China suspends cyber group activities after hacking indictment

An angry China today suspended the functioning of a bilateral panel on cyber security after the US indicted five military officers of the PLA for alleged cyber-espionage, and summoned the American ambassador here to lodge a strong protest.
China has asked the US to immediately correct its "mistakes and withdraw the indictment," and warned it would react further to the situation as it evolves.
US ambassador Max Baucus was summoned by Chinese Assistant Foreign Minister Zheng Zeguang, who lodged a "solemn representation" with him, an official statement said.
Five People's Liberation Army officers were indicted by the US Justice Departed on charges that they hacked into six American entities including Westinghouse Electric and stole trade secrets to benefit Chinese companies.

It is the first-ever incident of prosecution of known state actors over cyber-espionage. Washington says the hacking was an attempt to provide economic advantage to Chinese state-owned firms and led to job losses in the US.
China denies the allegations and has suspended the activities of the China-US Cyber Working Group, set up in April last year with a vision to curb the increasing threat from hacking attacks.

"Given the lack of sincerity on the part of the US to solve issues related to cyber security through dialogue and cooperation, China has decided to suspend activities of the China-US Cyber Working Group," foreign ministry spokesman Qin Gang said.

The US move, which is based on intentionally-fabricated facts, grossly violates the basic norms governing international relations and jeopardises cooperation and mutual trust between the two nations, Qin said.
He said China's position on cyber security is consistent and clear-cut. It is steadfast in upholding cyber security.
The Chinese government, its military and their relevant personnel have "never engaged or participated" in cyber-theft of trade secrets, he said.
The US accusation against Chinese personnel is "purely ungrounded and with ulterior purpose," Qin said.
Beijing has in the past accused the US of hypocrisy after reports of surveillance and wiretapping around the world including world leaders came to public knowledge.

Qin said China itself is a victim of severe US cyber theft, wiretapping and surveillance activities.
"We once again strongly urge the US side to make a clear explanation of what it has done and immediately stop such kind of activities," the foreign ministry spokesman said.