US: "China as Contract Hackers for Crimes"...Will Punitive Measures Follow? (Comprehensive)
[Asia Economy Reporter Yujin Cho] U.S. President Joe Biden recently attributed cyberattacks targeting domestic companies to China and declared a joint response with allied countries.
The United States, which has been intensifying pressure on China daily across trade, military, technology, and human rights sectors, hinted at additional measures against China's cyberattacks, escalating tensions between the two countries.
On the 19th (local time), the White House identified hackers linked to China's Ministry of State Security as behind the hacking attacks targeting Microsoft's (MS) email and messaging platform 'Exchange' that occurred earlier this year, condemning that "China's irresponsible behavior in cyberspace contradicts its goal of becoming a responsible global leader."
In a statement, the White House said that China has not attempted to address crimes committed by contracted hackers, causing governments and companies worldwide to lose billions of dollars due to intellectual property theft. It also introduced cases where hackers affiliated with the Chinese government launched ransomware attacks on private companies, demanding millions of dollars in ransom.
The U.S.-led statement was joined by the European Union (EU), the North Atlantic Treaty Organization (NATO), the United Kingdom, Canada, Japan, Australia, New Zealand, and others. Norway also joined the offensive against China immediately after the U.S. statement, pointing to China as behind a cyberattack targeting its parliament in March.
Norwegian Foreign Minister Ine Eriksen Søreide stated, "The cyberattack targeting our parliament in March threatened the email system of our most important democratic institution."
The New York Times (NYT) reported that it is unusual for China’s major trading partners to participate in public criticism of China. The NYT cited senior officials saying that the largest number of countries participated in condemning China’s cyberattacks, and notably, it was the first time NATO publicly criticized China’s cybercrime.
The Wall Street Journal (WSJ), however, reported that the joint statement did not include punitive measures such as sanctions or expulsions. WSJ pointed out, "This contrasts with the recent approach of the Biden administration in responding to Russia’s cybercrime."
Dimitri Alperovich, chairman of the Washington-based think tank Silverado Policy Accelerator, criticized, "Not specifying what price China will pay appears to be a double standard."
In response to such criticism, a senior U.S. official said, "There is no single measure that can change the Chinese government’s malicious cyber behavior, and the current U.S. goal is to bring many countries together to take a joint stance."
Meanwhile, after his 60-day inauguration White House speech, President Biden responded to reporters’ questions about the biggest difference between hacking led by China and Russia by saying, "Unlike the Russian government, the Chinese government does not act directly but hires contracted hackers."
President Biden also stated that investigations into Chinese hacking are ongoing and that he expects to receive a detailed report on the 20th, suggesting the possibility of additional measures.
Meanwhile, the U.S. Department of Justice on the same day indicted hackers linked to the Hainan branch of China’s Ministry of State Security on charges of hacking U.S. government agencies, universities, and companies from 2011 to 2018.
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According to the Department of Justice indictment, under the supervision of the Ministry of State Security, the hackers attacked institutions in more than ten countries worldwide in sectors including aviation, defense, education, health, pharmaceuticals, and maritime, particularly targeting institutions and universities researching Ebola, MERS, and AIDS.
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