US Concerned Over Chinese Cyber Threats Against Seaports
The Biden administration strengthens cybersecurity defenses at seaports with a new executive order, which establishes mandatory regulations for port operators in the country
Yotam Gutman
| 29/02/2024
Photo by william william on Unsplash
Maritime trade and the integrated network of ports, terminals, vessels, waterways, and land connections constitute the maritime transportation system of the United States.
This integrated transportation system supports economic activity worth $5.4 trillion annually, contributes to the employment of over 31 million Americans, and handles nearly 95% of the cargo entering the United States.
Damage to a major port can disrupt supply chains, delay cargo shipments, impede delivery times, and harm the American economy. Ports are vulnerable to cyberattacks because they rely on digital systems to facilitate their operations, including navigation, cargo movement, and trade.
These systems have revolutionized the maritime shipping industry and American supply chains by improving the speed and efficiency of goods transportation to the market. However, the increasing digital connectivity of the economy and supply chains contributes to creating a broad attack surface that is very challenging to secure.
The country's ports have often suffered significant cyberattacks. In 2017, the Port of Los Angeles experienced a cyberattack that impacted its computer systems. In 2018, the Port of San Diego suffered a ransomware attack that temporarily shut down its computer systems. In 2021, the ports of New York and New Jersey experienced a cyberattack that caused disruptions to their computer systems. In 2022, a ransomware attack on the Port of Long Beach encrypted its data.
Recently, factors within the American government have admitted that the Chinese have been intensifying their efforts to infiltrate and disrupt critical transportation infrastructure, including seaports. Additionally, they have reportedly breached the information systems of a port on the West Coast over the past year.
Therefore, the Biden administration recently signed a new Executive Order (EO) aimed at strengthening the Department of Homeland Security's (DHS) authority to directly address maritime cyber threats. The DHS is responsible for the cybersecurity of ports and implements it through the United States Coast Guard.
What does the new Executive Order entail?
The EO grants the DHS authority to take several key actions. It includes setting cybersecurity standards: the Coast Guard will develop mandatory cyber regulations for vessels, ports, and other maritime facilities, ensuring basic defense measures.
Enhanced enforcement capabilities: The Coast Guard will have the authority to inspect and regulate the movement of vessels deemed a known or suspected cyber threat to the maritime infrastructure of the United States, and to be able to inspect those vessels and facilities posing a threat, with potential attacks deterred and compliance with established regulations ensured.
Mandatory reporting: Incidents of cyberattacks or suspected threats must be reported to authorities, facilitating quicker response and improving intelligence gathering on threats.
Promotion of collaboration: The order encourages cooperation among government agencies, industry stakeholders, and international partners to share best practices and develop coordinated responses to cyber threats.
What about foreign equipment?
In addition to these actions, which include both infrastructure and operational measures, the EO specifically aims to address the Chinese equipment and software widely used in many ports, by requiring owners and operators of these systems to acknowledge the risk and take a series of steps to mitigate the possibility that China will use these facilities to launch significant cyber attacks against the ports themselves.
The EO refers to additional guidance from the U.S. Department of Transportation, which includes specific warnings regarding the use of LOGINK, a Chinese port management software company, Nuctech's scanning and detection systems, and ZPMC's port crane equipment (the world's leading manufacturer). The assessment is that referencing these specific manufacturers is a step that will ultimately lead to a prohibition on their use.
What will the port operators do then? The government has also considered this issue and will invest in PACECO (a partnership with the Japanese company Mitsui), which will manufacture cranes on U.S. soil. Additionally, over $20 billion will be invested, including through grants to upgrade port infrastructure in the country over the next five years.
In summary, the presidential order is a response to the increasing threat to the integrity and operational continuity of ports in the United States. By establishing clear regulations, enhancing enforcement capabilities, and promoting collaboration, this presidential order has the potential to significantly improve cybersecurity in the maritime transportation sector.
The Biden administration strengthens cybersecurity defenses at seaports with a new executive order, which establishes mandatory regulations for port operators in the country
Photo by william william on Unsplash
Maritime trade and the integrated network of ports, terminals, vessels, waterways, and land connections constitute the maritime transportation system of the United States.
This integrated transportation system supports economic activity worth $5.4 trillion annually, contributes to the employment of over 31 million Americans, and handles nearly 95% of the cargo entering the United States.
Damage to a major port can disrupt supply chains, delay cargo shipments, impede delivery times, and harm the American economy. Ports are vulnerable to cyberattacks because they rely on digital systems to facilitate their operations, including navigation, cargo movement, and trade.
These systems have revolutionized the maritime shipping industry and American supply chains by improving the speed and efficiency of goods transportation to the market. However, the increasing digital connectivity of the economy and supply chains contributes to creating a broad attack surface that is very challenging to secure.
The country's ports have often suffered significant cyberattacks. In 2017, the Port of Los Angeles experienced a cyberattack that impacted its computer systems. In 2018, the Port of San Diego suffered a ransomware attack that temporarily shut down its computer systems. In 2021, the ports of New York and New Jersey experienced a cyberattack that caused disruptions to their computer systems. In 2022, a ransomware attack on the Port of Long Beach encrypted its data.
Recently, factors within the American government have admitted that the Chinese have been intensifying their efforts to infiltrate and disrupt critical transportation infrastructure, including seaports. Additionally, they have reportedly breached the information systems of a port on the West Coast over the past year.
Therefore, the Biden administration recently signed a new Executive Order (EO) aimed at strengthening the Department of Homeland Security's (DHS) authority to directly address maritime cyber threats. The DHS is responsible for the cybersecurity of ports and implements it through the United States Coast Guard.
What does the new Executive Order entail?
The EO grants the DHS authority to take several key actions. It includes setting cybersecurity standards: the Coast Guard will develop mandatory cyber regulations for vessels, ports, and other maritime facilities, ensuring basic defense measures.
Enhanced enforcement capabilities: The Coast Guard will have the authority to inspect and regulate the movement of vessels deemed a known or suspected cyber threat to the maritime infrastructure of the United States, and to be able to inspect those vessels and facilities posing a threat, with potential attacks deterred and compliance with established regulations ensured.
Mandatory reporting: Incidents of cyberattacks or suspected threats must be reported to authorities, facilitating quicker response and improving intelligence gathering on threats.
Promotion of collaboration: The order encourages cooperation among government agencies, industry stakeholders, and international partners to share best practices and develop coordinated responses to cyber threats.
What about foreign equipment?
In addition to these actions, which include both infrastructure and operational measures, the EO specifically aims to address the Chinese equipment and software widely used in many ports, by requiring owners and operators of these systems to acknowledge the risk and take a series of steps to mitigate the possibility that China will use these facilities to launch significant cyber attacks against the ports themselves.
The EO refers to additional guidance from the U.S. Department of Transportation, which includes specific warnings regarding the use of LOGINK, a Chinese port management software company, Nuctech's scanning and detection systems, and ZPMC's port crane equipment (the world's leading manufacturer). The assessment is that referencing these specific manufacturers is a step that will ultimately lead to a prohibition on their use.
What will the port operators do then? The government has also considered this issue and will invest in PACECO (a partnership with the Japanese company Mitsui), which will manufacture cranes on U.S. soil. Additionally, over $20 billion will be invested, including through grants to upgrade port infrastructure in the country over the next five years.
In summary, the presidential order is a response to the increasing threat to the integrity and operational continuity of ports in the United States. By establishing clear regulations, enhancing enforcement capabilities, and promoting collaboration, this presidential order has the potential to significantly improve cybersecurity in the maritime transportation sector.
