US Suspends China Tech Restrictions Amid Fears of Rare Earth Retaliation

The administration of US President Donald Trump has suspended restrictions on technology exports to China to avoid harming trade talks with Beijing, the Financial Times newspaper reported on Monday, citing people familiar with the matter.

Chinese Vice Premier He Lifeng is visiting Sweden from July 27-30 for trade talks with US Treasury Secretary Scott Bessent. The officials are expected to discuss US-China trade and economic relationship, Chinese export controls of rare earths, access to each other’s markets, and the overall trade rate.

Over the past few months, the US Department of Commerce’s Bureau of Industry and Security has been instructed to avoid tough measures against China to maintain positive momentum in the talks and ensure a possible meeting between Trump and Chinese President Xi Jinping this year, the report said.

However, some current and former US officials said that the main reason for the suspension of US tariffs was fear of retaliatory measures from China, such as restrictions on rare metals and magnet exports, the report added.

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China: Robot doctors at world’s 1st AI hospital can treat 3,000 a day

The world is making significant inroads into utilizing artificial intelligence (AI) technology to advance functions in various domains, especially healthcare.

We have seen AI technologies helping to advance personalized medicine, predictive analytics, drug discovery and development, smart virtual health assistants, and furthering medical imaging and diagnostics.

Now, a Chinese state media outlet reports that the country has developed its first AI hospital town, a concept in which virtual patients are attended to by AI doctors.

The system, developed by a team at Tsinghua University in Beijing, aims to advance medical consultation by training doctor agents in a simulated environment. The team says this will equip them to evolve independently and enhance their ability to treat diseases.

According to Global Times, researchers claim the model will help further AI doctors’ diagnostic capabilities from the virtual realm to real-world applications and the potential for high-quality, affordable, and convenient healthcare services for the public.

Virtual patient simulation

The Agent Hospital concept enables real doctors to treat virtual patients, offering medical students advanced training opportunities. By simulating a diverse array of AI patients, medical students can confidently devise treatment plans without the risk of harming real patients due to decision-making errors.

In this virtual world, all doctors, nurses, and patients are driven by large language model (LLM)–powered intelligent agents capable of autonomous interaction.

According to Global Times, evolved AI doctor agents in the Agent Hospital have achieved an impressive 93.06 percent accuracy rate on a MedQA dataset (US Medical Licensing Exam questions) covering major respiratory diseases.

These intelligent agents can simulate the entire process of diagnosing and treating patients, from consultation and examination to diagnosis, treatment, and follow-up.

According to the team, AI doctors can treat 10,000 patients in just a few days—a task that would take humans at least two years to complete.

The university team points out that AI hospital town can simulate and forecast various medical situations, including the emergence, spread, and containment of infectious diseases within an area.

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Money, sex and a Buddhist monk: Head of China’s famed Shaolin Temple under investigation

China’s famed Shaolin Temple announced on Sunday that its abbot is under investigation for suspected embezzlement and “improper relationships” with women, reviving decade-old allegations against the controversial, high-profile monk.

Shi Yongxin, known as “CEO monk” for his entrepreneurial endeavors that transformed the Buddhist monastery into a commercial empire, is suspected of criminal offenses including embezzlement and misappropriation of project funds and temple assets, the temple’s authority said in a statement.

The 59-year-old monk was also accused of seriously violating Buddhist precepts by maintaining “improper relationships” with multiple women over an extended period and fathering at least one child, according to the statement.

Buddhist monks in China have traditionally been expected to take a vow of celibacy.

“(Shi) is currently under joint investigation by multiple departments. Further information will be released to the public in due course,” the statement added.

CNN has not been able to contact Shi.

Established more than 1,500 years ago in the forested mountains of central China, the Shaolin Temple is both a religious and cultural icon, renowned for its age-old tradition of Zen Buddhism and Shaolin kung fu – a distinct form of Chinese martial arts.

Shi, who became the abbot of the Shaolin Temple in 1999 and was a member of China’s rubber-stamp parliament for two decades, has frequently appeared in the media spotlight.

Known as the first Chinese abbot to hold a Master of Business Administration degree, he was often seen globetrotting with an iPhone in hand, meeting world leaders and industry titans – from the late Queen Elizabeth II of Great Britain, late South African president Nelson Mandela, and Henry Kissinger to Apple CEO Tim Cook.

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The Rise Of China’s ‘Surveillance Colonialism’ In Africa

African governments are using Chinese artificial intelligence to find, jail, torture, and even kill political opponents and pro-democracy activists, according to several investigations.

Researchers say Beijing is exporting its “surveillance state” model to African countries and rapidly positioning itself to control the critical infrastructure, data, and energy that will power the continent’s AI systems in the future.

This could mean that China will have immense influence over politics and public life in Africa, potentially influencing election outcomes and swaying public opinion in favor of Beijing and its allies, according to the studies.

Some academics say it’s happening already.

One investigation by a nonprofit studying the use of social media and other technology to target dissident groups worldwide concluded that a “largely invisible pattern” is transforming conflicts across Africa.

