Relationship between the USA and China – ABB in the maelstrom of espionage allegations – News

A US Congressional commission is investigating whether China is misusing ABB software to spy in the US. ABB has to take a stand. The case shows that doing business with China and the USA at the same time is becoming increasingly difficult.

It is the first time that a large Swiss company has found itself caught between the US and China in connection with industrial software. In China, ABB supplies the state-owned company Shanghai Zhenhua Heavy Industries with software for port cranes. This software is built into the cranes in China and then delivered to the USA.

Now the Americans fear that the software could also be misused for espionage and that the data relating to the movement of goods could end up in China. The military in the USA also needs the cranes from China to load and unload transport ships at the ports. The US authorities fear that the systems could be sabotaged with cyber attacks. The allegations are controversial – there is no evidence.

Relations between the major powers are tense

According to China expert and research fellow at the University of Zurich Simona Grano, the ABB case needs to be placed in a larger context. The background to the allegations is that the relationship between the USA and China has continued to deteriorate. There are more and more allegations of espionage.

Trade tensions between the US and China will make it increasingly difficult to do business with both sides.

“This is a typical case that clearly shows that the “business as usual” of the past is no longer possible. “The trade policy tensions between the two major economic powers will make it increasingly difficult to conclude deals with both sides,” said Grano. Things are becoming increasingly difficult, especially for companies that produce high-tech products. It is probably no coincidence that ABB of all companies has now found itself in the sights of the authorities, as the company supplies sensitive products such as robots or control systems.

Legend:

ABB is one of the world’s largest manufacturers of robots and produces control systems that are installed in a wide variety of machines and systems.

Keystone/EPA/Jens Schlüter (03/31/2019)

The allegations from the USA are now creating a threatening backdrop, says Simona Grano. She has written a book about the relationship between China and the USA. “The goal is to create a serious accusation that is so serious that the company and its managers understand that they must comply with American regulations – or fear serious consequences.” In this case, FIG.

The USA wants to prevent Chinese espionage

The US authorities announced this week that they would like to increasingly take responsibility for software manufacturers in order to combat possible espionage from China. According to the FBI, Chinese hackers are systematically trying to use malicious software to penetrate critical American infrastructure – particularly technical systems in the water and energy supply, telecommunications and transportation sectors.

We take the investigations very seriously.

ABB has already delivered over 600 documents to the USA in connection with the allegations. “We take the investigations very seriously,” says Björn Rosengren, head of ABB. There is a good dialogue. Another meeting is now planned with the relevant committee in the USA.