Last week’s hacking incident and Google’s statements that indirectly point to the government as the source have the Chinese seeing red, so to speak. Claiming that China is being unfairly maligned, the Chinese are warning (though official publications of the Communist Party) that they may seek to punish or retaliate against Google in some way.
The Chinese government has consistently and angrily denied any involvement in Gmail hacking incidents. And it has never been entirely proven that the government was directly or indirectly involved. However Wikileaks documents (together with third party security analysis) strongly implicate (if not confirm) the hacking was carried out by the Chinese government or its surrogates.