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Xi's US Visit 2015
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Chinese President Xi Jinping addresses a welcome ceremony held by US President Barack Obama at the South Lawn of the White House in Washington D.C. on Friday. Photo: Xinhua

'I indicated it has to stop': Obama gets tough on cyberspying as new China-US pact agreed against threat of sanctions

The leaders of China and the United States agreed on Friday to take new steps to address cyberspying, vowing that neither country’s government would conduct or knowingly support cyber-enabled theft of intellectual property.

The two nations also agreed to step up cooperation on combating transnational crime, and on repatriation of fugitives, following the talks between US President Barack Obama and Chinese President Xi Jinping.

Speaking to reporters after the talks, Obama said the two nations had agreed not to conduct or condone cyber attacks on each other’s private sector for commercial gains.

READ MORE: Everything you need to know about Xi's visit

“I indicated it has to stop,” Obama said, referring to rising concerns of the US that China was involved in cybertheft.

Obama said he did not discuss specific cases with Xi.

The White House said the two nations agreed to create a high-level joint dialogue for fighting cybercrime, and were committed to finding appropriate norms of state behaviour in cyberspace within the international community. A hotline will be set up to deal with cyber crime.

But Obama also laid out a fresh threat of sanctions against China for alleged cybercrimes, saying he will be wary until the Chinese follow through on the promised efforts to stop cyber espionage.

READ MORE: From cybersecurity to South China Sea territorial disputes: 5 big challenges and outcomes in Sino-US relations

As for the possibility of sanctions, against either individuals or state-run companies, he said: “We will apply those, and whatever other tools we have in our tool kit, to go after cybercriminals either retrospectively or prospectively.”

Xi is paying his first state visit to the US, which comes at a time of heightened tensions as the two countries tussle over a host of issues ranging from cyber espionage and China’s posturing in the South China Sea.

On the South China Sea, Obama said China’s land reclamation made it harder for countries in the region to resolve disagreement in a peaceful manner.

I indicated [commercial cyber crime] has to stop
President Obama

The US was not a claimant to the South China Sea, but it had to ensure that rules were upheld and that freedom of navigation was maintained, Obama said. The US would continue to sail and fly to the area where international law allowed, he said.

Xi said China opposed the theft of commercial secrets and would take US concerns seriously, but added that the issue should not be politicised.

Xi said the two nations would step up cyber crime investigation and information sharing. However, in remarks seen as showing differences between the two sides, he said China had the right to uphold legitimate interests in the South China Sea.

Xi reiterated that China’s economic reform would continue.

With reporting by Reuters, AP, AFP

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