On Monday, December 2nd, the American think tank, the Democracy Defense Fund, released a report urging the prohibition of installing Chinese-made LiDAR (laser radar sensor) in U.S. defense equipment. The report highlighted the potential risks of using Chinese-made LiDAR sensors, stating that during conflicts, they could make the U.S. military vulnerable to hacker attacks and sabotage.
LiDAR sensors utilize lasers to create a digital 3D map of the surrounding environment. While these sensors are commonly used in the automotive industry for driver-assistance systems, they are also utilized in critical infrastructure like ports to assist in automation of operations such as crane movements.
The Democracy Defense Fund noted in their report released on Monday that Laser Radar sensors connected to the internet typically use advanced processors that could conceal hard-to-detect malicious code or firmware backdoors.
According to the report, Chinese leader Xi Jinping has previously stated that by mastering critical core technology, “China can truly seize the initiative of competition and development, fundamentally safeguard national economic security, national security, and security in other areas.” Xi aims to strengthen China’s “reliance on the international production chain.”
LiDAR is a dual-use military-civilian remote sensing technology and is a core element in Beijing’s quest for technological superiority. The report mentioned that Chinese companies are rapidly solidifying their control over the global LiDAR market, with sensors from China now widely deployed in civilian and military networks worldwide, including the United States. The full-system integration of Chinese LiDAR makes its users susceptible to espionage activities and potential data breaches which could allow Beijing to access sensitive U.S. data or disrupt critical operations.
Under Chinese law, the government can compel companies to comply with national security directives. The foundation stated that satellite laser systems could disable or trigger such sensors across vast areas of U.S. territory within fractions of a second.
For decades, Beijing has been utilizing cyber intrusions to penetrate sensitive networks and infiltrate critical U.S. infrastructure. The report highlighted that the Chinese military and intelligence agencies could exploit Chinese-manufactured LiDAR systems for espionage activities, akin to how they have used tainted communication equipment sold by Huawei. The widespread adoption of Chinese-manufactured LiDAR technology also aligns with Xi Jinping’s concept of “overall national security,” integrating technological development with national security to enhance the geopolitical advantage of the Chinese Communist Party. In practice, Beijing could weaponize Western dependence on Chinese-manufactured systems by manipulating or disrupting the LiDAR supply chain, similar to how they have weaponized rare earth elements, forcing other countries to comply with their strategic demands.
The report also outlined viable countermeasures that U.S. policymakers could take to prevent Chinese exploitation of LiDAR technology and safeguard U.S. national security.
The foundation recommended that U.S. lawmakers prohibit the procurement of Chinese LiDAR for defense equipment and advised state governments to ban the use of such Chinese products in critical infrastructure. The think tank further proposed that U.S. policymakers collaborate with allies such as Germany, Canada, South Korea, Israel, and Japan to establish an alternative supply chain to Chinese LiDAR.
The U.S. government has already begun addressing the security risks posed by Chinese technology. In late September 2024, the Department of Commerce’s Bureau of Industry and Security proposed a rule banning the sale or import of internet-connected vehicles with specific Vehicle Connectivity Systems (VCS) and Automated Driving Systems (ADS) related to China or Russia, including remote information processing, cellular, and satellite modules in VCS and ADS software. However, this proposed rule did not explicitly cover LiDAR systems or other use cases beyond vehicles, leaving many broader vulnerabilities unresolved.
“To maintain a leading position against Chinese LiDAR, the U.S. must incorporate LiDAR into a comprehensive industrial policy to enhance America’s technological leadership and economic competitiveness,” the report emphasized.
“While Chinese-made LiDAR sensors may be cheaper, the long-term costs of disruption and surveillance far outweigh the savings,” said Craig Singleton, a senior researcher at the foundation and one of the report’s authors, in an interview with Reuters.