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US warns: Israeli high-tech industry is a major destination for China
The US Assistant Secretary of State told a conference of an Israeli research institute that Washington expects Israel to monitor Chinese investment more closely.
This is the first time a senior American official has publicly warned of Chinese involvement in Israeli high-tech.
"Ask yourself if China will ever defend Israel like the United States"
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United States
China
Beijing
Hi-Tech
Lightning Ravid
Monday, 21 December 2020, 19:59
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Editing: Stick Pages
The United States is concerned about China's intrusion into the high-tech industry in Israel, US Assistant Secretary of State for Middle East Affairs David Shenkar said today (Monday).
He raised concerns at a conference of the Signal Research Institute, which deals with Israel-China relations and encourages academic cooperation between the two countries.
This is the first time a senior US administration official has publicly warned against Chinese involvement in Israeli high-tech.
For the past four years, the Trump administration has run an international campaign to curb China's influence around the world.
In this context, the administration exerted pressure on Israel to cool its relations with China and limit Chinese intrusion into the Israeli economy.
The pressure achieved relatively few results.
Israel has also refused to impose controls on Chinese investments in high-tech companies.
"The Israeli high-tech industry is a major target for the Chinese. We are concerned that they will acquire Israeli technologies that can be used twice, which could put the United States in danger," Shenkar said in a zoom call from Washington.
"We would like to see Israel do more to oversee Chinese investments - especially in the high-tech field."
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"The Israeli high-tech industry is a major destination for the Chinese."
Netanyahu and Chinese President Jinping (Photo: AP)
The US Assistant Secretary of State stressed that the United States does not expect Israel to stop trading with China, but wants to make sure that Israel has no illusions about ties with China and trade with it.
"Ask yourself if you think China will ever defend Israel like the United States or advance agreements like the Abrahamic Agreements?" Shenkar said.
Shenkar noted that deals in which China takes over critical and strategic infrastructure in Israel and databases could pose a threat to national security.
He said that together with Foreign Minister Pompeo, he pressured senior Israeli officials to examine Chinese investments in more depth.
He added that the existing Israeli oversight mechanism is unsatisfactory and stressed that Israel must strengthen it.
"We are ready to share our experience with Israel and provide technical assistance to the Israeli supervision mechanism," said Shenkar.
He said Israel must not pass over in silence the violation of human rights in China and the fact that the Chinese are buying oil from Iran and undermining the attempt to curb Iranian aggression in the region.
The aggressive policy towards China began during the Trump administration, but it enjoys bipartisan support in Washington.
Senior Israeli officials believe that the policy is expected to continue even after the entry of President-elect Joe Biden into the White House.
Reserve Brigadier General Assaf Orion, who is researching the Chinese issue at the Institute for National Security Studies, recently published an article in which he claimed that in light of the fact that the United States defined China as the main security threat, Israel could not continue "business as usual" with it.
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To the full article
"Willing to provide technical assistance to the Israeli supervision mechanism."
David Shenkar (Photo: Chen Galili, National Security Institute)
In his article, Orion also warned of Chinese intrusion into the Israeli high-tech industry and the danger of industrial espionage.
He noted that future Chinese attempts to intervene in Israel's political system could not be ruled out.
"The lessons of the United States are warning signs of unique challenges and risks in relations with China, to which Israel is also exposed, and should not be ignored," Orion wrote.
According to him, Israel needs to formulate a strategy for dealing with China, increase the intelligence resources devoted to the country and deepen the professional proficiency in the subject in government and academia.
"It is important to listen to the melody that emerges from Washington as well," Orion wrote.
"Israel's room for maneuver in its relations with China is expected to shrink, while American sensitivity to them will skyrocket."
Charis Viti, an expert on China and chair of the Signal Institute for the Study of Israel-China Relations, said that we are "in the midst of a strong struggle between the two powers.
And Israel, whether you like it or not, is part of this struggle.
"There is no doubt that the next arena of wrestling is the arena of Israeli technology and innovation, and an intelligent approach to China that takes care of the Israeli interest in relation to all the various players in the arena, and deeply understands the Chinese way of thinking, is the only way to navigate this minefield safely."
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