Chinese Intelligence Agent Sentenced for Attempting to Steal Trade Secrets From US Aviation Firms

Yanjun Xu, a Chinese national and the first Chinese government intelligence official to be extradited to the U.S. to stand trial, was sentenced Nov. 16 to 20 years in prison, DOJ announced. Xu stole trade secrets from American aviation companies by recruiting employees to travel to China and then stealing their proprietary information on behalf of the Chinese government, the U.S. said. A federal jury in November 2021 convicted Xu on all counts: conspiracy to commit economic espionage, conspiracy to commit trade secret theft, attempted economic espionage and attempted trade secret theft (see 2111080021).

Xu started as an intelligence officer in 2003, later becoming deputy division director at the Chinese Ministry of State Security. Starting in 2013, Xu targeted U.S. aviation firms, using aliases, false companies and universities to trick the companies' employees and steal information, DOJ said. Believing they were giving a presentation at a university, the aviation employees went to China where Xu paid for travel costs and stipends for the employees. The defendant then worked with other MSS agents to "hack or copy computers in hotel rooms" while the aviation individuals were taken to dinner by the MSS.

DOJ in its release detailed Xu's and the MSS's efforts to steal trade secrets from GE Aviation and a French aerospace manufacturer. The defendant tried to steal technology related to GE Aviation's exclusive composite aircraft engine fan module for the Chinese government. A GE Aviation employee, working with the FBI, then got Xu to travel to Belgium under the guise of paying for this information. He was arrested in Belgium and extradited to the U.S.

“As proven at trial, the defendant, a Chinese government intelligence officer, used a range of techniques to attempt to steal technology and proprietary information from companies based in both the U.S. and abroad,” Attorney General Merrick Garland said. “Today’s sentence demonstrates the seriousness of those crimes and the Justice Department’s determination to investigate and prosecute efforts by the Chinese government, or any foreign power, to threaten our economic and national security.”