Two Chinese Nationals Charged with Espionage in the U.S.
Two individuals from China are facing federal espionage charges for allegedly conducting a long-term surveillance operation targeting U.S. Navy officials and installations on behalf of Chinese intelligence. The FBI apprehended Yuance Chen and Liren “Ryan” Lai on Friday, following an extensive investigation that revealed suspicious cash and photographs at a recreation area in California.
The documents indicate that Chinese operatives were attempting to infiltrate Navy personnel and facilities. An FBI official stated, “Two Chinese nationals were spying on the Navy and tried to recruit American service members for the Chinese Communist Party’s intelligence services. The FBI does not tolerate such actions. We tracked them down and stopped them.”
However, neither the FBI nor the Justice Department provided immediate comments in response to queries regarding the case.
Federal prosecutors have charged the pair with one count each of acting as unregistered agents of a foreign government, which could lead to a prison sentence of up to 10 years and a fine of $250,000. Chen, a legal resident since 2015, was arrested outside his home in Happy Valley, Oregon. Lai, who may have overstayed his tourist visa, was detained in Houston during a coordinated operation. They are scheduled to appear in court in Portland and Houston on Monday, with prosecutors labeling them as serious flight risks and seeking pre-trial detention.
Earlier complaints, which no longer exist, suggest that Lai took Chen under his wing during a trip to Guangzhou in 2021. Reports indicate that the Chinese Ministry of State Security (MSS) provided them with tasks involving cash payments and cover stories. The duo is alleged to have arranged for a $10,000 drop-off in a locker in Livermore, California, in January 2022.
U.S. authorities claim that the MSS has expanded its operations focusing on foreign espionage and domestic suppression over the past two decades, often using ethnic communities abroad to recruit agents.
Throughout 2022 and 2023, investigators reported that Chen visited Navy installations in Washington and San Gabriel Recruiting Offices, where he photographed recruitment messages and sent this information to his MSS contacts. Chen allegedly developed an online friendship with a sailor who later enlisted, even securing a tour of the USS Abraham Lincoln in San Diego in January 2025. He reportedly relayed the sailor’s personal information back to Guangzhou shortly thereafter.
Chen is said to have met with MSS officers in Guangzhou multiple times in 2024 and early 2025, while Lai traveled across the Southwest during his time in the U.S. this spring, actions that were consistent with operational monitoring.
Attorney General Pam Bondy emphasized the importance of exposing such espionage activities, stating this incident shows the ongoing and proactive efforts of the Chinese government to infiltrate U.S. military operations and threaten national security from within.
The Chinese Embassy in Washington has not yet commented on the matter.
