Chinese electric vehicles and other technologies can collect sensitive data, creating national security threats that are causing concern in the West. The United States and Australia are already considering banning Chinese technology from critical infrastructure because of the risks of espionage and cyber threats.
China is rapidly developing technologies, such as 6G and satellite internet, that could pose threats to other countries through potential use for espionage and propaganda, according to media investigations. Chinese intelligence is gathering information, a development that concerns Western governments, who are devising strategies to counter these threats without disrupting economic ties, as reported by Channel 24.
Row over Taiwan
The conflict between China and the West has already transcended trade wars, with Chinese electric cars potentially posing a threat to national security. Such cars, equipped with advanced digital technologies, can collect sensitive data, such as the location of users, their conversations, camera images, and connections to other devices, such as smartphones. If the Chinese government controls the technology, it opens up opportunities for surveillance, propaganda, or even sabotage.
An intriguing case is when an Australian minister had to abandon his own electric car. Now Australia is discussing the need to follow the example of the United States, which has already imposed restrictions on Chinese technology in critical infrastructures such as 5G networks. Experience has shown that reacting to risks when technologies are already becoming dominant, as in the case of Huawei or TikTok, is not effective. Instead, a more effective approach is to create a strategy that prohibits the use of dangerous technologies in key sectors before they take root.
How a minister in Australia had to abandon his Chinese electric car
The Strategist reports that Australian Interior Minister Tony Burke had to “take precautionary measures” regarding his own Chinese-made electric car in early November. His ministry warned Burke about the need to protect national confidential information.
Representatives from the Australian Ministry of Internal Affairs have identified the risks posed by such cars: collecting data from the owner’s smartphone if it was connected to the car; listening to calls, collecting images from external car cameras, and tracking geolocation.
In the case of Tony Burke, this means that if the interior minister was driving a car to a secret government location, the car manufacturer would be able to find out its location.
The United States has already announced its intention to ban the use of Chinese technology in cars on its territory, citing the risks of surveillance and sabotage. Australia needs to consider implementing such measures, The Strategist emphasizes. Australian Prime Minister Anthony Albanese’s meeting with Chinese President Xi Jinping during the G20 summit in Brazil was an opportunity to discuss this issue, demonstrating the need for direct high-level diplomatic dialogue.
However, Australia needs more than just point solutions; it needs a comprehensive strategy to counter the threats posed by high-risk foreign suppliers. The current practice of acting only after Chinese companies such as BYD have gained dominance in key markets, particularly in the field of electric vehicles, is not effective.
Australia’s previous experience with risks from Huawei, TikTok, and Hikvision demonstrates that new technologies continue to pose potential dangers. Instead, the US ban on Chinese technology teaches us to acknowledge technological progress as a crucial element in strategic competition, which presents genuine security challenges. These challenges require proactive actions to overcome them.
Chinese technology: a global threat or invisible control
China’s hardware and software developments make it possible to use advanced technologies, such as smart cars, for surveillance, propaganda, or even sabotage. However, the issue extends beyond automobiles. For example, internet-connected medical devices can serve as tools to collect patient data.
Most countries are unable to interfere with foreign-origin technologies without large-scale covert activities. Chinese companies simultaneously control key technologies that the Chinese government and its intelligence services can directly use.
China’s progress in developing innovations is based on existing technologies that are of concern to the West: 5G, the Internet of Things, satellite communications, and networked vehicles.
China’s push for technological leadership underscores the danger of continuing to depend on technologies from a country that could harm other states. China actively employs the strategy of “merging the military and civilian sectors,” directing all societal resources toward the regime’s military ambitions.
The democratic nations need to develop policies to safeguard against the negative effects of Chinese technology, such as establishing a list of critical infrastructure and sectors where suppliers from high-risk countries like China or Russia will face restrictions. This would avoid the need to impose bans after suppliers have already established themselves in the market, as was the case with TikTok.