The Distributed AI Research Institute (DAIR) stated that using technology such as spyware to hunt political activists and employing facial recognition to track protesters represents “a new kind of mercenary force” in Africa, one that’s largely shaped by companies controlled from Beijing.

Adio-Adet Dinika, researcher and affiliate fellow at the Bremen International Graduate School of Social Science in Germany, headed DAIR’s Data Workers Inquiry project. It investigated incidents in countries including Ethiopia, Rwanda, and Zimbabwe.

Dinika’s research revealed the existence of “digital sweatshops” in African cities and towns, including in Nairobi, Kenya; Accra, Ghana; and Gulu, Uganda, where workers are paid as little as $1.50 per hour to teach AI systems to recognize faces, moderate content, and analyze behavior patterns.

The Chinese regime is perpetrating what Dinika called “digital colonialism at its most insidious.”

“I call this surveillance colonialism, the process by which foreign powers extract data and labor from African populations to build AI systems that ultimately police, repress, and destabilise those very populations,” he wrote.

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Single US Water Utility Receives 6 Million China-Based Connection Attempts In 1 Week: Security Report

A single water utility in California has received more than 6 million hits from China-based addresses within a week, pointing to the Chinese communist regime’s ongoing efforts to scan for U.S. critical infrastructure vulnerabilities, according to security experts.

The South Coast Water District (SCWD) blocked these connection attempts between July 15 and July 23.

It revealed the figure in a July 23 industry webinar hosted by the Water Information Sharing and Analysis Center, showing a firewall dashboard by security company ThreatSTOP.

SCWD provides potable water, recycled water, and wastewater services to about 40,000 residents, 1,000 businesses, and 2 million visitors annually in Orange County, California.

During the webinar, ThreatSTOP CEO Tom Byrnes and chief scientist Paul Mockapetris, who invented the Domain Name System, advised water industry professionals to tailor who is allowed access to their servers and said that there are some obvious limits one can set.

“If you’re a water district in southern California, you probably don’t have any customers in China,” Mockapetris said.

A ThreatSTOP case study on its website shows that as far back as 2011, even a school district’s network printers in West Memphis, Arkansas, were receiving regular access attempts from China.

Byrnes stated that the 6 million figure had increased overnight from 5 million, demonstrating that critical infrastructure, such as water systems, is constantly being scanned for vulnerabilities.

SCWD’s ThreatSTOP firewall dashboard also showed more than 34,000 blocked connection attempts originating from Bulgaria and more than 21,000 from Iran.

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China-Linked Hackers Breach US Nuclear Weapons Agency In Sophisticated Operation

The National Nuclear Security Administration (NNSA) has been hit by a sophisticated cyberattack that exploited a previously unknown vulnerability in Microsoft SharePoint, and is being widely described by one of the most serious breaches of US defense infrastructure this year. Fingers in the West are pointing to Beijing.

Hackers believed linked to the Chinese government used a zero-day exploit targeting on-premises versions of SharePoint to infiltrate over 50 organizations, including the agency responsible for the Navy’s nuclear submarine reactors. China is vehemently denying the charge.

The NNSA oversees both the production of nuclear reactors for submarines and the maintenance of the US nuclear arsenal. Cybersecurity experts are currently describing what’s known as an advanced remote code execution (RCE) attack.

The vulnerability reportedly affected SharePoint Server 2019 and the Subscription Edition, which allowed attackers to bypass security protocols and execute arbitrary commands on targeted systems, as described in Bloomberg.

The US Department of Energy is well-known to use Microsoft 365 cloud systems for a lot of its SharePoint work. “The department was minimally impacted due to its widespread use of the Microsoft M365 cloud and very capable cybersecurity systems,” a Department of Energy spokesperson conveyed in a statement to Bloomberg. “A very small number of systems were impacted. All impacted systems are being restored.”

It’s believed the hackers were able to gain unauthorized access, steal data, collect login credentials, and potentially move deeper into connected networks; however, the Department of Energy has claimed no classified or sensitive nuclear data was compromised in the breach.

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Microsoft knew of SharePoint server exploit but failed to effectively patch it

A security patch released by Microsoft (MSFT.O) last month failed to fully fix a critical flaw in U.S. tech giant’s SharePoint server software that had been identified in May, opening the door to a sweeping global cyber espionage operation.

It remains unclear who is behind the ongoing operation, which targeted around 100 organisations over the weekend. But Alphabet’s (GOOGL.O) Google, which has visibility into wide swathes of internet traffic, said it tied at least some of the hacks to a “China-nexus threat actor”.

The Chinese Embassy in Washington did not respond to a Reuters request for comment. Chinese government-linked operatives are regularly implicated in cyberattacks, but Beijing routinely denies carrying out hacking operations.

Contacted on Tuesday, Microsoft was not immediately able to provide comment on the patch and its effectiveness.

The vulnerability that facilitated the attack was first identified in May at a hacking competition in Berlin organised by cybersecurity firm Trend Micro (4704.T), which offered cash bounties for the discovery of computer bugs in popular software.

It offered a $100,000 prize for “zero day” exploits – so called because they leverage previously undisclosed digital weaknesses – that could be used against SharePoint, Microsoft’s flagship document management and collaboration platform.

