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Biological Smuggling Case Spurs Investor Concerns

in Wall Street Word
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Federal prosecutors say two Chinese researchers tried to sneak a crop-killing fungus through Detroit’s airport so they could study it at a University of Michigan lab.

What Happened: Agents with the FBI and U.S. Customs and Border Protection arrested Yunqing Jian, 33, on Tuesday and unsealed a criminal complaint accusing her and boyfriend Zunyong Liu, 34, of conspiracy, smuggling, making false statements and visa fraud.

Court papers allege Liu first denied, then admitted, hiding the samples so the couple could continue Jian’s government-funded research inside a campus laboratory where she worked as a visiting scholar. Prosecutors also say Jian “expressed loyalty to the Chinese Communist Party,” and investigators found documentation of Chinese grants backing her work on the same pathogen.

Chinese Nationals Charged with Conspiracy and Smuggling a Dangerous Biological Pathogen into the U.S. for their Work at a University of Michigan Laboratory https://t.co/WJVF8sDrs0

— U.S. Attorney EDMI (@USAO_MIE) June 3, 2025

The Justice Department says the fungus causes “head blight” in wheat, barley, maize and rice, triggering billions of dollars in crop losses and producing toxins that can sicken humans and livestock.

“These two aliens have been charged with smuggling a fungus that has been described as a ‘potential agroterrorism weapon’ into the heartland of America,” U.S. Attorney Jerome Gorgon Jr. said in announcing the case.

New… I can confirm that the FBI arrested a Chinese national within the United States who allegedly smuggled a dangerous biological pathogen into the country.

The individual, Yunqing Jian, is alleged to have smuggled a dangerous fungus called "Fusarium graminearum," which is an…

— FBI Director Kash Patel (@FBIDirectorKash) June 3, 2025

See also: Amid US-China Trade War, Global Automakers Warn Beijing’s Curbs On Rare Earth Metals Could Significantly Impact Production

FBI Director Kash Patel amplified those allegations on X, writing, “This case is a sobering reminder that the CCP is working around the clock to deploy operatives and researchers to infiltrate American institutions and target our food supply, which would have grave consequences.” Patel added that the bureau “will continue working tirelessly to be on guard against it.”

Jian appeared in federal court in Detroit on Tuesday; Liu is expected to follow later this week. If convicted, each faces up to 20 years in prison on the top count of smuggling. The University of Michigan said it is cooperating with investigators and has found no evidence that the fungus entered its facilities.

Why It Matters: The arrests land amid escalating U.S.–China tensions. Last week, the Trump administration said it would “aggressively revoke” visas held by many Chinese students in sensitive research fields. Meanwhile, China, on Monday, refuted U.S. President Donald Trump‘s claims of breaching the Geneva trade agreement, labeling them as unfounded.

U.S. Treasury Secretary Scott Bessent said trade talks between the United States and China have stalled. In a Sunday interview, he added that he is confident President Trump and Chinese President Xi Jinping will meet soon to iron out their differences.

Photo Courtesy: Mark Van Scyoc on Shutterstock.com

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