A similar approach should be applied to cars. If the government deems Chinese technology too dangerous for critical infrastructure, it should justify its inclusion in cars connected to the same infrastructure. The policy of banning Chinese technology in government devices logically requires similar restrictions on cars with Chinese equipment.
Spy cases linked to China
China is conducting intelligence activities on a scale that Western governments call unprecedented, according to The Wall Street Journal, involving government officials, private companies, and ordinary citizens. This helps Beijing undermine its competitors and strengthen its own economy.
Over the past month, a number of serious incidents have attracted public attention. The FBI reported the hacking of 260,000 Internet-connected devices by a Chinese state-owned company, including cameras and routers in the United States, the United Kingdom, France, and Romania.
The US Congress also stated that Chinese cargo cranes in American ports are equipped with technologies that allow them to be secretly controlled from Beijing. Additionally, the US Congress accused one of the former aides to the governor of New York of serving as an agent for China.
At the beginning of the year, the UK revealed that hackers linked to China had hacked voter registration data, gaining access to the addresses of 40 million people. Meanwhile, the United States is investigating whether Chinese hackers have penetrated the systems of leading telecommunications companies, possibly gaining access to government data interception channels.
These cases emphasize the aggressiveness of Beijing’s strategy. The US authorities are currently investigating the consequences of recent cyberattacks, which compromised systems used to request interception of communications under court warrants.
The US Department of Homeland Security stated in a study released on October 2 that Russia, Iran, and China represent the biggest threats to the country’s democratic institutions and vital infrastructure, especially in light of the impending presidential election.
China’s role in global economy
Western intelligence agencies, unable to fully contain China’s activities, are urging companies and citizens to be vigilant. However, Beijing’s deep penetration into the global economy complicates the fight against its influence.
According to Calder Walton, an expert at Harvard Business School, quoted by the WSJ, governments often react to events only after they have actually occurred, which coincides with the examples cited by The Strategist. Chinese espionage far surpasses the level the Kremlin attained during the Cold War.
Since coming to power in 2012, Xi Jinping has increased his emphasis on national security. This has driven the expansion of information operations, which involve up to 600,000 people, according to European agencies.
FBI Director Christopher Wray has noted that China’s hacking program surpasses that of all other countries combined. Hackers from China outnumber FBI cyber specialists by at least 50 times.
How is Beijing responding, and why are there no sanctions?
Chinese officials have denied the espionage allegations while claiming that China is a target of foreign hacking. At the same time, this escalation of espionage activities underscores the importance of strategic cooperation among Western powers to protect interests and counter Beijing’s aggressive cyber campaigns.
China remains a unique challenge for Western powers. Unlike autocracies such as Iran or Russia, trade with Beijing has supported Western economic growth for decades, which in turn strengthens the region’s long-term security. This makes it difficult to impose sanctions on China or isolate it diplomatically.
Recently, European leaders condemned China for supporting Russia in its war against Ukraine, and supplying Russia with military equipment, thus jeopardizing peace and stability in Europe. Also, the EU has proposed to impose sanctions on several Chinese firms that it claims helped Russian companies develop attack drones used against Ukraine.
What is the connection between Russia-Ukraine war and a possible conflict between China and Taiwan?
As China builds up its military capabilities, it is also more actively supporting Russia in its war against Ukraine. Western officials have suggested that Xi Jinping has ordered his military to prepare for a possible invasion of Taiwan by 2027, which could provoke a direct conflict with the United States.
In 2021, China introduced malware into India’s power grids during a border conflict and into the telecommunications systems of Guam, a strategically important island with US bases.
CIA Director William Burns said he visited China twice last year to prevent “misunderstandings and accidental conflicts.” However, Western intelligence agencies fear that Chinese spies may provide information that reflects the views of the leadership rather than objective reality.
These threats are prompting the West to develop a more effective strategy to counter Chinese espionage without disrupting global economic ties. After all, China is not Russia, and the West cannot partially isolate it from global chains through sanctions, as it has been doing with Moscow for nearly three years now. Chinese intelligence is a multifaceted threat that requires a coordinated response from Western countries.