China accounts for nearly one-third of global exports of electronic devices, and Chinese-made devices have already been raising security concerns.
Huawei, the Shenzhen-based Chinese telecom company, has for several years been at the centre of an intense technological rivalry between Beijing and Washington, with US officials warning its equipment could be used to spy on behalf of Chinese authorities, allegations that China has denied.
In July, Germany decided to phase out components made by Huawei and another Chinese telecom company ZTE from its 5G wireless network over the next five years. Germany’s Interior Minister Nancy Faeser said, “In this way, we are protecting the central nervous systems of Germany as a business location — and we are protecting the communication of citizens, companies, and the state.” In the statement, the German government also stressed the importance of “secure and resilient telecommunications infrastructure,” considering the “dangers of sabotage and espionage.” Mobile network operators including Vodafone, Deutsche Telekom and Telefonica have agreed to remove the components made by Huawei and ZTE from their 5G core networks.
Germany’s decision came after the US, UK, Australia, Japan and also India effectively banned the company from building their 5G networks amid fears that Beijing could use Chinese tech companies to spy on their citizens. Earlier in 2019, the US included Huawei in its trade restriction list, which made it harder for the company to buy semiconductor chips from American suppliers.
Worries over Chinese-made devices carrying spying chips have been increasing in several countries in the past few years. Mossad using pagers to remotely carry out blasts will only harden concerns over the use of Chinese-made devices.
Seaport cranes can be China’s Trojan horses in the US
Last week, a Congressional committee warned that a Chinese company installed intelligence gathering equipment on cranes used at seaports across the US that could allow Beijing to spy on Americans and cripple key infrastructure.The House Select Committee on the Chinese Communist Party and House Homeland Security Committee found that ZPMC, a state-owned Chinese engineering company, had pressured American port authorities to allow remote access to its cranes, “with a particular focus on those located on the West Coast.”
“If granted, this access could potentially be extended to other government entities, posing a significant risk due to the PRC’s national security laws that mandate cooperation with state intelligence agencies,” said the report which is based on a year-long investigation.
The devices found attached to the cranes include cellular modems that were “not requested by US ports or included in contracts … [and] constitute a significant backdoor security vulnerability that undermines the integrity of port operations,” the report said.
“ZPMC, or a third-party company contracted with ZPMC, installed cellular modems onto STS cranes that are currently operational at certain U.S. ports. These installations fall outside the scope of any existing contract between the affected U.S. ports and ZPMC. This incident is not isolated — in February 2021, the FBI discovered intelligence-gathering equipment near or on ZPMC STS cranes on arrival to the Port of Baltimore,” the report said.
“ZPMC has repeatedly requested remote access to its STS cranes operating at various U.S. ports, with a particular focus on those located on the West Coast. If granted, this access could potentially be extended to other PRC [People’s Republic of China] government entities, posing a significant risk due to the PRC’s national security laws that mandate cooperation with state intelligence agencies,” said the report.
Last year, several outlets such as The Wall Street Journal reported on the national security risks of Chinese state-owned cranes, revealing that the FBI reportedly discovered intelligence collection devices on ZPMC cranes at the Port of Baltimore.
Chinese tracking devices in UK military caps?
China is suspected to insert spying devices in not just electronic devices but other goods too. The rollout of British military badges redesigned for the accession of King Charles was delayed over fears the new insignia could be made in China and risk allowing the Beijing authorities to insert tracking devices, the Financial Times had reported in June.
British army regiments that sport a royal crest on their berets are switching “cap badges” from a design featuring the St Edwards’ crown favoured by the late Queen Elizabeth to the Tudor crown chosen by the King. But the process has been complicated because the Yorkshire-based company contracted to make the badges, Wyedean Weaving, sources some of its manufacturing capacity from factories in China, said the FT report.
“There is a fear that tracking devices or a GPS transmitter could be embedded in the cap badges,” a senior UK defence official told FT. “The result is a delay in the introduction of the cap badges as the UK does not have the capacity to manufacture them as quickly or as cheaply,” the official added.
A British media report claimed last year that concerns over Chinese spyware prompted intelligence officials in the UK to strip back government and diplomatic vehicles, leading to the discovery of at least one SIM card capable of transmitting location data. The report claimed the device had been placed inside a sealed part imported from a Chinese supplier.
Scare over Chinese-made surveillance cameras
Last year, Australia’s Defence Department decided to remove surveillance cameras made by Chinese Communist Party-linked companies from its buildings, Australian newspaper Canberra Times reported. The announcement came after similar moves from the US and the UK. According to the report, at least 913 cameras, intercoms, electronic entry systems and video recorders developed and manufactured by Chinese companies Hikvision and Dahua were in Australian government and agency offices, including the Defence Department and the Department of Foreign Affairs and Trade. Hikvision and Dahua are partly owned by China’s Communist Party-ruled government.
In November 2022, the US government banned telecommunications and video surveillance equipment from several Chinese brands including Hikvision and Dahua in an effort “to protect the nation’s communications network.” Security cameras made by Hikvision were also banned from government buildings in the UK in the same month.
China can spy via smart bulbs and fridges too
China has the potential to spy on millions of people in Britain via microchips in cars, household appliances and even lightbulbs, The Times reported in January this year, citing a report sent to the government by a former diplomat.
The report warned that small modules, known as cellular IoTs (Internet of Things), gather data and transmit it via the 5G network, which gives the Chinese authorities intelligence and the ability to track people and businesses, The Times reported. Among the devices containing the modules are laptops, voice-controlled smart speakers, smart watches, smart energy meters and fridges. The Internet of Things is a phrase used to describe devices that connect and exchange data with other devices online.
(With inputs from agencies)