DOD-Restricted Chinese-Owned Tech Sold on U.S. Navy Bases + 4 Recommendations

While the House Select Committee on the Chinese Communist Party is investigating how Chinese nationals have gained access to U.S. military installations, China Tech Threat is releasing our own policy memo on an equally concerning issue: How companies substantially owned by Chinese entities have effectively deployed their products inside the Department of Defense.Over the last decade China has become the United States’ top adversary, increasing their attempted espionage and surveillance against the U.S. government. Despite the known risks presented by Chinese technology companies, state and federal government agencies have continued to have relationships with Chinese owned and operated companies such as Lenovo, Lexmark, Hikvision, and DJI.As a recent example, the U.S. Navy continues to maintain a relationship with… Read More

Reforming the Flawed Process of Listing Chinese Entities on A Case-By-Case Basis

By Steve CoonenIn 2019, the Department of Commerce’s Bureau of Industry and Security (BIS) wisely placed Huawei on the Entity List. This action was necessary for making sure the company could not obtain American components it needs to win the 5G race. But Huawei moved fast to protect its interests, quickly spinning off a company called Honor to maintain the flow of U.S. components required to produce 5G mobile devices. A state-owned company, Shenzhen Zhixin New Information Technology, subsequently purchased Honor in 2020, demonstrating the important role that the Chinese government plays in directing strategic technologies such as 5G. During my time serving at the Department of Defense (DOD), I personally pushed for the federal government to add Honor… Read More

New York’s Spending On Risky China Tech Drops Significantly, But Goal Remains No Spending

China Tech Threat’s (CTT) initial reporting on state spending on risky Lexmark and Lenovo technology revealed that New York spent more than $28 million on technology from these manufacturers. The concerns with New York – home to the world’s financial markets, a leader in modern optics and electronics, a hub for biotech innovation, and soon the home to a $100 billion semiconductor manufacturing plant – deploying so much PRC technology have been well-documented by CTT.  Read more here. However, CTT’s updated state report released in May 2023 found New York has significantly reduced purchases of this dangerous technology already restricted by the  U.S. military and intelligence agencies due to its connection to the Chinese government and military. The New York… Read More

PA Taxpayers’ Data At Risk of Surveillance Through Risky Chinese Technology

Legislation sponsored by state Sen. Kristin Phillips-Hill prohibiting TikTok on state-owned devices and networks to protect Pennsylvania residents unanimously passed the Senate earlier this year. In addition to this bill, to properly safeguard taxpayers’ data, Pennsylvania should join the growing list of states passing laws to prohibit the purchase of other dangerous Chinese technology. As China Tech Threat’s (CTT) May briefing paper shows, states continue to use risky technology by Lexmark and Lenovo, manufacturers already restricted by U.S. military and intelligence agencies due to their connection to the Chinese government and military. CTT’s recent research reveals that unlike many other states, Pennsylvania has had no direct spending on this harmful technology since 2019; however, its purchase through third-party resellers is… Read More

Dangerous Chinese Technology Makes Ohio’s Data Vulnerable to PRC Infiltration

On May 24 Microsoft warned that China-sponsored hackers gained access to critical cyber infrastructure in U.S. government and communications organizations. Similar threats are posed by restricted Chinese technology purchased by many U.S. states, including Ohio which spent more than $200,000 dollars on dangerous PRC technology, making its data and infrastructure vulnerable to Chinese surveillance. According to China Tech Threat’s (CTT) fact sheet, between 2016 and 2022, Ohio spent $240,194 on dangerous technology from Lexmark and Lenovo, manufacturers already restricted by U.S. military and intelligence agencies due to their connections to the Chinese government and military. This technology was purchased by the Bureau of Workers’ Compensation, the Department of Natural Resources, and the Department of Rehabilitation and Correction, making sensitive state… Read More

Out of the Dark, Into the Light: Exposing Vulnerabilities in the U.S. Defense Supply Chain

Two years ago, the Bureau of Industry and Security (BIS) put China-based encryption chip maker Hualan Microelectronics on the Entity List for “acquiring and … attempting to acquire US-origin items in support of military modernization for [China’s] People’s Liberation Army.” But as WIRED’s Andy Greenberg writes, Hualan and its subsidiary Initio still supply chips to Western manufacturers of encrypted hard drives that count NASA, NATO, and the U.S. military as customers. The FAA and other government agencies have bought encrypted hard drives with these chips too, per federal procurement records.It’s alarming that the federal government would purchase products from or containing components of Entity Listed companies. It’s also a symptom of a much larger problem of the federal government not… Read More

$479,918 Spent By The First State Causes Security Concerns

In a February interview with Delaware Public Media, University of Delaware professor and cybersecurity expert John D’Arcy discussed the state’s recent TikTok ban for security concerns, including the Chinese government being able to obtain data from Delaware agencies or employees. The First State’s agencies’ and employees’ data is also vulnerable to Chinese theft through the almost half a million dollars it spent on restricted Chinese technology in recent years.China Tech Threat (CTT) recently reported that Delaware spent $479,918 on technology from Lexmark and Lenovo between 2019 and 2022. As reported in our fact sheet, this technology was purchased by the Office of the Attorney General, the DE Department of State, as well as the University of Delaware and other… Read More

Nearly $5 Million Spent On Restricted China Tech Puts Wisconsin Data At Risk

On May 24 Microsoft warned that Chinese state-sponsored hackers compromised critical cyber infrastructure in a variety of industries, including government and communications organizations. But, not all threats to U.S. infrastructure come from hackers. China Tech Threat’s (CTT) research shows in recent years Wisconsin spent nearly $5 million on restricted Chinese technology, making its data and infrastructure vulnerable to Chinese infiltration. As reported in CTT’s fact sheet, between 2019 and 2023 Wisconsin spent $4,751,370 on risky Chinese technology from Lexmark and Lenovo. The Supreme Court, Department of Corrections, Department of Revenue, and the University of Wisconsin System are among the agencies deploying this technology already restricted by U.S. military and intelligence agencies due to their connection to the Chinese government and… Read More

Alabama is On The Right Track to Protect Data from the PRC

Alabama’s action to mitigate threats posed by the People’s Republic of China with Senate passage of  HB 379,  the Alabama Property Protection Act, is an encouraging sign the state is taking the threats seriously. Next Alabama should join the growing list of states passing laws to prohibit the purchase of dangerous Chinese technology.In a recent report, China Tech Threat revealed 40 U.S. state governments had entered into contracts to purchase millions of dollars’ worth of Lenovo and Lexmark products. These specific Chinese companies have been banned from U.S. military and national security networks due to their connections to the Chinese government and military. Yet they can access sensitive personal and financial information held by courts, police departments, election boards,… Read More

$18 million Spent On Risky China Tech Causes Security Concerns

The Chinese spy balloon attracted warranted attention and headlines as its path covered sensitive areas, including travel over North Carolina, which has one of largest military footprints in the country. Another threat that needs attention and action is the nearly $18 million dollars North Carolina spent on restricted Chinese technology. As detailed in China Tech Threat’s fact sheet, North Carolina spent $17,896,776 on risky Chinese technology from Lexmark and Lenovo, manufacturers already restricted by U.S. military and intelligence agencies due to their connections to the Chinese government and military. The Department of Revenue, the Administrative Office of the Courts, and the General Assembly, among other agencies, have purchased this technology making the sensitive state and citizens’ data they manage vulnerable… Read More