On Dec. 22, President Biden signed the NDAA, signaling a 3 percent increase in defense budgets. This includes substantial funds directed toward reinforcing U.S. military deployments in the Indo-Pacific region to counter the influence of the Chinese Communist Party (CCP). Hong Kong and Macao are now classified as “foreign adversaries,” alongside North Korea, Russia, Cuba, Iran, and Venezuela. The bill treats Hong Kong and Macao equally as part of China, disregarding the “one country, two systems” principle. It also allocates funds to investigate potential crimes such as genocide, war crimes, and crimes against humanity committed by Hong Kong officials and businessmen.
The bill further earmarks $14.7 billion for U.S. deterrence and competition strategies in the Pacific, escalating the frequency and scale of operations of the Indo-Pacific Command to deter the expanding influence of the CCP in the region. President Biden’s signature enacted it into law.
US Imposes Sanctions on Hong Kong
In October, the U.S. Department of the Treasury unveiled a fresh round of sanctions targeting individuals and entities supporting Iran’s missile and drone programs. Among those sanctioned were three Hong Kong-based companies and one Hong Kong resident.
According to the Treasury Department, companies affiliated with the Islamic Revolutionary Guard Corps, utilizing local agents in Iran, facilitated the transport of dual-use electronic components from the United States and Japan to Iran through Hong Kong. An individual from the Hong Kong-registered company Nanxigu Technology Co., Limited (Nanxigu) is alleged to be an Iranian agent involved in purchasing U.S. and Japanese electronic components. Hong Kong-based Dai Li RF Technology Co., Limited is accused of receiving fund transfers related to Nanxigu and Iranian customers.
ICGOO Electronics Limited (ICGOO), another Hong Kong company, is charged with supplying sensitive components, including U.S.-origin goods, to previously sanctioned Chinese entities.
U.S. Treasury Department officials assert that Iran’s continued development of destructive drones and weapons contributes to ongoing global conflicts, including the supply of drones to Russia for use in bombing civilians in Ukraine.
Mr. De Geetere faces charges from the U.S. Department of Justice for illegally exporting sensitive military technology to China and Russia.
On Dec. 12, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) revealed that a Chinese citizen named Hu Xiaoxun utilized his private defense company, Jarvis (HK) Co. Ltd, based in China, to sell weapons and technology manufactured in China to Russia through third-party countries and intermediary companies. The items include ammunition, suicide drones, and semiconductor chip manufacturing equipment, collectively worth millions of dollars.
Citing the significant sanctions that affect Russia’s foreign exchange assets and excluded it from the SWIFT system, Mr. Shan believes that the U.S. government will not go easy on Hong Kong companies due to the challenges in distinguishing their background and connections with China and CCP authorities.
Shi Shan, a political commentator for the Chinese edition of The Epoch Times, said “the current intensity of the U.S.-China competition on the Hong Kong issue has reached a critical point.”If Hong Kong is metaphorically considered a bridge, “before any war breaks out, the first thing to be blown up is the bridge connecting the two hostile sides, and from now on, Hong Kong is no longer treated as an independent international financial center.”
CCP Shifts ‘Thousand Talents’ Operations to Hong Kong
Political commentator and Epoch Times contributor Ji Da said that in the pursuit of high-tech talent, the Chinese Communist Party (CCP) has redirected its efforts through Hong Kong, particularly following the United States’ investigation into the CCP’s “Thousand Talents Plan.”Initiated in December 2008, the “Thousand Talents Plan” aimed to attract elite scientists trained abroad, leading to concerns from Washington about threats to U.S. interests and technological advantages. In 2018, U.S. agencies investigated several individuals recruited under the plan.
Reuters analyzed over 500 government documents from 2019 to 2023, unveiling detailed information on the CCP’s recruitment strategies. The major project, replacing the “Thousand Talents Plan,” is named “Qiming” and is sponsored by the CCP’s Ministry of Industry and Information Technology.
The sources revealed that the “Qiming” project targets science and technology talents, with a focus on “sensitive” or “confidential” areas like semiconductors. In three years, the program has successfully attracted over 1,500 high-level overseas talents, surpassing the total recruited in the previous 30 years.
Dean Boyd, spokesperson for the U.S. National Counterintelligence and Security Center, emphasized that foreign adversaries recognize the importance of accessing top U.S. and Western talent, posing risks to the U.S. economy and national security when recruitment activities create conflicts of interest.
Post the investigation into the CCP’s “Thousand Talents Plan,” The Epoch Times found that publicly available information suggested that over a hundred scholars in Hong Kong were involved.
Many projects initiated by the Hong Kong government, including the Greater Bay Area, technology park initiatives, and innovative high-tech projects, bear the influence of “Thousand Talents Plan” scholars. This includes the recent passing of AI leader Tang Xiao'ou, the founder of Sense Time, selected under the “Thousand Talents Plan.”
Before his demise, Mr. Tang served as the Department Head of Information Engineering at the Chinese University of Hong Kong and Deputy Dean of Shenzhen Institute of Advanced Technology in the Chinese Academy of Sciences.
Five years later, in January 2023, the Chinese University of Hong Kong (Shenzhen) invited outstanding overseas talent to apply for the project. The university highlighted its success in introducing over 520 world-renowned teachers, including Nobel laureates, Turing Award winners, Fields Medalists, and national-level expert talents.
Post the setbacks faced by the CCP’s “Thousand Talents Plan,” Hong Kong shifted to the introduction of the “Ten Thousand Talents Plan.” The “Shanghai-Hong Kong University Alliance,” established in November 2018, aims to deepen students’ identification with China and provide talent for the region.
Mr. Da mentioned that the CCP previously “used Hong Kong as a base to implement the Thousand Talents Plan,” but under U.S. government sanctions, both funding and talent absorption were severely restricted.
He predicts that the impact of the legislation announced by the U.S. House and Senate will be profound. He believes that the enactment of the NDAA by the United States will set an international trend, leading to Hong Kong being abandoned on the global stage as the CCP antagonizes the world.
