Tag: china

Germany Pressures Apple and Google to Ban Chinese AI App DeepSeek

Apple and Google are facing mounting pressure from German authorities to remove the Chinese AI app DeepSeek from their app stores in Germany over data privacy violations.

The Berlin Commissioner for Data Protection and Freedom of Information, Meike Kamp, has flagged the app for transferring personal data to China without adhering to EU data protection standards.

Kamp’s office examined DeepSeek’s practices and found that the company failed to offer “convincing evidence” that user information is safeguarded as mandated by EU law.

She emphasized the risks linked to Chinese data governance, warning that “Chinese authorities have far-reaching access rights to personal data within the sphere of influence of Chinese companies.”

With this in mind, Apple and Google have been urged to evaluate the findings and consider whether to block the app in Germany.

Authorities in Berlin had already asked DeepSeek to either meet EU legal requirements for data transfers outside the bloc or remove its app from German availability.

DeepSeek did not take action to address these concerns, according to Kamp.

Germany’s move follows Italy’s earlier decision this year to block DeepSeek from local app stores, citing comparable concerns about data security and privacy.

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Kash Patel Says He Can Prove Christopher Wray Lied Under Oath About Election Interference

While many on the left insisted that President Donald Trump’s first term was illegitimate due to unfounded allegations of foreign election interference, the same sources were indignant — or simply remained silent — in the face of similar claims surrounding Joe Biden’s victory four years later.

And now, FBI Director Kash Patel is coming forward with evidence he has about his predecessor’s assurances that China didn’t play a role in the 2020 presidential election.

According to the Daily Mail:

The Daily Mail can exclusively report that Patel plans to hand over to Congress this week proof that former FBI Director Christopher Wray lied to Congress.

Specifically, he will detail to leaders how FBI headquarters ‘recalled’ a report solely because it contradicted Wray’s claims under oath to Congress that China was not conducting a foreign influence campaign in U.S. elections.

The FBI field office in Albany, New York produced an Internal Intelligence Report (IRR) that was published and then pulled back without justification, Patel reveals.

FBI bosses at the time shut down this legitimate investigation into the Chinese Communist Party (CCP) to shield Wray from fallout, sources tell the Daily Mail.

The FBI was investigating at the time the existence of CCP-produced drivers licenses to obtain paper ballots and the Albany office published an IRR on the claims.

They were then told by headquarters to pull the report and pretend it didn’t exist, Patel will reveal.

The current Director will tell Congress that the reason the IRR on this investigation was never released was because they admitted that ‘the reporting will contradict Director Wray’s testimony.’

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GOP Senators Present Evidence China Bankrolls Environmentalist Lawsuits To Cripple U.S. Power

Senators met yesterday for a subcommittee hearing to discuss claims that the Chinese Communist Party (CCP), foreign donors, and leftist legal activism are behind a “systematic campaign” to dismantle American energy dominance.

Throughout the hearing, Chairman Ted Cruz, R-Texas, emphasized how foreign funding and activist litigation are undermining U.S. energy infrastructure, posing a national security threat. His four Democrat colleagues repeatedly dismissed the concerns as a “conspiracy theory,” instead focusing on energy costs and “global warming.”

The “assault by the radical left,” “paid for by the [CCP],” seeks to “seize control of our courts [and] to weaponize litigation against U.S. energy producers,” Cruz said. He noted the assault is “three-pronged,” weaponizing “foreign funding, mass litigation, and judicial indoctrination” against “American energy independence.”

In describing the first prong, Cruz highlighted a “strategic alliance … between leftist billionaires, radical environmental organizations, and the Chinese Communist Party.” He said, “One of the primary vehicles for this alliance is Energy Foundation China, which has funneled upwards of $12 million to U.S.-based climate advocacy groups since 2020.”

This money flows “directly to aggressive litigation outfits” that file lawsuits against American gas and oil companies, Cruz said. He later said the “second prong” of the assault is a “legal barrage” aimed at bankrupting such companies. Cruz said more than 30 lawsuits have been filed in “at least 15 Democratic-run jurisdictions, including by 12 states” against U.S. oil, gas, and coal producers.

Scott Walter, president of Capital Research Center, testified during the hearing. He said, “Many environmentalist groups funded by the multitude of left-wing billionaires have disturbing foreign ties,” citing big-money international players such as Neville Roy Singham.

