Suspicions fall on China in Renault spying case

Nicolas Sarkozy has ordered France's intelligence services to investigate whether China is behind suspected industrial spying at the carmaker Renault. A source at the Elysée palace said the secret services were "investigating a Chinese link" in the affair after the company suspended three senior executives for "very serious faults". All three were working on Renault's electric car programme and one was a member of the company's management committee. Renault has refused to comment after the suspensions and has not confirmed reports it plans to take legal action against them. A presidential source told Reuters the intelligence agents were "investigating a Chinese link" and the French government had warned of an "overall risk" to French industry. Renault is 15% owned by the French state. Bernard Carayon, an MP for the ruling UMP party and a specialist in economic intelligence, said the Chinese connection was being taken seriously. "The suspicions are effectively going that way," he told Le Figaro. "This scandal rests on a lack of sufficient preventative measures especially when certain state services, in particular the DCRI [intelligence services], are in a position to give technical advice at a high level to companies. "I am astonished that a company as big as Renault does not have closer links to a state service known to for its excellence." Renault and its Japanese partner Nissan have invested €4bn (£3.4bn) in developing electric vehicles. There are plans to put three models on sale this year, with a fourth next year. "The group [Renault] is worried about its electric programme and hopes its advance in this technology won't be threatened," a source told Le Figaro. China's output of ecological vehicles is expected to reach 1m units by 2020, according to a Beijing official. Vehicle emissions make up about 70% of air pollution in major Chinese cities.