China's Xi Jinping hosts Honduras' Xiomara Castro as controversy over Cuba spying swirls in US

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US confirms China is building a spy base in Cuba

Fox News correspondent Gillian Turner reports China has been building its spy base in Cuba for the past five years on the "Special Report with Bret Baier."

The presidents of Honduras and the People's Republic of China met in Beijing on Monday to discuss the beginning of a free trade agreement between the two nations.

Honduran President Xiomara Castro's six-day state visit with Chinese President Xi Jinping comes as concern grows in the United States over a suspected Chinese spy base being built in nearby Cuba.

"You have resolutely fulfilled your election promise of establishing diplomatic relations with China, made a historic decision, and demonstrated your firm political will," Xi said to Castro in Beijing.

BIDEN ADMIN CONFIDENT IT CAN PROTECT AMERICA'S SECRETS AFTER REPORTS OF CHINA SPY BASE IN CUBA

Chinese President Xi Jinping holds talks with Honduras President Xiomara Castro at the Great Hall of the People in Beijing, June 12, 2023. (Huang Jingwen/Xinhua via Getty Images)

Honduras and China established formal relations in March of this year, and the Honduran government is hoping the new relationship will open avenues to relieve their burdensome debt obligations and expand exports to the mainland Asian country.

China, meanwhile, will benefit from Honduras' policy shift away from neighboring Taiwan – a self-governing island the mainland asserts rightfully belongs to the communist state.

Beijing claims self-ruled, democratic Taiwan is part of its territory, to be brought under its control by force if necessary, and refuses most contacts with countries that maintain formal ties with Taiwan. 

REPORTED CHINA-CUBA SPY STATION DEAL SHOWS BEIJING PREPARING FOR CONFLICT WITH US, HOUSE REP SAYS

Chinese President Xi Jinping holds a welcoming ceremony for President Xiomara Castro outside the Great Hall of the People in Beijing, June 12, 2023. (Liu Bin/Xinhua via Getty Images)

Honduras cut ties with Taiwan in the months leading up to their new diplomatic relationship with China.

"One China principle is the primary premise and political foundation for the establishment of loyal diplomatic relations and the development of bilateral relations," Xi said.

Taiwan is now recognized by only 13 countries, including Vatican City. 

HONDURAS SEEKS DIPLOMATIC RELATIONS WITH CHINA, SWITCHING ALLEGIANCE FROM TAIWAN

Honduras cut ties with Taiwan in the months leading up to their new diplomatic relationship with China. (Huang Jingwen/Xinhua via Getty Images)

Administration officials confirmed on Sunday that China is working to ramp up its spying capabilities in Cuba. China has maintained a spy base on the island, which is 90 miles off of South Florida, since at least 2019, officials have said. 

TAIWAN PRESIDENT DECRIES CHINA'S 'DOLLAR DIPLOMACY' AS HONDURAS OPENS TIES WITH BEIJING

The state visit by Honduras' president come amid reports of a secret agreement for China to establish an eavesdropping facility in Cuba. (Yin Bogu/Xinhua via Getty Images)

"This is an ongoing issue, and not a new development, and the arrangement as characterized in the reporting does not comport with our understanding," an administration official told Fox News on Saturday.

The Wall Street Journal first reported Thursday that China and Cuba have reached a secret agreement for China to establish an electronic eavesdropping facility on the island, allowing Chinese intelligence services to "scoop up electronic communications throughout the southeastern U.S., where many military bases are located, and monitor U.S. ship traffic." 

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The Biden administration initially said the report was "not accurate" before confirming the news. 

Fox News' Adam Shaw, Tara Prindiville and Danielle Wallace contributed to this report.