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USA News Updated Jul 17, 2026

China’s Espionage and Cyber Ops Now Targeting US States, Lawmakers Warn

US lawmakers warned that China is expanding espionage and cyber operations targeting US states and critical infrastructure. The House Intelligence Committee heard that local governments are now central to America's counterintelligence effort. Witnesses highlighted threats from cyber campaigns like Volt Typhoon and called for stronger federal-state cooperation. Officials urged Congress to establish a national counterintelligence information-sharing framework.

US lawmakers warn China expanding espionage, cyber operations targeting American states

Washington, July 17

US lawmakers and state security officials warned that China is increasingly using espionage, cyber intrusions, influence operations and economic leverage to target US states and critical infrastructure, telling a House Intelligence Committee hearing that local governments have become central to America's counterintelligence effort.

Members of the House Permanent Select Committee on Intelligence and witnesses representing state fusion centres and legislatures said foreign intelligence threats have expanded well beyond Washington, making states, cities, universities and businesses the new frontline in protecting US national security.

Committee Chairman Rick Crawford said the People's Republic of China had adopted "a whole of society strategy" that extends beyond traditional espionage.

"Beijing leverages legal investments, supply chains, research partnerships, cyber intrusions, influence operations, and economic coercion to position itself for advantage, long before any traditional conflict ever begins," Crawford said. He warned that China's activities are often designed to remain below the threshold of armed conflict, adding that "our homeland is becoming increasingly contested domain."

Crawford said cyber campaigns such as Volt Typhoon demonstrated that adversaries had already "pre-positioned capabilities inside our critical infrastructure and telecommunications networks that could be activated at a time of their choosing."

"The American people need greater awareness of these threats to freedom, security, and our way of life," he said, calling for stronger cooperation among federal, state and local authorities.

Ranking Member Jim Himes said counterintelligence could no longer remain the exclusive responsibility of federal agencies.

"The title of this hearing captures the fundamental reality that states truly operate on the front lines," Himes said. He also urged policymakers to strike the right balance between countering foreign intelligence threats and protecting civil liberties, while ensuring citizens, legal permanent residents and visitors are treated fairly regardless of race, ethnicity or national origin.

Mike Sena, President of the National Fusion Center Association, told lawmakers that foreign intelligence services, "most prominently the PRC," along with Russia, Iran and others, are increasingly targeting state and local governments, universities, critical infrastructure operators and private industry.

"As a result, state and local partners are often the first to encounter indicators involving espionage, cyber activity, foreign influence, supply chain compromise and economic targeting," Sena said.

He said more than 3,200 personnel working across 80 fusion centres provide intelligence analysis and information sharing with federal, state and local partners, but argued that current systems remain hampered by classification barriers, disconnected databases, inconsistent funding and delays in security clearances. He urged Congress to establish a national counterintelligence information-sharing framework, embed more federal personnel in fusion centres and improve training and resources.

Jay Mosley, Director of the Alabama Fusion Center, said counterintelligence "is no longer confined to Washington" and stressed that trusted relationships among local, state and federal agencies are essential to identifying suspicious activity before it develops into a broader national security threat.

Florida state Representative Daniel Alvarez said states must play a larger role in homeland security.

"Florida will not wait for the federal government to defend our people, period," he said, adding that state-level counterintelligence efforts must protect constitutional rights and focus on behaviour rather than political views, ethnicity or religion.

Nebraska state Senator Eliot Bostar in his remarks described legislative efforts to restrict the use of telecommunications equipment deemed national security risks and reduce vulnerabilities linked to foreign adversaries. He called for closer coordination between Congress and state governments to strengthen America's counterintelligence posture.

— IANS

Reader Comments

Priya S

Living in the US, I see this firsthand. Chinese investments in critical infrastructure here are worrying, especially after what happened with TikTok. We need more local-level vigilance, but also caution against turning this into a witch hunt against Chinese-Americans. The warning about balancing civil liberties is spot on. Keeping America safe shouldn't mean losing our values.

James A

As someone working in cybersecurity, the 'pre-positioned capabilities' line gives me chills. 🔴 They're in our power grids, our water systems, our hospitals. The fusion centers idea is good, but we need real money behind it, not just more hearings. States like Florida are right to act independently, but coordination is everything. China plays the long game; we need a long-term strategy too.

Vikram M

The hypocrisy is staggering. US spies on everyone through Five Eyes, NSA, etc., but when China does the same, it's a crisis. This is just geopolitical posturing. Instead of this Cold War rhetoric, why not cooperate on cybersecurity norms? The real threat is ransomware gangs, not state actors. Let's focus on facts, not fear-mongering.

Sarah B

I live in a small US town and we've seen strange cyber activity at our local water plant. The fusion centers need faster security clearances. Right now, by the time info reaches us, the threat is already gone. The Volt Typhoon warning is real. We need more Hindi speakers in these fusion centers, since much of this intel originates in languages we don't prioritize.

Rohit P

Florida Senator Alvarez's '

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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