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I would assume they use similar techniques within China and perhaps allied countries like North Korea and Cuba, but the US is performing wiretapping in at least the UK, Canada, Australia, and New Zealand. Also, how much non-Chinese Internet traffic passes through China?

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> and perhaps allied countries like North Korea and Cuba

Nobody is more distrusting of each other than two communist countries.

Well, when you eat off the hand of the other country you don't have much choice. Nobody actually asks you if you trust or not.

Disregarding for a moment that a state can not be communist (one defining characteristic of communism being absence of state), only socialist, North Korea has long disassociated itself from communism. Since the 90s at least there has been a systematic removal of any mention of Marxism, communism and related terminology from the constitution, laws and official discourse.

http://hidemyass.com/proxy-list/

I'm sure lots of botnets use China servers as well.

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