U.S accuses China of cyber-spying on government computers

• U.S government computers and firms have been targeted in recent months
• Pentagon claims attacks can be attributed directly to Chinese government
  
• It is the first time the Pentagon's annual report has linked attacks to China's government and military
  
• China officials have rebuffed America's 'groundless accusations'
  

By Daily Mail Reporter

Published: 05:27 EST, 7 May 2013 | Updated: 09:52 EST, 7 May 2013

The Pentagon has accused China of sponsoring cyber-attacks on U.S government computers as part of a campaign of cyber-espionage.

This is the first time the Pentagon's annual report has directly linked such attacks to the Beijing government.

The annual Pentagon report claims that at least some attacks on US government and other computer systems appeared to be 'attributable directly' to the Chinese government and military.

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Targeted: The Pentagon, pictured, has accused the Chinese government and military of involvement in the numerous cyber-attacks launched against U.S networks for the first time in its annual report

It alleges China is using its cyber capabilities to collect intelligence against US diplomatic, economic and defence programs, and is developing the skills needed to conduct cyber-warfare.

The new wording in the report continues an escalating effort by US officials to call out the Chinese on the cyber-attacks and to press for a more open dialogue with Beijing on the problem.

The Pentagon report also criticises a 'lack of transparency' in China's military modernisation programme and defence spending.

The report from the US Department of Defense states: 'In 2012, numerous computer systems around the world, including those owned by the US government, continued to be targeted for intrusions, some of which appear to be attributable directly to the Chinese government and military.'

China has rebuffed the claims, with its Foreign Ministry repeating that it opposes cyber-attacks as well as 'all groundless accusations and hyping' that could harm prospects for cooperation.

Suspicions: A hacking attack on the servers of South Korean broadcasters and banks is believed to have come from North Korea. This shows a row of broken cash machines after the network shutdown

'We are willing to hold even-tempered and constructive dialogue with the U.S.' about cybercrime, a spokesman said.

The issue was highlighted in February with the issuing of a report by cyber-security firm Mandiant that claimed to have traced several years of cyber-attacks against 140 mostly American companies to a Chinese military unit in Shanghai.

The firm identified the People's Liberation Army's Shanghai-based Unit 61398 as the most likely driving force behind the attacks.

It said says the office block is linked to stolen technology blueprints, manufacturing processes, clinical trial results, pricing documents, negotiation strategies and other secret data from more than 100 companies.

More alarmingly, it claimed the unit, known as the Comment Crew, also made incursions into the computer networks that control oil pipelines, power grids, water plants and other pieces of key state infrastructure.

Hacked: The New York Times office in Manhattan. The newspaper has reported that its computer system was breached by Chinese hackers

Mandiant executives say attacks originating in China have continued since then, with the exception of those from Shanghai-based Unit 61398 that had been highlighted in its earlier report.

Chinese hackers were also accused of being responsible for hacking The Washington Post and The New York Times earlier this year.

And just last month, hacking attacks on the servers of South Korean broadcasters and banks originated from an IP address based in China.

But China says it is impossible to tell the true origin of cyber-attacks, and accuses hostile forces of blaming it out of prejudice or a desire to put Beijing on the defensive.

Senior Col. Wang Xinjun, a People's Liberation Army researcher, described the accusations as 'irresponsible and harmful to the mutual trust' between the two countries.

Col. Wang, who is based at the Academy of Military Sciences in Beijing, one of the PLA's main think tanks, told the official Xinhua News Agency: 'The Chinese government and armed forces have never sanctioned hacking activities.'

Under attack: The Washington Post spent most of 2012 trying to deal with Chinese hackers who infiltrated their computer network