China is manipulating global media through censorship, data harvesting and covert purchases of foreign news outlets, the United States said on Thursday, warning the trend could lead to a "sharp contraction" of global freedom of expression. The U.S. State Department said in a report that Beijing has spent billions of dollars annually on information manipulation efforts, including by acquiring stakes in foreign media through "public and non-public means," sponsoring online influencers and securing distribution agreements that promote unlabeled Chinese government content. The Chinese embassy in Washington did not immediately respond to a request for comment.