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US-China relations
Tech

Engineer in trade-secrets case says charges were added because of her Chinese background

  • You Xiaorong, a Chinese-born American, was indicted in 2019 for trying to steal trade secrets, reportedly from Coca-Cola
  • Federal prosecutors have added two counts of economic espionage, a move You’s lawyer argues would ‘create a risk of unfair prejudice’ to her

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A Chinese-born American engineer has been charged in the US with trying to steal trade secrets worth an estimated US$120 million. Photo: Shutterstock
Robert Delaney

A Chinese-born American engineer indicted in the United States for trying to steal trade secrets worth an estimated US$120 million is fighting new charges against her as “prosecutorial vindictiveness” because of her Chinese background.

Federal prosecutors filed a superseding indictment against You Xiaorong on August 4, adding two counts of economic espionage against the defendant, less than a month before her scheduled September 1 trial.

You was initially charged in February 2019 with conspiracy to steal secrets related to formulations for bisphenol-A-free (BPA-free) coatings. You faced up to 21 years imprisonment, as per the prosecution's stated guideline range, under the initial charges, which comprised seven counts of trade secret theft, one count of conspiracy to commit trade secret theft and one count of wire fraud.

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Each of the two counts of economic espionage carries a maximum sentence of 15 years.

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The BPA-free technology is valuable because research has shown BPA to be potentially harmful to human health when consumed.

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Liu Xiangchen, a Chinese national, and an unnamed relative of his were also charged in the initial indictment with conspiring with You while she worked at an Atlanta-based company from March 2017 to November 2018 to steal the formula and take it to China.

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