Several US lawmakers have recently raised concerns over the United States’ overdependence on maritime infrastructure produced in China, specifically cranes, warning that this could pose a security risk to the country.

A joint report published by the US Homeland Security Committee and the Select Committee on the Chinese Communist Party (SCCCP) on Thursday highlighted efforts by Chinese state-owned enterprises, including Zhenhua Heavy Industry Co., Ltd (ZPMC), to gain economic leverage over US ports by offering non-competitive pricing for equipment and technology, while also making strategic investments.
The key findings from the 52-page report, titled ‘Handling Our Cargo: How the People’s Republic of China Invests Strategically in the US Maritime Industry’, revealed that ZPMC, or a related third-party company contracted by ZPMC, had installed cellular modems on Ship-to-Shore (STS) cranes currently in operation at certain US ports. These installations, the report noted, were made outside the scope of the existing contracts between ZPMC and the ports in question.
The report cited a specific incident from February 2021 when the FBI discovered intelligence-gathering devices installed near or on ZPMC STS cranes upon their arrival at the Port of Baltimore. This discovery raised immediate security alarms regarding the involvement of Chinese technology in critical US infrastructure.
Moreover, the report stated that ZPMC had consistently requested remote access to STS cranes that were operating in multiple US ports, particularly focusing on those located along the West Coast.
The committees raised concerns that granting such access could potentially allow for broader involvement by the Chinese government, particularly given the country’s national security laws that mandate cooperation between companies like ZPMC and Chinese intelligence agencies.
“During the Committees’ investigation, we reviewed several contracts between ZPMC and US ports and found alarming gaps. There were no provisions preventing or restricting unauthorised changes or access to equipment and technology intended for US ports,” the report said.
The absence of such protective clauses, the report continued, leaves ZPMC and other Chinese state-owned enterprises free to modify technology, potentially enabling backdoors for unauthorised access or remote control, jeopardising sensitive information or US port operations at a later time.
In addition, the report underscored growing national security concerns stemming from ZPMC’s deep ties with the Chinese military and various state-run entities. It noted that the company’s board included senior members of the Chinese Communist Party (CCP) as well as individuals who were involved in defence contracting, which reflects the company’s alignment with Beijing’s broader strategic ambitions.
ZPMC’s history also includes working with the People’s Liberation Army Ground Force (PLAGF) and other military entities, and it has entered agreements with sanctioned organisations tied to human rights violations.
The report was compiled based on oversight and questioning of both public and private stakeholders. Documents and information were gathered from key players in the US maritime industry, including the US Department of Homeland Security, the Department of Defence, the US Coast Guard, the Department of Transportation Maritime Administration (DTMA), and the FBI.
International port equipment manufacturers also participated in the investigation, providing critical insights and data.-ANI