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U.S. Orders China to Close Houston Consulate, Citing Efforts to Steal Trade Secrets

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WASHINGTON — The United States has abruptly ordered China to close its diplomatic consulate in Houston by Friday, accusing diplomats of aiding a nationwide pattern of economic espionage and attempted theft of scientific research, as part of a sharp escalation in the Trump administration’s moves against China.

China vowed to retaliate, calling the move illegal. Hours after the administration issued its order to the ambassador on Tuesday, consulate employees burned papers in open metal barrels in a courtyard of the Houston building, prompting police officers and firefighters to rush to the area.

President Trump’s campaign strategists, anxious about his failures on the pandemic, have been rolling out a blanket anti-China message to appeal to his supporters in recent weeks.

Secretary of State Mike Pompeo, who has been aggressively pushing that message, said on Wednesday at a news conference in Copenhagen that the Trump administration is “setting out clear expectations as to how the Chinese Communist Party is going to behave.” He warned that when they didn’t, the United States would “take actions” to protect its interests.

The consulate in Houston has about 60 employees. There are six other Chinese diplomatic missions in the United States: the embassy in Washington, an office at the United Nations and consulates in New York, Los Angeles, San Francisco and Chicago.

The closure of the consulate in Houston may be less detrimental to U.S. relations with Beijing than shutting down a different one would be. It is the “sister” diplomatic mission to the American consulate in the Chinese city of Wuhan, where the coronavirus outbreak first emerged. The State Department evacuated its consulate in Wuhan after the initial outbreak; it is not clear when it might fully reopen.

Mr. Wang called the move illegal under international law, and described it as the latest in a series of aggressions.

“For some time, the United States government has been shifting the blame to China with stigmatization and unwarranted attacks against China’s social system, harassing Chinese diplomatic and consular staff in America, intimidating and interrogating Chinese students and confiscating their personal electrical devices, even detaining them without cause,” he said.

Cheng Xiaohe, an associate professor at the School of International Studies at Renmin University in Beijing, said the United States had never taken such a step against China since the two countries established diplomatic relations on Jan. 1, 1979.

“If the relationship between China and the United States continues to deteriorate unchecked,” he said in a telephone interview in Beijing, “the next result will be the severing of diplomatic relations.”

The Trump administration’s decision was a significant escalation of its effort to tighten the reins on Chinese diplomats, researchers, scholars, journalists and others in the United States.

The Trump administration has repeatedly accused China of attempts to steal commercial and military secrets, allegations that Beijing has rejected. Some critics say the administration’s approach could encourage prejudice against Chinese and Chinese-American researchers.

On Monday, the Justice Department announced visa fraud charges against Song Chen, a visiting Stanford University researcher accused of concealing her active membership in the Chinese military. In January, the F.B.I. announced it was seeking a Boston University student, Yanqing Ye, who had hidden her affiliation with the People’s Liberation Army when applying for a visa. American officials believe Ms. Ye is in China.

In December, the U.S. authorities arrested a Chinese cancer-cell researcher, Zaosong Zheng, at Boston Logan International Airport and charged him with trying to smuggle 21 vials of stolen biological research back to China.

In April 2019, officials at the University of Texas MD Anderson Cancer Center in Houston said they were investigating several scientists for improper disclosures. The officials did not identify the scientists, two of whom had resigned. But redacted investigative reports referred to ties to China or Chinese residents or institutions.

And on Tuesday, the Justice Department said it had indicted two Chinese hackers accused of trying to steal information about coronavirus vaccine research.

There have been other clashes over suspected espionage by employees at Chinese missions. In September, the State Department secretly expelled two employees of the Chinese Embassy in Washington who were accused of driving with their wives onto a sensitive military base in Virginia. That was believed to be the first such expulsions in more than three decades. Beijing demanded a reversal of the action.

Some former officials voiced skepticism over the Trump administration’s latest move.

Daniel Russel, who served in Mr. Stilwell’s job during the Obama administration, said closing the Houston consulate “further reduces the few remaining diplomatic channels between the two sides and is a step that will prove difficult to reverse.”

“The China accusation that this move has more to do with presidential politics than with intellectual property is hard to argue with,” said Mr. Russel, now a vice president at the Asia Society Policy Institute.

In 2017, the Trump administration ordered Russia to close its consulate in San Francisco, along with two annexes near New York and Washington, in retaliation for Russian restrictions on the number of American diplomats in Moscow. Those moves stemmed from the furor over Russia’s interference in the 2016 presidential election, the fallout from which is still felt, despite Mr. Trump’s outreach to the Russian president, Vladimir V. Putin.

The effect of the Houston closure on relations — and travel — would in the short term be minimal compared with the diplomatic furor it has already sparked. Consulates mainly process visas for travelers visiting China; the one in Houston handled those for southern American states, from Texas to Florida. Travel between the two countries has been severely limited in any case because of the pandemic.

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