Singham lives in Hong Kong and was investigated by the FBI in 1974 for being “potentially dangerous” because he engaged in “activities inimical to the U.S,” according to Influence Watch. Walter also highlighted Swiss billionaire Hansjörg Wyss, who spent $650 million on left-wing organizations, including “ClimateWorks Foundation, Earthjustice Legal Defense Fund, and Natural Resources Defense Council,” Walter’s testimony cites.

Climate lawfare groups suing American energy have raked in $500 million in 2023 from lawsuits, according to IRS forms Cruz cited during the hearing.

“They are using theories that are preposterous, legally speaking, and most of these theories will eventually hit a wall when they hit the final court,” Kansas Attorney General Kris Kobach told The Federalist. Kobach said in his written testimony that some states have overstepped their bounds by “regulating conduct and industries far beyond their borders.”

Cruz said the “third prong” of the assault against American energy is “judicial capture,” primarily by the Environmental Law Institute (ELI), which holds “near total control over climate-related judicial training.” ELI’s Climate Judiciary Project (CJP) seeks “to ‘educate’—from a left-wing perspective—federal and state judges about climate change and related litigation designed to extract billions of dollars from energy companies,” Walter said in his written testimony.

The program claims to be nonpartisan but pressures judges into a specific “predetermined political narrative” and is funded by “left-wing bankrollers,” Cruz said. He said “more than 2,000 judges have participated” in the program.

“I’m skeptical that the CJP wants to help energy,” Walter said in response to a question from Cruz.

The four Democrat senators at the hearing unanimously wrote the CCP allegations off as a “conspiracy theory,” with Sen. Dick Durbin, D-Illinois, saying global warming is the real threat Congress should address. Witness David Arkush, the director of the Public Citizen’s Climate Program at the left-wing Roosevelt Institute, also dismissed the CCP allegations as “conspiracy theory.” Arkush told The Federalist, “I don’t see why [CCP] would be funding litigation against the U.S. oil and gas industry.”

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Rare Earth Startups Say Without Subsidies and Support, US Can’t Shake China’s Control

Without a federally supported market and strategic reserve stockpile, the United States will remain reliant on China for critical minerals and rare earth refining, experts told a House panel during two-plus hours of testimony on June 24 that exposed how vulnerable the global economy and the nation’s defense is to the whims of the Chinese Communist Party.

Even with swift deregulation, permitting reform, and rapid recycling ramp-up, they warned, it will take years of government support to untether domestic manufacturing from a supply chain China has strategically built for decades.

“Over the years it’s taken for us to do nothing, the Chinese have dominated. They and their government have been extremely supportive of their ability to create world dominance in this, and it was part of a strategy,” U.S. Critical Materials Executive Director Harvey Kaye said during the hearing before the House Small Business Committee.

This glaring vulnerability is confirmed by the Congressional Research Service’s April 2024 report documenting the nation’s 100 percent import reliance for 12 of 50 “most critical” minerals, and more than 50 percent import reliance for another 29.

The U.S. Geological Survey’s (USGS) Mineral Commodity Summaries January 2025 report paints an even scarier picture. Of 31 critical minerals needed to produce everything from iPhones to F-35 fighter jets, the United States cannot domestically source any and can commercially refine only one, beryllium.

China, meanwhile, is the lead source for eight and the near-exclusive provider of 17 minerals needed for a rapidly electrifying economy. China processes two-thirds of the world’s lithium and cobalt, supplying 60 percent to 90 percent of the world’s processed minerals.

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China Reportedly On Verge Of 100 DeepSeek-Like Breakthroughs Amid Aspirations For World Domination

China is preparing to launch a tsunami of domestic AI innovation, with more than 100 DeepSeek-like breakthroughs (more here) expected within the next 18 months, according to former PBOC Deputy Governor Zhu Min, as reported by Bloomberg. This development signals Beijing’s intent to rapidly close the technological gap ahead of the 2030s. 

Speaking at the World Economic Forum’s “Annual Meeting of the New Champions” in Tianjin, China, Min told the audience that 100 DeepSeek-like breakthroughs “will fundamentally change the nature and the tech nature of the whole Chinese economy.”

