When Espionage Allegations Fuel Sinophobia

This year marks the 50^th anniversary of diplomatic relations between the Philippines and China, but celebrations have been overshadowed by rising tensions. A wave of espionage allegations —targeting Philippine Offshore Gaming Operators (POGO) workers, a local mayor, students and Chinese nationals — has intensified Sinophobia and further strained the already fragile ties between Manila and Beijing. While many of these allegations remain circumstantial, they have nonetheless aggravated longstanding prejudices against the Chinese community, fuelling suspicion towards Chinese nationals and Tsinoys (Filipinos of Chinese descent) in the Philippines. Unless the authorities take a firm stance to clarify or disprove these claims, the Philippines risks spiralling into further mistrust and division.

Concerns about Chinese espionage surfaced as early as 2022 when Senator Richard Gordon raised suspicions that some Chinese workers involved in POGOs could be potential spies. Although no conclusive proof was publicly presented, this suspicion triggered a growing climate of suspicion that persisted through 2023 and 2024. This culminated in several high-profile allegations that attracted media and public attention.

In September 2024, tensions escalated with the scandal surrounding Bamban Mayor Alice Guo, whose background and citizenship came under scrutiny due to her connections with Zun Yuan Technology, a POGO operator. The controversy deepened when detained transnational criminal She Zhijiang accused Guo of being a Chinese agent — an allegation she strongly denied. To date, these claims have not been officially confirmed.

Suspicion has even extended to Chinese students in the Philippines. In April 2024, Representative Joseph Lara alleged that 4,600 Chinese students in Cagayan were potential operatives planted by Beijing, despite universities refuting the claim and official data showing far lower enrollment numbers for foreign nationals. Though unconfirmed, the allegation illustrates how espionage concerns have extended to groups beyond POGO workers.

While most of these espionage allegations remain circumstantial, their impact on the Chinese community in the Philippines has been significant.

The most concrete case so far involves Chinese national Deng Yuanqing, who was arrested in early 2025 alongside two Filipinos for allegedly collecting sensitive information near military installations. The National Bureau of Investigation (NBI) claimed Deng graduated from the People’s Liberation Army (PLA) University, despite his diploma showing otherwise. The Chinese embassy countered that this was a case of mistaken identity, Filipino security officials insisted he was a “sleeper agent” and that the road-surveying equipment found in his car was for surveillance.

While most of these espionage allegations remain circumstantial, their impact on the Chinese community in the Philippines has been significant. These allegations have revived long-standing prejudices, tapping into Cold War-era anxieties when ethnic Chinese were often suspected of dual loyalties. Reports of racial profiling and harassment have surfaced, with law enforcement officers reportedly targeting areas with large Chinese resident populations, while anti-Chinese sentiment has also risen noticeably on social media. This paranoia has also reached everyday interactions: Chinese graduate students in some universities were asked if they were spies, and a Tsinoy woman on vacation was reportedly harassed and told to “go back to China.” Adding to these concerns, the recent kidnapping of a 14-year-old Chinese boy by his Filipino driver has further heightened fears of crimes specifically targeting Chinese individuals. The driver, who formerly worked for a POGO hub, handed him over to a Chinese syndicate.

The economic impact of such perceptions is already visible. The tourism sector, once heavily reliant on Chinese visitors, has suffered a sharp decline, from 1.74 million arrivals in 2019 to only 300,000 in 2024. The Bahay Tsinoy (Museum of the Chinese in Philippine Life) in Manila typically sees busloads of Chinese tourists during the Lunar New Year. In 2025, it saw no such tourists. Businesses linked to Chinese investments are also facing uncertainty as distrust towards Beijing grows.

Adding to these mounting tensions, Senator Francis Tolentino and National Security Council spokesperson Jonathan Malaya recently alleged that the Chinese embassy in the Philippines was funding a “troll farm” aimed at influencing the May midterm elections. The claim was based on financial transactions between the embassy and a local public relations firm for social events in 2023. The embassy denied the allegation and reiterated China’s longstanding policy of non-interference. Nonetheless, the allegation contributed to public unease amid an atmosphere already fraught with numerous other unproven claims.

These developments raise a pertinent question as to whether the Philippine government should respond to this growing cycle of suspicion and fear. Investigating allegations of foreign espionage is undoubtedly a matter of national interest, and is clearly within the state’s mandate. However, it is equally critical for authorities to draw a clear line between legitimate concerns and politically driven or unsubstantiated claims. Authorities should be prepared to publicly clarify and, where appropriate, disprove allegations that lack merit. Turning a blind eye to these unverified claims can allow speculation to fester, further normalising racial profiling and fuelling Sinophobia. To prevent deeper divisions, the government must also ensure that national security considerations are not used as excuses to justify prejudice — particularly against the Tsinoy community, many of whom have been living in the Philippines for generations.

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