Dutch defense minister warns of escalating Chinese cyber theft of semiconductor secrets

• The Netherlands warns of escalating Chinese cyber espionage targeting its semiconductor industry to boost Beijing’s military capabilities.
• Dutch Defense Minister Brekelmans reveals China’s “whole-of-society” espionage campaign, combining legal and illegal tactics to steal advanced technology.
• China’s cyberattacks focus on Dutch semiconductors, aerospace, and maritime sectors, with intelligence reports labeling it the “biggest cyber threat.”
• Chinese hackers, like “Salt Typhoon,” also infiltrate critical infrastructure, including telecom networks, raising global security concerns.
• U.S. and European officials urge stronger defenses against China’s cyber warfare and economic coercion to protect technological dominance.

The Netherlands, a global leader in semiconductor technology, is facing an intensifying wave of Chinese cyber espionage aimed at stealing advanced intellectual property to fuel Beijing’s military ambitions.

Dutch Defense Minister Ruben Brekelmans sounded the alarm on May 31 at the Shangri-La Dialogue security forum in Singapore, revealing that China’s “whole-of-society” espionage campaign is targeting Dutch industries through both legal and illegal means. With Dutch intelligence identifying China as the “biggest cyber threat,” the warning underscores a growing global crisis as Beijing aggressively pursues technological dominance.

Semiconductors in China’s crosshairs

The semiconductor industry, where the Netherlands holds a critical technological edge, has become a prime target for Chinese espionage. “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. Dutch intelligence reports confirm that China employs a multifaceted strategy, blending legal investments and research partnerships with covert cyberattacks and export control violations to acquire sensitive Dutch technology.

The Dutch military intelligence agency’s April report highlights China’s systematic efforts to infiltrate semiconductor, aerospace, and maritime sectors. “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 states. These operations are not slowing down. “It’s continuing,” Brekelmans warned. “In our newest intelligence reports, our intelligence agency said that the biggest cyber threat is coming from China.”

Critical infrastructure under attack

China’s cyber operations extend beyond industrial espionage, targeting critical infrastructure and defense networks. The Dutch report cites Chinese state-sponsored hacking group “Salt Typhoon,” which infiltrated U.S. telecom providers for over a year, intercepting communications and potentially breaching law enforcement systems. Dutch intelligence warns that European telecoms face similar threats, raising concerns about national security vulnerabilities.

The U.S. cybersecurity firm Recorded Future confirmed in February that Salt Typhoon-linked hackers remain active in American telecom networks. Meanwhile, CIA Deputy Director Michael Ellis has labeled China an “existential threat,” emphasizing that Beijing’s cyber warfare capabilities pose a direct challenge to Western technological superiority. The U.S. Intelligence Community’s latest assessment identifies China as “the most active and persistent cyber threat,” warning that in a potential conflict over Taiwan, Beijing could launch crippling cyberattacks on U.S. military and civilian systems.

Global Pushback Against CCP Aggression

The Dutch warning aligns with growing international resistance to Chinese espionage. In May, Nebraska passed legislation to expose and counter CCP influence operations targeting overseas Chinese communities and local politics. U.S. Defense Secretary Pete Hegseth, speaking at the same Singapore summit as Brekelmans, stressed the urgency of confronting Beijing’s military ambitions. “There’s no reason to sugarcoat it: The threat China poses is real, and it could be imminent,” Hegseth said.

Brekelmans also highlighted Europe’s dangerous reliance on China for critical raw materials, a vulnerability Beijing exploits for geopolitical leverage. “China is using their economic position for geopolitical purposes and also to pressure us,” he said. Swedish Deputy Prime Minister Ebba Busch echoed these concerns, warning that Europe’s dependence on Chinese resources could dwarf previous energy crises.

As China’s cyber espionage intensifies, the Netherlands and its allies face a critical test. The theft of semiconductor technology not only threatens Dutch economic leadership but also fuels China’s military modernization, destabilizing global security. With U.S. and European officials sounding the alarm, the need for stronger defenses, reduced dependencies, and unified countermeasures has never been clearer.

Sources for this article include:

TheEpochTimes.com

Politico.eu

Reuters.com