The emergence of DeepSeek, a low-cost, powerful AI model, has fueled Chinese tech stocks and underscored China’s AI competitiveness despite U.S. restrictions on advanced chips and domestic macroeconomic headwinds. Bloomberg Economics projects high-tech’s contribution to China’s GDP could rise from 15% in 2024 to over 18% by 2026.

Traders are rotating into Chinese equities, with the Hang Seng Index surging 25% year-to-date, significantly outperforming the S&P 500, which is up just 3.3% and effectively flat in real terms. China stocks outperformed soon after DeepSeek’s launch in January. 

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Will China, Not the U.S., Rule the 21st Century?

I recently read Ray Dalio’s Principles for Dealing with the Changing World Order. While I take issue with many of Dalio’s views, his method for measuring national power is worth paying attention to. He breaks it down into eight key pillars—education, innovation, competitiveness, military strength, trade influence, economic output, financial center dominance, and reserve currency status—and then uses something called z-scores to compare countries across each one.

Having recently written to you about the ongoing U.S.–China trade war (see here and here), I was curious how this framework would stack up when applied to the two major powers today. So I went digging—and sure enough, I found a recent dataset that applies the same methodology using updated numbers. I’ve plotted it in this week’s chart below.

Again, what you’re seeing here are z-scores—basically, a way to show how far above or below the global average a country sits in each category. A score of 0 means you’re at the global average. Scores below 0 mean you’re trailing it. Anything above 1 means you’re solidly ahead. Above 2? You’re in rare company—top-tier status.

Now, the U.S. still dominates in the areas you’d expect—finance and military power. For example, America’s financial center strength (2.7) dwarfs China’s (0.2). Same goes for reserve currency status: 1.9 for the U.S., versus -0.6 for China.

Naturally, I’m not exactly sold on that financial dominance narrative. A bit hard to claim that with nearly $37 trillion in debt, deficits that would make a drunken sailor blush, and a global reserve status that’s losing altitude fast.

Either way, here’s where things get interesting…

Data shows that while, yes, the U.S. still leads in finance and military power, China’s catching up fast in the areas that matter most for the future.

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China shuts down AI tools during nationwide college exams

Chinese AI companies have temporarily paused some of their chatbot features to prevent students from using them to cheat during nationwide college exams, Bloomberg reports. Popular AI apps, including Alibaba’s Qwen and ByteDance’s Doubao, have stopped picture recognition features from responding to questions about test papers, while Tencent’s Yuanbao, Moonshot’s Kimi have suspended photo-recognition services entirely during exam hours.

The increasing availability of chatbots has made it easier than ever for students around the world to cheat their way through education. Schools in the US are trying to address the issue by reintroducing paper tests, with the Wall Street Journal reporting in May that sales of blue books have boomed in universities across the country over the last two years.

The rigorous multi-day “gaokao” exams are sat by more than 13.3 million Chinese students between June 7-10th, each fighting to secure one of the limited spots at universities across the country. Students are already banned from using devices like phones and laptops during the hours-long tests, so the disabling of AI chatbots serves as an additional safety net to prevent cheating during exam season.

When asked to explain the suspension, Bloomberg reports the Yuanbao and Kimi chatbots responded that functions had been disabled “to ensure the fairness of the college entrance examinations.” Similarly, the DeepSeek AI tool that went viral earlier this year is also blocking its service during specific hours “to ensure fairness in the college entrance examination,” according to The Guardian.

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China Strikes Hard: Chinese Satellite Pulverizes Starlink With a 2-Watt Laser 36,000 KM From Earth

In a stunning leap forward for space technology, Chinese scientists have achieved an unprecedented breakthrough in satellite communication, using a laser as weak as a nightlight to outpace the speeds of Starlink. Operating from an altitude of 36,000 kilometers—more than 60 times higher than SpaceX’s Starlink network—this Chinese satellite has demonstrated a level of data transmission far superior to what Starlink can offer, pushing the boundaries of what many thought possible.

An Astonishing Achievement

At the heart of this success is a 2-watt laser, which was able to transmit data at an astounding 1 Gbps. This speed is five times faster than Starlink’s capabilities, which are limited to a few megabits per second despite operating at a lower altitude of around 550 kilometers. According to InterestingEngineering, the laser, though faint as a candle’s glow, managed to push data through Earth’s turbulent atmosphere, overcoming a challenge that has long plagued satellite communications: atmospheric turbulence.

