U.S. Accuses COSCO of Spying on Military Communications

Senior officials from the Trump administration allege that the China Ocean Shipping Company (COSCO) uses concealed, sophisticated signals intelligence equipment aboard its commercial vessels to spy on military communications. The U.S. assessment claims Beijing has maintained an intelligence-gathering relationship with the shipping giant for decades to monitor encryption developments, military technologies, and critical shipping lanes near the coastlines of North America, Europe, and Asia.

The United States Department of Defense previously designated COSCO as a company linked to the Chinese military in January 2025 to counter Beijing's Military-Civil Fusion strategy, a move that triggered government procurement bans. Despite these security concerns, COSCO remains integrated into U.S. ports and supply chains.

The Embassy of the People's Republic of China in the United States rejected the claims as "totally baseless," asserting that the Chinese government would never ask companies to collect intelligence abroad against local laws. These allegations surface as President Donald Trump and President Xi Jinping prepare for a September summit in Washington to discuss security and the potential extension of a trade war détente agreement expiring in November.