British experts are urging the Ministry of Defence to prioritize supply chain security and national security by tightening defense procurement rules, moving away from solely basing purchases on the “lowest price” criterion, and reducing reliance on Chinese suppliers.
Recent reports in the British media revealed that components from China were found in the cameras of K3 reconnaissance drones used by the British Navy, as well as in the 3D printers used by the British Army to manufacture “suicidal” drones. Experts are concerned that sensitive data may be transferred to China.
Alicia Kearns, the Conservative Shadow Minister for National Security, criticized the Ministry of Defence for pursuing efficiency and lower prices at the expense of national security. She warned that this approach allowed China to exploit vulnerabilities in the supply chain, weakening the UK’s defense industry base.
Kearns stressed that defense procurement must consider national security, supply chain resilience, and strategic autonomy rather than just focusing on procurement costs.
In response to an interview request from the Nikkei Asian Review, the UK Ministry of Defence stated that there is currently no evidence of sensitive data being transferred overseas. The government’s top priority is to ensure national security, and the Ministry of Defence places great emphasis on equipment network data security, implementing strict security procedures and protective measures to mitigate related risks.
The UK is currently facing immense pressure on defense spending. According to reports by the BBC and The Times, the British government has instructed the Army to suspend some military exercises to save funds.
The defense investment plan announced by the UK government in June revealed that to meet NATO defense spending commitments, defense spending is expected to rise to 2.7% of the GDP by 2027-2028. Former Defense Minister John Healey had proposed increasing defense spending to 3% of the GDP by 2030, but this proposal has not been mentioned since he assumed the role of Chancellor of the Exchequer in July.
Sam Goodman, Senior Policy Officer at the China Strategic Risks Institute (CSRI), an independent multinational policy think tank, stated that the UK’s defense supply chain faces numerous issues, including inadequate review processes, a sole focus on low prices, and excessive reliance on Chinese suppliers.
Reports have indicated that the UK Ministry of Defence leases hundreds of electric vehicles manufactured in China. Photos circulating on social media show some vehicles with warnings not to connect official devices to them or engage in sensitive conversations inside the vehicles.
Charles Parton, Senior Research Fellow at the Royal United Services Institute (RUSI), warned that equipment carrying Chinese-manufactured cellular communication modules could transmit data to China, creating security vulnerabilities. He called for clear procurement requirements prohibiting the purchase of vehicles equipped with Chinese-made cellular communication modules by the Ministry of Defence.
The Ministry of Defence has yet to acknowledge the issue and has not audited to identify and remove Chinese-manufactured components. Last year, in accordance with the 2023 Procurement Act, the UK government introduced the “Procurement Blacklist.” Parton suggested that suppliers of Chinese cellular communication modules should also be included in this blacklist, but there has been no action from the Ministry of Defence.
Experts are urging the UK government to review defense procurement regulations to ensure that national security exemptions apply to the entire defense supply chain. They also recommend strengthening joint procurement with allies, expanding joint procurement with NATO member countries to lower costs, and requiring defense contractors to choose reliable partners or UK-based suppliers.
Earlier this year, Conservative Party member of the House of Lords Graham Evans expressed astonishment during a parliamentary debate when he discovered that a set of British Army uniforms he received for a visit to the Falkland Islands was manufactured in China. He found it alarming that even military uniforms could not be domestically produced by NATO allies.
Andrew Kinniburgh, Secretary-General of Make UK Defence, the UK Defense Trade Association, told the Nikkei Asian Review that the UK has long outsourced defense manufacturing to the cheapest overseas suppliers, resulting in the UK armed forces using Chinese-made equipment, which he finds unacceptable.
Kinniburgh pointed out that the UK boasts strong textile, 3D printing, and drone manufacturing capabilities and could fully supply the UK military. Regrettably, the Ministry of Defence continues to outsource many operations to Chinese companies, posing threats to national security and harming the UK economy.
Kearns emphasized that while the UK and China may have trade relations, national security should not be sacrificed. The UK cannot let a “hostile state” control critical infrastructure and defense capabilities. The government should continue to invest in reducing reliance on Chinese supply chains and conduct a comprehensive review of supply chains. Without national security, economic security is also at stake.
In recent years, UK-China bilateral relations have been impacted by several cases of alleged Chinese espionage in Europe. This year, two Chinese nationals were found guilty in London of engaging in espionage for China and were sentenced, while another Chinese woman was arrested in Norway on suspicion of engaging in espionage.