2018 Report to Congress from the US-China Economic and Security Review Commission

The scale of Chinese state support for the Internet of Things (IoT) and 5G, the close supply chain integration between the United States and China, and China’s role as an economic and military competitor to the United States create enormous economic, security, supply chain, and data privacy risks for the United States. The rapid proliferation of unsecure IoT devices is increasing the avenues Chinese actors could exploit to deny service, collect intelligence, or launch a cyber attack. The large amount of data collected by the ever growing number of IoT devices, the value of such data to criminal and state actors such as China, and lax US security and legal protections are worsening privacy, safety, and security risks for US citizens, businesses, and democracy.

The Report includes 26 recommendations for congressional action, which include:

• Congress should require the White House Office of Management and Budget to ensure all government agencies address supply-chain vulnerabilities stemming from China, including potential cyber, operations, physical, information and data-security issues.
• Congress should direct the National Telecommunications and Information Administration and Federal Communications Commission to ensure 5G technology is rapidly and securely deployed in the US “with a particular focus on the threat posed by equipment and services designed or manufactured in China.”