Overview

• The U.S. State Department has officially accused Chang Guang Satellite Technology Company Limited (CGSTL) of providing satellite imagery to Houthi rebels to target U.S. and allied vessels in the Red Sea.
• CGSTL, a Chinese firm with ties to the People’s Liberation Army, has continued its support despite repeated U.S. warnings, according to officials.
• This revelation follows earlier sanctions imposed on CGSTL in December 2023 for aiding Russia’s Wagner Group with satellite intelligence.
• The allegations highlight China's military-civil fusion strategy, where ostensibly commercial entities serve military purposes, exacerbating U.S.-China strategic rivalry.
• China’s embassy in Washington has declined substantive comment, while U.S. officials consider further diplomatic and punitive measures.