Dutch Defense Minister Warns of Escalating Chinese Spy Operations

The semiconductor industry is a key espionage target for China, according to Ruben Brekelmans

Dutch Minister of Defense Ruben Brekelmans speaks at at event in Oslo, Norway, on May 9, 2025. NTB/Terje Pedersen via Reuters

Dutch Defense Minister Ruben Brekelmans warned on May 31 that Chinese cyber espionage targeting the Netherlands is intensifying, with the Chinese Communist Party (CCP) particularly focused on stealing advanced semiconductor technology.

“The semiconductor industry, which we are technologically leading—or technology advanced, of course—to get that intellectual property, that’s interesting to China,” Brekelmans told Reuters on the sidelines of the Shangri-La Dialogue security forum in Singapore on May 30.

Chinese spies have set their sights on Dutch semiconductor, aerospace, and maritime industries in an effort to advance China’s military power, according to the Dutch military intelligence agency’s latest annual report, released on April 22. It highlights a “whole-of-society” approach by the CCP that blurs the lines between legitimate academic exchange and covert technology transfer.

“In the Netherlands, we have seen Chinese activities in the area of unwanted knowledge transfer of high-quality Dutch technology such as semiconductors,” the report reads. These transfers occur through both legal channels—such as investments and research partnerships—and illegal ones, including cyber espionage and export control evasion.

Brekelmans said the threat has not abated.

“It’s continuing. In our newest intelligence reports, our intelligence agency said that the biggest cyber threat is coming from China, and that we do see most cyber activity when it comes to us being as from China. That was the case last year, but that’s still the case. So we only see this intensifying.” he said.

The Dutch intelligence report also noted that China’s espionage extends into critical infrastructure, citing successful cyberattacks against defense networks and the use of malware targeting network devices.

One campaign cited in the report saw Chinese state-sponsored actor “Salt Typhoon” access U.S. telecom providers for more than a year, intercepting communications from officials and potentially penetrating law enforcement networks. Dutch intelligence warned that European telecoms are likely similarly targeted. Brekelmans said the Dutch government has begun introducing safeguards but acknowledged that further steps are needed.

The Dutch warning adds to growing global concern over Chinese influence and espionage operations.

A February report from cybersecurity firm Recorded Future indicates that Chinese hackers linked to Salt Typhoon are still infiltrating telecom networks in the United States.

On May 30, the Nebraska Legislature passed a sweeping bill to expose and deter covert CCP influence, establishing new registration requirements for foreign agents and cracking down on CCP-linked entities operating in the United States that seek to control overseas Chinese communities, manipulate local politics, and suppress dissent.

CIA Deputy Director Michael Ellis recently warned that China poses an “existential threat” to the United States, emphasizing that the agency’s foremost mission is to surpass the CCP in a critical technological race involving semiconductors, biotechnology, and artificial intelligence.

Ellis’s concerns are echoed in the Intelligence Community’s latest threat assessment, which identifies China as “the most active and persistent cyber threat” to the United States—particularly across government systems, the private sector, and critical infrastructure.

The assessment cautions that in the event of a potential military confrontation with the United States—particularly over Taiwan—China could launch cyberattacks on U.S. military and civilian networks aimed at disrupting command operations, sowing public confusion, and delaying the deployment of American forces.

Speaking at the same security summit in Singapore as the Dutch defense minister, U.S. Defense Secretary Pete Hegseth warned of a looming military threat from China and pledged continued American support for Indo-Pacific allies working to preserve regional stability.

Hegseth said that China is actively preparing to use force to alter “the balance of power” in the region.

“There’s no reason to sugarcoat it: The threat China poses is real, and it could be imminent,” he said.

While acknowledging uncertainty over the CCP’s intentions regarding Taiwan and neighboring countries, Hegseth said that “the U.S. and its allies must nonetheless be ready with urgency and vigilance.”

He said that Beijing’s attempt to invade Taiwan could lead to “devastating consequences” for the region and the world, while calling on Indo-Pacific nations to raise defense spending, pointing to NATO’s 5 percent of gross domestic product benchmark as a model.

Aldgra Fredly and Reuters contributed to this report.