Over the past four years, Chinese government-backed hackers have breached at least 20 Canadian government networks, according to the Canadian Centre for Cyber Security (CCCS). The CCCS described China’s cyber operations as “second to none,” highlighting their focus on political and commercial objectives, including espionage, intellectual property theft, malign influence, and transnational repression.
In its National Cyber Threat Assessment 2025-2026 report, the CCCS outlined targeted sectors, such as critical infrastructure, government agencies, and research and development. The report noted that provincial and territorial governments are also appealing targets due to their control over regional trade and resource sectors, including critical minerals and energy.
Heightened Espionage Amid Economic Tensions
The CCCS expressed particular concern over espionage in Canada’s innovation ecosystem, encompassing academic research, government-linked R&D, and the private sector. As economic tensions between Canada and China rise, the agency warns that cyber espionage in these areas is likely to intensify. Recently, the CCCS detected reconnaissance scans by Chinese threat actors against Canadian networks, including political parties and civil society organizations, signaling potential vulnerability exploitation in the lead-up to the 2025 national election.
In a 2021 incident cited in the report, APT31, a Chinese state-sponsored group, targeted two Canadian parliament members affiliated with the Inter-Parliamentary Alliance on China. The case details emerged in 2022, following a U.S. Department of Justice indictment against individuals allegedly linked to APT31.
Surveillance of Diaspora and Global Reach
The CCCS report underscores that Chinese state-sponsored hackers are also likely involved in monitoring and silencing diaspora communities, including Uyghurs, Falun Gong practitioners, Taiwanese independence supporters, and Tibetan activists, using spearphishing emails and spyware. These activities support not only China’s intelligence-gathering but also its influence campaigns and interference with Canada’s democratic processes.
The report noted that while critical infrastructure attacks in Canada are less likely than in the U.S., cross-border integration, particularly of pipelines, power grids, and railways, means that threats to U.S. infrastructure could impact Canada.
Global Threat Landscape
In addition to China, the CCCS highlighted state-sponsored cyber activity from Russia, Iran, and North Korea, reflecting intelligence reports from other Western agencies. The report also marked a shift in Canada’s diplomatic focus, noting India’s entry into the cyber-espionage arena as diplomatic tensions with Prime Minister Narendra Modi’s government grow. Canada recently expelled six Indian diplomats following an investigation into threats against South Asians in Canada, including the murder of a Sikh separatist. The CCCS concluded that India is developing a cyber capability targeting Canada’s national interests.
Growing Cyber Threats Demand Increased Vigilance
The CCCS report reflects Canada’s heightened vigilance against cyber threats in an evolving global landscape. As cyber operations increasingly become tools of statecraft, Canada faces the challenge of protecting critical sectors and maintaining secure digital infrastructure amid a broadening array of adversaries.
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