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GOP candidate for swing House district once defended Chinese company in lawsuit

The Republican lawyer running for U.S. House of Representatives in the battleground state of Michigan has previously defended Chinese companies involved in multiple espionage investigations.

Paul Hudson, a Michigan attorney running in the Republican primary for Michigan’s 3rd Congressional District, was one of the lawyers representing Yubei (Xinxiang) Powered Steering Systems in a 2015 lawsuit brought by Global Technology, a Michigan company.

Yubei (Xinxiang) Power Steering is a subsidiary of the Communist Party-owned defense contractor Aviation Industry Corporation of China (AVIC) and is facing multiple espionage investigations, including allegations that the company stole secrets about the F-35 and integrated them into Chinese aircraft.

A 2014 Fox News report on the incident noted that the espionage took place in 2007, when a secret Chinese military unit passed F-35 technical data to AVIC, which was later installed on China’s new stealth fighter, the J-20.

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Teachers and students sing together to celebrate the founding anniversary of the Communist Party of China at Wenhua Road Primary School in Zaozhuang city, China. (CFOTO/Future Publishing via Getty Images)

The Chinese company’s involvement in the espionage case was one of several cases of espionage by Chinese companies in the United States, and ultimately led President Trump to sign a 2020 executive order banning U.S. companies from holding stock in companies listed by the Department of Defense as having ties to the People’s Liberation Army, including AVIC.

Reached by Fox News Digital for comment, a Hudson campaign spokesperson said the candidate “has been an attorney in Michigan for 18 years and has represented a wide variety of clients in hundreds of cases.”

“In this decade-old case, Mr. Paul assisted a corporate client in a limited appeal of a contract dispute,” the spokesperson added. “The only issue was a narrow jurisdictional issue, and the Sixth Circuit unanimously agreed with our client, and the case was summarily dismissed.”

But the issue could play a huge role for Michigan voters, especially in the aftermath of a high-profile dispute last year between a small Michigan town and a Chinese company.

At issue in the case was a lawsuit filed by Goshon, a subsidiary of China-based Goshon High-Tech, against Green Charter Township, Michigan. Voters in Green Charter Township, located just north of Michigan’s 3rd Congressional District, opposed a plan led by Michigan Governor Gretchen Whitmer to have Goshon build an electric vehicle battery factory near a local military base after the company’s ties to China were revealed, sparking a nationally-highlighted lawsuit.

Gretchen Whitmer, Democratic Governor of Michigan

Michigan Governor Gretchen Whitmer (AP Photo/Paul Sancia, File)

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The Gotion affair has been a major concern for Hudson’s Republican primary opponent, Michigan financial adviser Michael Markey, who has argued that Michigan “cannot afford to elect representatives who are in the pocket of the Chinese Communist Party.”

“This is not just a voter issue, it’s a national security issue,” Markey told Fox News Digital. “Connections to the Chinese Communist Party should immediately disqualify a person from running for Congress.”

Markey noted that China’s attempts to thwart U.S. interests are well documented and argued that Hudson has demonstrated a willingness to put her own interests above those of her constituents.

“Paul Hudson is clearly a lawyer who is sold out to the highest bidder, and in this case that highest bidder is the Chinese Communist Party,” Markey said. “Paul has chosen to defend the Chinese Communist Party in order to enrich himself at the expense of the security of Michigan and America.”

The campaign of Rep. Hillary Scholten (D-Mich.), who represents the 3rd District, did not respond to Fox News Digital’s request for comment.

Senator Scholten at the press conference

Congressman Hillary Scholten (Kevin Dietsch/Getty Images)

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Meanwhile, a Hudson campaign spokesman pointed to the candidate’s long history of “opposing Chinese aggression and influence,” saying he has been a strong advocate of rebuilding the Pacific Fleet and supporting increased defense spending to counter China, including his recent support for an $8 billion aid package for Taiwan.

“Paul also supports the work and leadership of Representative John Moolenaar from his neighboring district of Michigan, who serves as Chairman of the House Select Committee on China Communist Party and is doing important work to expose and counter Chinese influence operations in our country,” the spokesman said.

The Michigan congressional primary election will be held on Tuesday, August 6th.

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