Three German nationals believed to have collected sensitive naval data and obtained a high-powered laser on behalf of Chinese security services were arrested on Monday, prosecutors said, underscoring the fragile nature of the relationship between the two countries.
A man identified as Thomas R., in accordance with German privacy regulations, acted as an “agent” of the Chinese Ministry of State Security and hired two other people (a married couple identified as Herwig and Ina F.) who ran a engineering company. in Düsseldorf, authorities said.
The arrests come at an awkward time for the German government: Chancellor Olaf Scholz recently spent three days in China as the countries signed several bilateral trade deals, but Germany is also alert to the threat posed by China.
“We are aware of the considerable danger that Chinese espionage poses to business, industry and science,” said Nancy Faeser, German Interior Minister. “We are watching these risks and threats very closely and have issued clear warnings and raised awareness for increased protective measures everywhere,” she added.
Separately, British authorities said in a statement on Monday that two men had been charged with violating the Official Secrets Act and had been arrested in a China-related case.
The threat to Germany became clear last week, when Volkswagen confirmed that Chinese hackers in a separate incident had stolen approximately 19,000 confidential documents from the automaker over a four-year period, starting in 2010. Volkswagen is one of the largest companies German.
About 97 billion euros, or about $103 billion, of German goods were sold in China last year, making it Germany’s fourth-largest export market and one that is especially important to the powerful automotive section.
Experts are increasingly warning about China’s aggressive trade practices. Last year, the German government published a national strategy document focused on China, calling its trading partner a “systemic rival.”
The arrests came as police searched the homes and workplaces of the three suspects in Düsseldorf and Bad Homburg, in the west of the country.
According to authorities, Herwig and Ina F. used their company, which had previously worked on projects in China, to establish a formal research partnership with an unnamed German research university.
Under the guise of working for a legitimate business partner, which authorities said was a front company for China’s Ministry of State Security, the pair commissioned a study analyzing the status of modern developments of certain machine parts that are crucial to the development of high technology. powered ship engines, such as those used on navy ships.
The couple also used their company to purchase a high-powered dual-use laser, which they exported to China without the required export permit.
“Anyone who works for foreign intelligence services in Germany and illegally exports potentially militarily useful material must expect a harsh response from our constitutional state,” Marco Buschmann, Germany’s justice minister, said after the arrests.
There was no public comment from Chinese authorities.
When the three suspects were arrested, they were working on new research projects that would have benefited the Chinese Navy, the federal prosecutor said. The group had been working for China since at least June 2022, he added.