Two Chinese nationals have been arrested and charged with spying for China on U.S. soil, the U.S. Department of Justice (DOJ) announced.
The DOJ revealed that the suspects were acting as covert agents for the Chinese Communist Party’s Ministry of State Security (MSS).
According to federal prosecutors, Yuance Chen, of Happy Valley, Oregon, and Liren Lai, who entered the United States on a tourist visa in April 2025, allegedly engaged in clandestine intelligence operations on behalf of the People’s Republic of China (PRC).
The spying operation targeted American military members.
Their alleged efforts included surveilling U.S. Navy personnel, gathering sensitive information on American military bases, and attempting to recruit American service members to spy for the Chinese regime.
The charges were reported by the Conservative Brief, which noted that the men even coordinated a “dead drop” cash payment to reward the transfer of classified information to Chinese handlers.
The FBI, with support from the Naval Criminal Investigative Service (NCIS), arrested Chen in Oregon and Lai in Houston on Friday.
“Today’s arrests reflect the FBI’s unwavering commitment to protecting our national security and safeguarding the integrity of our military,” said FBI Director Kash Patel.
“The individuals charged were acting on behalf of a hostile foreign intelligence service — part of the Chinese Communist Party’s broader effort to infiltrate and undermine our institutions.”
The Department of Justice issued a press release detailing the scope of the charges:
“The defendants…were arrested Friday on a criminal complaint charging them with overseeing and carrying out various clandestine intelligence taskings in the United States on behalf of the PRC Government’s principal foreign intelligence service, the Ministry of State Security (MSS).”
“These activities included facilitating a ‘dead drop’ payment of cash for information relating to the national security of the United States previously provided to the MSS, gathering intelligence about U.S. Navy service members and bases, and assisting with efforts to recruit other individuals from within the U.S. military as potential MSS assets.”
Craig H. Missakian, U.S. Attorney for the Northern District of California, emphasized the seriousness of the breach:
“These charges reflect the breadth of the efforts by our foreign adversaries to target the United States — this time by conducting illegal intelligence-gathering operations aimed at our national security information and military service members.”
“My office and the FBI remain ever vigilant in guarding against these threats to the United States.
“We will continue to undertake counterespionage investigations and prosecutions, no matter how complex and sensitive, to disrupt attempts to weaken our national security.”
In a sharply worded rebuke of the CCP’s long-running espionage campaign against the United States, Attorney General Pam Bondi added:
“This case underscores the Chinese government’s sustained and aggressive effort to infiltrate our military and undermine our national security from within.
“The Justice Department will not stand by while hostile nations embed spies in our country – we will expose foreign operatives, hold their agents to account, and protect the American people from covert threats to our national security.”
The arrests come amid growing concerns over Chinese espionage inside the United States.
President Donald Trump has repeatedly warned of the CCP’s infiltration of American institutions.
The latest case adds fuel to longstanding calls among Republicans to tighten national security measures and expel covert CCP operatives from U.S. soil.
The alleged espionage efforts by Chen and Lai represent yet another reminder of the ongoing threat posed by Communist China, not only to America’s global position but to its internal sovereignty and military integrity.
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