US Officials Allege COSCO Ships Used to Collect Military Intelligence for Beijing

WASHINGTON — China’s state-owned shipping giant COSCO has used concealed equipment aboard its vessels to collect intelligence on military communications and maritime activity near the coastlines of countries including the United States, according to two senior Trump administration officials cited by Reuters.

The officials, who spoke on condition of anonymity, said the United States has assessed that COSCO has maintained a decades-long intelligence-collection relationship with Beijing. According to their account, the operation enables China to intercept communications from vessels and aircraft operating across Europe, North America and Asia.

One of the officials said the advanced equipment installed on some ships is designed to gather information on military communications technologies and developments in encryption. The equipment can also provide Beijing with information about important shipping lanes and maritime routes used for both commercial trade and military navigation.

The allegations add a new dimension to longstanding concerns in Washington over the role of Chinese state-owned companies in national security and intelligence activities. COSCO has extensive international shipping operations and remains active in U.S. ports, making any restrictions on its activities potentially significant for global trade.

The Pentagon added COSCO to a list of Chinese companies linked to the country’s military in January 2025. U.S. officials have previously raised concerns about Beijing’s use of commercial and fishing fleets for intelligence-related activities.

COSCO did not respond to Reuters’ request for comment on the allegations. China’s embassy in Washington rejected the U.S. claims, describing them as baseless and saying Chinese law prohibits intelligence-gathering activities overseas that violate local laws.

The allegations come at a sensitive time in U.S.-China relations, with trade, technology, maritime security and military issues continuing to feature prominently in relations between the two powers. The report also comes ahead of a planned meeting between U.S. President Donald Trump and Chinese President Xi Jinping, where security and economic issues are expected to be key areas of discussion.

If confirmed, the alleged intelligence-collection activities could intensify scrutiny of Chinese shipping companies operating in Western ports and raise further questions about the security implications of China’s growing presence in global maritime trade.

The claims remain allegations by U.S. officials and have been rejected by Beijing. Reuters said the officials did not publicly identify the specific vessels or disclose details that could independently verify the alleged operations.