of Industry and Security (BIS). He recently told China Tech Threat: “It is important for policymakers to have a deep understanding of both the complexities of export control regulations as well as the relevant technologies and supply chains to ensure export controls are crafted in a targeted way to achieve their intended security goals while minimizing… Read More

Summarizing CSIS on Getting Traction with BIS Export Controls: Short Term Panic Followed by Predictable Patterns

On Friday, new names emerged as potential nominees for the Undersecretary position in the Department of Commerce’s Bureau of Industry and Security (BIS) – or as the New York Times put it, “The Agency at the Center of America’s Tech Fight With China.” While we await an official announcement, Center for Strategic & International Studies (CSIS) Senior Adviser and Scholl Chair in International Business William Alan Reinsch weighed in on the position at BIS. “I think the most important criterion is to find someone who can listen to the different points of view and produce regulations that will stand up in court and provide reasonable certainty to the business community,” he noted. “Policy decisions about China are going to be… Read More

States Must Be Vigilant the American Rescue Plan Doesn’t Open the Door to CCP Exploitation

This month President Biden signed the American Rescue Plan, a $1.9 trillion pandemic recovery package that was among the President’s top priorities upon taking office. The bill includes $350 billion that will go directly to state and local governments, much of which will be invested in information technology and system upgrades. Bundled in the plan is $7.59 billion to provide devices and Internet services to teachers and students; $2 billion to improve unemployment networks; $128.5 billion for local schools, including to build remote learning capabilities; $39.6 billion for higher education, part of which will support remote learning; and $20 billion to modernize state-based marketplaces, like insurance exchanges.    Each of those areas present a valuable target to the Chinese government,… Read More

What to Expect, the Next Four Years

Earlier this week, China Tech Threat’s Roslyn Layton and Coalition for a Prosperous America’s (CPA) Jeff Ferry put out a new report on “Maintaining U.S. Leadership in Semiconductors and Countering China’s Threats.” They discussed it yesterday as part of CPA’s annual conference on “What to Expect, the Next Four Years.” In framing the discussion and summarizing the paper, Roslyn noted: American consumers were once told that Chinese IT was a good thing. That approach created many problems, including loss of manufacturing prowess and personal information, as well as increased cyberattacks and data breaches. Now we have a national security issue, and it’s playing out in many areas, including the semiconductor industry. Semiconductors are the building blocks of all electronics. They… Read More

#StopAsianHate

There has been a troubling wave of violence against Asian people – mostly recently with the mass shooting in Atlanta. Disturbingly, Newsweek reports that “Researchers at the Center for the Study of Hate and Extremism at California State University found a 149 percent increase in such crimes compared to 2019.” We condemn this violence in the strongest possible terms. In stark contrast, our mission is to safeguard all people by shedding light on the increasing threat of technology imported into the US and other democratic nations from the People’s Republic of China. After all, there is broad bipartisan agreement among leaders in democratic countries that the PRC’s military-civil fusion threatens free people everywhere. More specifically, the Communist Party’s stranglehold on… Read More