U.S. Officials Accuse Chinese Shipping Giant COSCO of Concealed Global Spying Operations

COSCO was added to the U.S. Pentagon’s list of Chinese military-linked companies in January 2025, signaling heightened oversight of the company.
Officials described the equipment on COSCO ships as 'sophisticated signals intelligence collection platforms' rather than routine hardware, implying a broader capability for intercepting signals beyond standard communications.
A US Naval War College report published in April 2025 suggested the PLA may be harnessing fishing and commercial shipping fleets for intelligence and surveillance.
China’s embassy spokesperson Liu Chang said the allegations are 'totally baseless' and that Beijing opposes vilifying China by peddling the 'intelligence collection' narrative.
Reuters noted that COSCO did not respond to requests for comment, leaving the company’s stance unclear amid heightened scrutiny.
U.S. officials have accused China's state-owned shipping giant COSCO of hiding sophisticated spy equipment aboard its merchant ships to intercept military communications and monitor shipping lanes across Europe, North America, and Asia Tippin Insights. The allegations intensified after COSCO was added to the Pentagon's list of Chinese military-linked companies in January 2025, marking a major escalation in U.S. concerns about Beijing's covert intelligence activities at sea Yahoo Finance.
China's embassy rejected the claims as "totally baseless," while COSCO has remained silent on the accusations Yahoo Finance. U.S. officials described the equipment as "sophisticated signals intelligence collection platforms" capable of eavesdropping on encrypted military transmissions and providing Beijing with early warnings about foreign military movements in critical waterways.
COSCO's addition to the Pentagon's official list of Chinese military-connected companies in January 2025 signals that U.S. intelligence agencies view the shipping firm as a strategic asset for Beijing's military operations Yahoo Finance. The designation opens the door to stricter federal oversight and potential restrictions on COSCO's access to American ports and supply chains.
Officials stressed that COSCO operates as a state-owned enterprise deeply integrated with China's military infrastructure. The company's sprawling global fleet of thousands of vessels gives Beijing unprecedented reach to monitor sensitive military communications across multiple continents and oceans.
U.S. officials allege that COSCO has partnered with Beijing for decades to collect intelligence on foreign military operations, encryption technologies, and shipping activity near contested coastlines Yahoo Finance. The equipment hidden aboard COSCO vessels reportedly provides China with real-time data about NATO naval movements, U.S. military communications, and strategic shipping bottlenecks.
A U.S. Naval War College report published in April 2025 suggested that China's military may be weaponizing fishing and commercial shipping fleets for broader surveillance and intelligence missions Tippin Insights. This systematic approach allows China to mask military intelligence operations as routine commercial activity.
Beijing's embassy spokesperson Liu Chang dismissed the spying allegations as "totally baseless" and accused the U.S. of "vilifying China" by spreading "intelligence collection" narratives Yahoo Finance. China views the accusations as part of a broader U.S. campaign to restrict Chinese companies and limit Beijing's economic influence globally.
COSCO itself has not responded to media requests for comment, leaving its position unclear as scrutiny intensifies Yahoo Finance. The allegations emerge just ahead of anticipated trade and security discussions between President Trump and Chinese President Xi Jinping, underscoring deep mistrust between Washington and Beijing over military espionage at sea.
The concealed signals-intelligence systems aboard COSCO ships reportedly give China strategic advantages in territorial disputes over the South China Sea and other contested waters Tippin Insights. By monitoring foreign military communications in real time, Beijing can anticipate naval movements and adjust its own maritime posture accordingly.
U.S. officials emphasized that COSCO's global shipping network makes it uniquely valuable for large-scale intelligence collection Yahoo Finance. The company operates one of the world's largest container fleets, providing cover for surveillance equipment that would be extremely difficult for foreign nations to detect or intercept.
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