Top Republican demands 'costs' for China after hacking Treasury Department in year marked by CCP espionage

China was behind a “massive” hack of the Treasury Department, the Biden administration said on Monday, finding classified documents and the workplaces of government employees.

After a year of hacking across government agencies, Chinese experts say it's time to take tougher measures against espionage.

“The latest intrusion should not surprise us. For too long, the CCP has not paid the real price for its brutal intrusion into our country and networks,” Rep. John Moolenaar, R-Mich., chairman of the House China Select. Committee, told Fox News Digital.

“It is time for Congress and the Trump administration to impose increased costs to stop the CCP.”

At the moment it is not clear what exactly the criminals were looking for. The Treasury maintains sensitive information about global financial systems, as well as estimates of China's faltering economy. It also imposes sanctions on Chinese companies, as well as those aiding Russia in the war in Ukraine.

“Although the Ministry of Finance says that the Chinese only found anonymous documents, we must remember that the hacking of the Ministry of Finance sends shockwaves not only in the US, but around the world. Countries that rely on the dollar, can you rely on the stability of the American financial markets?” said China expert Gordon Chang.

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The treasury was notified by the service provider of the breach on Dec. 8, and all affected systems were taken offline. China called the accusations of being behind the act “baseless” and said it “always opposes all forms of piracy.”

Despite China's denial, the Ministry of Finance insisted that an actor sponsored by the Chinese government was responsible for the attack. Chang suggested that Xi may have intended to be caught to send a message to the world.

“We can't exclude the possibility that the Chinese wanted to be caught because they wanted to create uncertainty around the world. They wanted to show the world that the United States is not safe – their networks are not good, the Chinese control. at will.”

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A few weeks ago, President-elect Donald Trump appeared to be making efforts to mend relations with China by inviting President Xi Jinping to his inauguration. But the latest hacking attempt suggests such efforts may be futile, according to Chang.

“American presidents have tried to be approved before China for decades. They did not get benefits from us. And the reason is that the Chinese do not return them,” he said.

Earlier this year, Commerce Secretary Gina Raimondo's communications were intercepted by Chinese intelligence, as she made decisions about new export controls on semiconductors and other key technologies. The same gang also targeted State Department officials and members of Congress.

Treasury was notified by the service provider of the breach on December 8, and all affected systems were taken offline. (AP Photo/Patrick Semansky)

China, led by President Xi Jinping, has denied any involvement in the hacking (Florence Lo – Pool/Getty Images)

And the Treasury hack comes as the Biden administration faces China's biggest attack on American infrastructure in history, dubbed the Salt Storm.

A Chinese intelligence group broke into nine US telecommunications companies and gained access to the private messages and phone calls of Americans, including senior government officials and prominent political figures.

The Salt Storm hackers also gained access to the entire list of phone numbers the Justice Department had tapped to monitor suspected espionage agents, giving them insight into which Chinese spies the US caught and which they missed.

The cyberattacks have caused frustration – and raised questions – about cybersecurity and why America's adversaries are able to penetrate US government systems in general.

“Americans should be angry at the Chinese for hacking us, but they should be angry at our political leaders because our political leaders know what's going on. They have ways to protect us, they decided not to,” Chang said.

Last week, incoming national security adviser Rep. Mike Waltz, R-Fla., suggested that the US needs to not only play defense but go on the offensive.

Representative Mike Waltz, Republican of Florida, speaks during a news conference following a House briefing on Afghanistan at the US Capitol in Washington, DC, US, Tuesday, Aug. 24, 2021. (Stefani Reynolds/Bloomberg via Getty Images)

“We have to stop trying to play better and defend better,” he told Fox Business' Maria Bartiromo. “We have to start harassing.”

“We need to start imposing consequences on those who steal our technology, spy on us, and now with a program called Volt Typhoon, it's placing cyber time bombs on our critical infrastructure, like our water, our grid and our ports,” Waltz said. said.

“America can no longer play cyber defense. We must continue to attack and put COSTS on those who steal our technology and attack our infrastructure,” he added to X.

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Trump has proposed a 60% tariff on US imports from China. Last month, the Biden administration issued its strongest crackdown yet on China's semiconductor industry with the aim of curbing its ability to develop AI for modern military use.