A researcher working for the cybersecurity arm of Viettel, a telecommunications firm operated by Vietnam’s military, identified a SharePoint bug at the event, dubbed it ‘ToolShell’ and demonstrated a method of exploiting it.

The researcher was awarded $100,000 for the discovery, according to a post on X by Trend Micro’s “Zero Day Initiative”. A spokesperson for Trend Micro did not immediately respond to Reuters’ requests for comment regarding the competition on Tuesday.

Microsoft subsequently said in a July 8 security update that it had identified the bug, listed it as a critical vulnerability, and released patches to fix it.

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Her Biggest Scandal Yet! Iran and China Are Circumventing Sanctions via Notorious Bank and Letitia James Is Implicated

The Standard Chartered Bank sanctions evasion case, now in court in the US Second Circuit, found at least $9.6 billion of illegal payments by the bank to Iranian and Hezbollah entities.

The case implicates NYAG Letitia James and the Federal Reserve for ignoring billions of these illicit payments and ignoring Treasury sanctions designations. Maximum Pressure is not being enforced because of the failures of the Fed and the NYAG.

Make sure this case continues.

** Call the Southern District of New York …. Office number: 212-637-2200

At least $9.6 billion of specifically identified illicit payments were made by SCB from its NYC branch to OFAC and known terrorist names. The $9.6 billion was found in internal trade reports turned over by bank whistleblowers and represents the first batch from SCB Dubai office that cleared through SCB NYC. There are estimated over $100 billion more of illegal payments that are more recent and from SCB China where it has 53 mainland branches that facilitate dollar trade payments for oil and war-making materials.

These payments were hidden by SCB from required disclosure in its ongoing Deferred Prosecution Agreement now under the jurisdiction of DCUSA Pirro and SDNY Clayton where both were briefed on SCB after their appointments. There are career blockers at each jurisdiction.

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U.S.-China Dual Citizen Pleads Guilty to Stealing Missile-Tracking Tech from L.A. Firm

Chenguang Gong, a 59-year-old resident of San Jose, pled guilty on Monday to stealing missile-tracking technology from a research and development firm in the Los Angeles area.

The Department of Justice (DOJ) described Gong as a dual citizen of the United States and China. He came to the United States around 1993 and became a U.S. citizen in 2011. He earned a Master of Science degree in electrical engineering from Clemson and has done Ph.D. work at Stanford.

He was hired by the unnamed research and development firm in January 2023 as an “application-specific integrated circuit design manager responsible for the design, development and verification of its infrared sensors.”

Three months after he was hired, Gong allegedly began downloading thousands of files from his work computer to “personal storage devices.” Many of those files contained proprietary data and trade secrets, including details of a space-based system for detecting missile launches and tracking hypersonic weapons.

The company Gong took the files from was also involved with designing sensors that allow American military aircraft to detect and defeat heat-seeking missiles.

Gong was terminated by the “victim company” in April 2023. By that time, he had evidently accepted a job at a competing company, but he was still downloading sensitive files to his personal storage devices. DOJ said the data he downloaded was “worth hundreds of millions of dollars.”

Investigators digging into Gong’s background discovered he applied to Communist China’s “Talent Programs” on numerous occasions between 2014 and 2022, during which time he worked for “several major technology companies in the United States.”

China has several initiatives for aggressively recruiting foreign technology experts, the most infamous being the Thousand Talents Program (TTP). U.S. intelligence and law enforcement agencies say the talent programs have often been used to recruit espionage agents and steal valuable intellectual property for China.

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YouTube Eliminates Thousands of Chinese and Russian Propaganda Channels

Google said on Monday it has taken down almost 11,000 channels on YouTube for spreading propaganda. It allegedly linked 7,700 of them to China, and another 2,000 to Russia.

Google’s Threat Analysis Group (TAG) said the Chinese YouTube channels distributed content in English and Mandarin that promoted China’s interests, glorified dictator Xi Jinping, and criticized America’s positions on international affairs. Some of the Chinese channels were also highly critical of the Philippines, which is engaged in maritime territorial disputes with China.

The Russian channels allegedly employed various languages to criticize Western governments, the North Atlantic Treaty Organization (NATO), and Ukraine. Some of the Russian channels also spread information supportive of China and Iran.

TAG’s latest quarterly report also announced the termination of YouTube influence channels linked to Turkey, Romania, Iran, Ghana, Azerbaijan, and Israel.

The 43 channels linked to Turkey were “sharing content in Turkish that was supportive of the Turkish Victory Party.”

The Victory Party, known by its Turkish acronym ZP, is a nationalist party strongly critical of the Turkish government for taking in large numbers of refugees from Syria. It also opposes the government’s efforts to negotiate with the Kurdistan Workers Party (PKK), a violent separatist organization.

ZP leader Umit Ozdag was arrested in January for allegedly insulting President Recep Tayyip Erdogan and “inciting hatred against migrants.”

TAG said the 12 terminated Romanian channels were “sharing content in Romanian that was supportive of a specific Romanian political party,” but did not name the party.

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