Three House Republicans have asked Homeland Security Secretary Markwayne Mullin to revoke Chinese shipping company COSCO’s access to a Coast Guard program that allows qualifying vessels to undergo fewer routine inspections at U.S. ports. The lawmakers’ Oct. 14 letter, reported by Fox News Digital, also calls for closer scrutiny of other shipping operators with ties to China’s government or military.
The request follows a September report, described in the letter, alleging that COSCO vessels used concealed equipment to intercept U.S. military communications and collect information about encryption technology near American coastlines. The supplied reporting attributes the underlying allegations to senior U.S. officials. COSCO has rejected them, saying its communications and navigation equipment serves commercial purposes and was not used for surveillance or intelligence collection.
The lawmakers are House China Committee Chairman John Moolenaar, House Intelligence Committee Chairman Rick Crawford of Arkansas, and Rep. Carlos Gimenez, who chairs the Homeland Security Subcommittee on Transportation and Maritime Security. They say 11 COSCO vessels were listed in the Coast Guard’s Quality Shipping for the 21st Century program, or Qualship 21, as of July 15, 2026.
Qualship 21 recognizes vessels with strong safety and compliance records. Enrollment can mean fewer routine inspections when ships enter U.S. ports. The lawmakers argue that the alleged surveillance activity, together with COSCO’s reported military connections, warrants reconsidering the company’s favorable status.
The Pentagon placed COSCO on its Section 1260H list of Chinese military companies in January 2025. According to the supplied report, the designation cited the company’s state ownership, activities allegedly conducted for the People’s Liberation Army, and contributions to China’s military-civil fusion strategy. The designation does not itself prevent COSCO ships from entering U.S. ports.
The letter asks whether the Coast Guard received intelligence warnings about the alleged surveillance before it was publicly reported in September, and whether any warnings were considered when evaluating COSCO’s program eligibility. The lawmakers also want to know whether the Coast Guard reassessed the vessels after the Pentagon designation and whether officials have identified comparable concerns involving other Chinese or Hong Kong-based shipping companies.
Their questions also concern enforcement and detection. The lawmakers ask whether authorities conducted additional boardings of COSCO vessels, investigated crew members suspected of intelligence collection, or reviewed earlier shipping routes for movements that might indicate surveillance. They further ask whether the Coast Guard has adequate legal authority to respond to suspected intelligence operations aboard foreign commercial ships, or needs closer coordination with other federal agencies.
The Coast Guard revised Qualship 21 eligibility rules earlier in 2026, broadening circumstances in which vessels can be removed, including certain links to sanctioned entities. The lawmakers are pressing DHS to explain whether national-security designations by the Pentagon should also affect eligibility. They additionally raise the possibility of removing Hong Kong from the Coast Guard’s list of qualified flag administrations, citing concerns about Beijing’s control of the territory.
The lawmakers’ letter was copied to the director of national intelligence and the Coast Guard commandant. Fox News Digital reported that it had sought comment from COSCO, DHS and the Coast Guard but had not received responses by publication. COSCO’s denial of the espionage allegations is included in the reporting.
