IC Oversight & Policy — 2026-10-16

HPSCI Chairman and Senior Lawmakers Urge DHS to Revoke Privileges for Chinese COSCO Vessels Cited as Counterintelligence Threat

BLUFCongressional pressure alone is unlikely to force a formal DHS removal of COSCO vessels from Qualship 21 by year-end 2026, though quiet non-renewal of expiring certificates offers an easier path to the same result.

House China Committee Chairman John Moolenaar, House Intelligence Committee Chairman Rick Crawford, and Homeland Security subcommittee chairman Carlos Gimenez wrote DHS Secretary Markwayne Mullin on October 14, asking him to remove COSCO vessels from the Coast Guard's Qualship 21 reduced-inspection program 12. The letter says at least 10 COSCO vessels were enrolled as of July 15, while Fox News listed 11 and Social News XYZ's account noted both figures 123. It cites a September 1 Reuters report, in which two unnamed U.S. officials alleged COSCO ships carry concealed equipment intercepting military communications and encryption developments, and the Pentagon's January 2025 Section 1260H designation of COSCO 124. COSCO denied the allegations, and China's embassy rejected them 14. The lawmakers also asked whether the Coast Guard received intelligence warnings before September and urged DHS to refuse renewals and increase scrutiny of other shipping companies 12.

Analysis
DHS or the Coast Guard is unlikely to announce removal of COSCO vessels from Qualship 21 by December 31, 2026. Low confidence reflects a single letter driving all coverage and no public sign that DHS has opened an eligibility review. The Coast Guard's January rule changes list criminal investigations and sanctions links as removal grounds but not the Pentagon's Section 1260H designation, so DHS would need a new rationale to act. Six enrolled vessels had certificates expiring in August 2026, so a quiet non-renewal could shrink the roster without any announcement. The Coast Guard has declined comment on intelligence matters, and the letter's questions about prior warnings may draw only a classified reply.
4 sources
  1. Fears of China spying on US military prompt GOP hawks to demand retaliation against the shipping giant - Fox News
  2. Lawmakers Urge DHS to End Reduced Inspections for Vessels Run by Chinese Shipping Giant COSCO - The Epoch Times
  3. US lawmakers seek curbs on Chinese spy ships - Social News XYZ
  4. Know Those Massive COSCO Ships You See in Ports? 3 GOP Reps Say They're Floating CCP Spy Platforms - RedState

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