Cyber security
To Shen, the low point in 2014 was in cyber security, in particular when the US Justice Department announced on May 19 the indictment of five Chinese People's Liberation Army officers for alledged cyber espionage against US corporations for commercial advantage.
While many observers in both China and the US have criticized the Justice Department's move as unconducive to the dialogue on cyber security, the Chinese government protested against what it called groundless accusations and demanded the US revoke the charges. The Chinese also suspended the bilateral working group on cyber security set up in 2013 to tackle the growing challenge in cyber space.
The US has in the past two years revved up its accusation against the Chinese government of sponsoring cyber theft of US corporate secrets, charges that China has denied.
China has voiced deep concern over revelations made by former National Security Agency (NSA) contractor Edward Snowden since June 2013 about the widespread surveillance conducted by NSA against the Chinese government, businesses and universities.
Months after the working group on cyber security was suspended, Lu Wei, minister of China's State Internet Information Office, visited the US in early December to engage in a dialogue with US officials and industrial leaders, including Under Secretary of State for Economic Growth, Energy and Environment Catherine Novelli and Facebook founder Mark Zuckerberg.
To Cheng Li of Brookings, the two countries must resolve the cyber security issue. "It's unimaginable if we don't find a way out," he warned.
Li described China-US cooperation in cyber security as extremely important because of the special features of attacks on that front. "There is a huge advantage for one side to take pre-emptive strike; it is often hard to know where the attack comes from, probably from just a lone wolf; and the consequences of such attacks could also be unimaginable," he said.
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