WASHINGTON—U.S. investors are funding China-based companies that steal intellectual property from American companies, experts say.
China-based companies that replicate stolen IP in critical technologies like semiconductors are even more likely to be funded by U.S. investors, because they become subsidized by the Chinese Communist Party (CCP), according to Derek Scissors, a senior fellow at the American Enterprise Institute.
“On the Chinese side, if you become successful at stealing IP, you become subsidized and [thus] more attractive to American investors,” Scissors said during a House Indo-Pacific Subcommittee hearing on May 18.
“American money and technology should not be allowed to help [China] become better at coercing our allies and us in harming our interests.”…