China detained a South Korean on suspicion of espionage

China yesterday confirmed the detention of a South Korean citizen suspected of espionage, saying it had informed embassy officials, without identifying the person or giving details of the allegations.

It is the first time a South Korean citizen has been detained under the expanded counterintelligence law that came into effect last July.

The case could hamper investment and operations by South Korean companies in the country’s biggest trading partner following an exodus of Japanese expatriates after a compatriot who worked for Astellas Pharma Inc faced similar charges.

Photo: AFP

It refers to a former Samsung Electronics Co employee who was then working for a Chinese chip manufacturing firm, Yonhap news agency reported.

“A South Korean citizen has been arrested by Chinese authorities under the law on suspicion of espionage,” Chinese Foreign Ministry spokesman Lin Jian (林劍) told a regular briefing in Beijing, without giving details.

He added that the South Korean embassy in China had been informed about it.

Yonhap reported on Monday that the man was suspected of leaking semiconductor-related information to South Korean authorities and was living in Hefei in China’s eastern Anhui province when he was detained.

The city is home to the headquarters of major Chinese chip manufacturers such as ChangXin Memory Technologies Inc (長鑫存儲).

Since Washington began banning exports of advanced foreign chips and chip-making equipment to China in 2020, Beijing has invested billions of dollars in its domestic semiconductor industry to achieve its goal of self-sufficiency.

Tensions surrounding the industry have made Beijing wary of leaks, which it views as a threat to national security.

Confirmation of the arrest also comes after Seoul has cracked down on what it sees as the theft of semiconductor intellectual property by Chinese companies.

Choi Jin-seong, a former Samsung executive who ran a chip manufacturing facility in China, was detained by the Seoul Central District Court last month on new charges related to the theft of chip processing technology.

Choi has already been the subject of a high-profile industrial espionage trial since last July, which has highlighted South Korea’s efforts to crack down on industrial espionage and slow China’s progress in chip manufacturing. Choi denies any wrongdoing.