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

Washington, July 17 (IANS) 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

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