China's state-owned shipping giant COSCO has vehemently denied allegations that it utilized concealed equipment on its vessels to gather intelligence for Beijing. The claims, reported by Reuters and attributed to two senior Trump administration officials, suggested a decades-long intelligence-collection partnership between COSCO and the Chinese government, enabling the collection of communication signals from vessels and aircraft operating near target nations, including the United States.
In a statement, COSCO dismissed the allegations as "totally unfounded" and false. The company emphasized its adherence to market-oriented operations and compliance practices globally. COSCO clarified that all communication, navigation, safety, and operational equipment installed on its vessels is exclusively for legitimate commercial purposes, such as navigation safety, ship-to-shore communications, and emergency response. The company explicitly stated that none of its onboard equipment is used for intercepting military communications or gathering intelligence.
This development comes as Chinese President Xi Jinping is expected to visit Washington for talks with U.S. President Donald Trump, with the summit anticipated to address sensitive security and trade issues. Previously, China's embassy in Washington had stated that Beijing would never ask any company or individual to collect or provide data, information, or intelligence located abroad against local laws.