US Congress warned of Chinese cyber, space threats

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US Congress warned of Chinese cyber, space threats

1 hour, 53 minutes ago

WASHINGTON (AFP) - China has developed a sophisticated cyber warfare

program and stepped up its capacity to penetrate US computer networks

to extract sensitive information, a US congressional panel warned.

" China has an active cyber espionage program, " the US-China Economic

and Security Review Commission said in its annual report to the US

Congress. " China is targeting US government and commercial computers. "

In its 393-page report, the panel also criticized Beijing for

exercising " heavy-handed government control " over its economy

and " continuing arms sales and military support to rogue regimes "

such as Sudan, Myanmar and Iran.

The commission also issued a warning about China's space

program. " China continues to make significant progress in developing

space capabilities, many of which easily translate to enhanced

military capacity, " it said.

" Although some Chinese space programs have no explicit military

intent, many space systems -- such as communications, navigation,

meteorological, and imagery systems -- are dual use in nature, " the

commission said.

The commission, which was established by Congress in 2000 to analyze

the economic and national security relationship between the two

nations, said China was investing heavily in cyber warfare.

" Since China's current cyber operations capability is so advanced, it

can engage in forms of cyber warfare so sophisticated that the United

States may be unable to counteract or even detect the efforts, " the

commission said.

It said Chinese hacker groups may be operating with government

support.

" By some estimates, there are 250 hacker groups in China that are

tolerated and may even be encouraged by the government to enter and

disrupt computer networks, " the commission said.

It quoted Colonel McAlum, chief of staff for the US Strategic

Command's Joint Task Force for Global Network Operations, as saying

China has recognized the importance of cyber operations as a tool of

warfare and " has the intent and capability to conduct cyber

operations anywhere in the world at any time. "

" China is aggressively pursuing cyber warfare capabilities that may

provide it with an asymmetric advantage against the United States, "

the commission said. " In a conflict situation, this advantage would

reduce current US conventional military dominance. "

The commission recalled that unclassified US military, government and

government contractor websites and computer systems were the victims

of cyber intrusions in 2002 codenamed " Titan Rain " and attributed to

China.

And earlier this month The Financial Times, citing an unnamed senior

US official, reported that Chinese hackers -- possibly with backing

by the Beijing government -- had penetrated the White House computer

network and obtained emails between government officials.

The commission made 45 recommendations to Congress including

possible " additional funding for military, intelligence and homeland

security programs that monitor and protect critical American computer

networks. "

On the economic front, the commission said " China relies on heavy-

handed government control over its economy to maintain an export

advantage over other countries. "

" The result: China has amassed nearly two trillion dollars in foreign

exchange and has increasingly used its hoard to manipulate currency

trading and diplomatic relations with other nations, " it said.

" Rather than use this money for the benefit of its citizens -- by

funding pensions and erecting hospitals and schools, for example --

China has been using the funds to seek political and economic

influence over other nations, " said Larry Wortzel, chairman of the

commission.

Beijing's " continuing arms sales and military support to rogue

regimes, namely Sudan, Burma, and Iran, threaten the stability of

fragile regions and hinder US and international efforts to address

international crises, such as the genocide in Darfur, " the commission

added.

The commission acknowledged some progress by China, specifically its

adherence to non-proliferation agreements and involvement in the six-

party talks to dismantle North Korea's nuclear weapons production

capacity.

But it criticized China's use of prison labor to produce goods for

export and an " information control regime " that it said regulates the

print and broadcast media, Internet, entertainment and education.

The report is available on the commission's website at www.uscc.gov.