The team behind this achievement, led by Professor Wu Jian from Peking University and Liu Chao from the Chinese Academy of Sciences, developed an innovative method to address the interference caused by atmospheric turbulence. Their solution, known as AO-MDR synergy, combines Adaptive Optics (AO) and Mode Diversity Reception (MDR) to sharpen and stabilize the laser signal, ensuring that even through highly turbulent conditions, the transmission remained clear and reliable.

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FDA halts Biden-era program of sending Americans’ DNA to China for genetic engineering

The Trump administration is halting companies from conducting clinical trials in China using Americans’ DNA samples in a program authorized by the Biden administration, according to the Food and Drug Administration.

The FDA said an immediate review has begun on new clinical trials that involve sending living cells of U.S. citizens to China and other hostile states for “genetic engineering and subsequent infusion back into U.S. patients — sometimes without their knowledge or consent.”

The agency moved to halt the program based on what it said is mounting evidence that some of the trials were conducted without informing people involved that their biological material was being transferred and manipulated.

The activity “may have exposed Americans’ sensitive genetic data to misuse by foreign governments including adversaries,” the FDA said in a statement Wednesday.

FDA Commissioner Marty Makary said the unacknowledged transfer of DNA samples has raised questions about the integrity of U.S. biomedical research.

“We are taking action to protect patients, restore public trust and safeguard U.S. biomedical leadership,” Dr. Makary said. “The previous administration turned a blind eye and allowed American DNA to be sent abroad — often without the knowledge or understanding of trial participants,” he said.

The FDA said the suspect transfer of Americans’ biomedical samples was the result of a December 2024 policy by the Biden administration that was put in place by the Justice Department in April.

The Biden rule imposed export controls that limited the transfer of sensitive data to countries of concern. But the Biden administration specifically approved a “sweeping exemption” that allowed U.S. companies to send trial participants’ biological samples, including DNA, for processing overseas in FDA-regulated clinical trials.

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Chinese Lab Creates Mosquito-Sized Spy Drones

Chinese state media reported on Friday that the National University of Defense Technology (NUDT) in Hunan has created a surveillance “microdrone” the size of a mosquito.

“Here in my hand is a mosquito-like type of robot. Miniature bionic robots like this one are especially suited to information reconnaissance and special missions on the battlefield,” NUDT student Liang Hexiang told the state-run China Central Television (CCTV).

The device Liang showed off had a stick-thin body, three hairlike “legs,” and tiny leaf-shaped wings. The report did not go into details about its range, endurance, control systems, or surveillance capabilities.

Drones that could be mistaken for insects are a holy grail for the fast-growing surveillance robot industry. The Wyss Institute at Harvard University unveiled its “RoboBee,” a microdrone with superficial similarities to China’s mosquito drone, in 2019.

RoboBee is allegedly about half the size of a paper clip, weighs a tenth of a gram, and flies by contracting tiny artificial “muscles “ with jolts of electricity. At present, the microdrone can only operate within the carefully controlled confines of its laboratory, but its developers hope it will someday be capable of navigating in the outside world with senses comparable to a real bee.

The designers of RoboBee hope the fully independent version of their creation could assist with environmental monitoring, search and rescue, and even pollination of crops, much as real bees do. Of course, it requires little imagination to see how microdrones could be weaponized for surveillance or assassination.

According to Chinese state media, the People’s Liberation Army (PLA) already has some drones that weigh less than a kilogram, fly in AI-controlled swarms, and can carry small explosives.

Under current definitions, a “microdrone” is any unmanned aerial vehicle (UAV) that weighs less than 250 grams (a little under 9 ounces).

Most existing microdrone designs are fairly slow because their tiny frames cannot carry engines that generate much thrust, but in May a student at the Chinese University of Hong Kong in Shenzhen set a world speed record with a palm-sized drone that flew at over 211 miles per hour.

The smallest drone currently employed by Western armed forces is the Black Hornet 4, a Norwegian design that looks like a palm-sized toy helicopter. The Black Hornet 4 boasts thermal imaging and low-light optics. It comes in a travel case that is small enough for soldiers to carry on their belts.

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