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China-Linked Hackers Expose US Treasury Weakness, Lawmakers Alarmed

  • Last updated January 7, 2025
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Washington D.C., January 6, 2025 –China-linked hackers breached the U.S. Treasury via a third-party provider, exposing vulnerabilities. Lawmakers demand urgent action to counter escalating cyber threats.

In a chilling revelation, China-linked hackers have successfully breached the U.S. Treasury Department’s cybersecurity defenses, exposing critical weaknesses in the nation’s digital infrastructure. This sophisticated cyberattack, facilitated through a compromised third-party software provider, has sent shockwaves through Capitol Hill.

The breach allowed unauthorized access to unclassified documents and workstations, prompting immediate concern among lawmakers. Senator Tim Scott, ranking member of the Senate Banking Committee said:

The Treasury Department confirmed the breach but stated there was no evidence the hackers retained access to sensitive information. However, the damage is undeniable. The compromised provider’s services were terminated, yet the incident underscores growing threats from state-sponsored cyber operations, particularly from China.

China’s Ministry of Foreign Affairs dismissed the allegations as “groundless,” with spokesperson Mao Ning accusing the U.S. of politicizing cybersecurity issues. Ning emphasized:

This breach is part of a larger trend. In November, a Chinese group, Salt Typhoon, infiltrated major U.S. telecommunications systems. The rise in such incidents highlights the urgent need for stronger cybersecurity measures across federal agencies.

Lawmakers are demanding answers, urging Treasury Secretary Janet Yellen to brief Congress within days. “We can no longer afford to be reactive. A proactive defense strategy is essential,” said French Hill, Vice Chair of the House Financial Services Committee.


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