# Economic Espionage for U.S. Tech Leaders

> U.S. should spy on foreign companies to protect frontier tech from Chinese competition.
- Title: Economic Espionage for U.S. Tech Leaders · Foreign Affairs
- Summary: U.S. should spy on foreign companies to protect frontier tech from Chinese competition. The U.S. should allow intelligence agencies to share commercial…
- Keywords: economic espionage, u.s. intelligence, chinese tech, frontier technologies, national security, trade secrets, semiconductors, quantum computing, chips, chips and science act, inflation reduction act, Economic
- Source: Foreign Affairs — https://foreignaffairs.com/united-states/case-economic-espionage-david-cohen
- Author: David S. Cohen
- Published: 2026-10-08T08:00:00+00:00
- Read time: 1 min
- Topics: economic espionage, u.s. intelligence, chinese tech, frontier technologies, national security, trade secrets, semiconductors, quantum computing, ai, chips, chips and science act, inflation reduction act
## Historical Espionage
For decades, adversaries and allies have spied on American companies to gain innovation insights.

> The Center for Strategic and International Studies recorded 224 incidents of Chinese-sponsored espionage against the United States that occurred between 2000 and 2023, of which more than half targeted commercial technologies.
## U.S. Policy Ban
The U.S. intelligence community has long maintained a policy against spying on foreign companies for commercial advantage.

> In 2014, President Barack Obama codified the ban on economic espionage.
## China's Threat
China systematically steals trade secrets from U.S. companies to advance its industrial policy.

> In 2015, China's State Council announced the 'Made in China 2025' initiative to lead in ten key technologies by 2025.
## Current Tech Landscape
U.S. national security now depends on private-sector innovations in AI, semiconductors, quantum science, and bioengineering.

> The U.S. lead in many crucial advanced technologies is being contested or even erased by China.
## China's Advancement
China leads in supercomputing, battery technology, and quantum computing with rapid progress.

> In June 2026, a Chinese lab built the world's most powerful supercomputer with a 20 percent improvement over its closest american competitor.
## U.S. Response
The U.S. has used economic tools like tariffs and export controls to protect tech industries but lacks economic espionage.

> The Biden administration's CHIPS and Science Act and Inflation Reduction Act cited national security to support u.s. tech industries.
## Proposed Solution
The U.S. should allow intelligence agencies to share trade secrets with frontier tech firms to counter Chinese competition.

> The president should issue an executive order authorizing intelligence sharing with the private sector, even if it provides companies a commercial advantage.
## Implementation
The executive order must target specific countries, sectors, and companies while ensuring oversight and national security alignment.

> The order should permit the administration to add new sectors after consulting with intelligence committees, provided they meet rigorous criteria.
## Oversight
Congress must ensure economic espionage does not become politicized or corrupted through annual audits and intelligence briefings.

> Congress should direct the inspectors general of the U.S. Intelligence Community to conduct an annual audit to verify whether the program advances national security.
## Risk Assessment
Abandoning the norm could trigger a spy race with China but the U.S. has no evidence of Chinese restraint.

> There is no evidence that the chinese intelligence services have been holding back until now because of u.s. self-restraint.
## Frontier Technologies
Frontier technologies like AI, semiconductors, and quantum computing are critical to national security and commercial success.

> The same or similar ai models are used by businesses and consumers across the general economy, enhancing efficiency and personal productivity.
## U.S. Leadership
The U.S. must act now to protect its technological edge against Chinese industrial policy advancements.

> The United States could reap crucial benefits from sharing foreign trade secrets with select tech firms.
## Conclusion
The U.S. should lift its prohibition on economic espionage to maintain technological leadership in frontier industries.

> The United States can no longer afford to withhold its most sophisticated intelligence from the companies that may well define the country's security and power.
## Key takeaway

The U.S. should allow intelligence agencies to share commercial secrets with tech firms to counter China's industrial policy.