Asia-Pacific

Spies, Disinformation: China’s Shadow War in the Philippines and Taiwan

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By Fuhua Hong/David Santos/Rik Glauert

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A strategic island leased to a Chinese-linked company has become one of the latest espionage scares in the Philippines. However, this is just one front in a wider battle, with the Philippines and Taiwan both fighting off a rising tide of Chinese influence.

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Chinese Espionage in the Spotlight as Philippines, Taiwan Push Back

Beijing’s influence faces growing scrutiny across the region

SUBIC BAY, Philippines — Philippine authorities are investigating a suspected Chinese espionage operation after six Chinese nationals were arrested on Grande Island, a resort leased to a company with Chinese investors. The island sits at the mouth of Subic Bay, a strategic naval port on the country’s west coast.

The suspects have been charged with espionage, kidnapping and illegal detention. In response, the Philippine Department of National Defense has expressed interest in taking control of the island, which has been deemed a national security concern amid rising tensions with China over territorial disputes in the South China Sea.

Subic Bay is a launch point for Philippine Coast Guard and Navy vessels that patrol contested waters. But the case on Grande Island illustrates that the challenge extends beyond maritime confrontations.

Taiwan joins regional efforts to counter Beijing’s influence

Across the Luzon Strait, Taiwan is also stepping up efforts to resist what it describes as growing interference from China. President Lai Ching-te has labeled Beijing a "hostile foreign force" and called on citizens to expose collaborators and stay alert to disinformation.

Philippine officials report similar tactics, including intelligence gathering, fake news, and influence operations targeting local leaders. National Security Council Assistant Director General Jonathan Malaya described efforts to reassure the public while “pushing back against aggression” both at sea and in the information space.

To counter these threats, the Philippines is introducing media literacy programs in schools and encouraging the public to report suspicious activities. Local fishers recently discovered a suspected reconnaissance drone believed to be transmitting data to China.

As China boosts its presence in disputed waters, resistance to its influence — both territorial and informational — is intensifying from Manila to Taipei.