The US Defense Department designated Chinese-funded cultural centers known as Confucius Institutes as a threat to US national security on October 23, 2026. Defense Secretary Pete Hegseth alleged that 80 new “propaganda cells” have appeared at American universities under various disguises, aiming to steal intellectual property and infiltrate the minds of American students.
Hegseth stated in a social media video that the Defense Department has “systematically dismantled every single one of these organizations” over the past two months. Washington has long accused Confucius Institutes of being tools for Chinese propaganda and has taken steps to crack down on them. The Chinese embassy in Washington did not immediately respond to a request for comment.
Escalating US Scrutiny
The Pentagon’s action is the latest in a multi-agency campaign against the Chinese government-backed language and cultural centers. This initiative gained significant federal momentum on August 13, 2020, when the US Department of State designated the Washington, D.C.-based Confucius Institute US Center (CIUS), which coordinates the network across the country, as a foreign mission of the People’s Republic of China (PRC).
At that time, the State Department cited the opacity and state-directed nature of CIUS, requiring it to submit regular reports detailing its personnel, recruitment, funding, and operational footprints in the US. According to the State Department’s 2020 findings, Confucius Institutes were historically parented and directly financed by the Office of Chinese Language Council International (Hanban), an organization affiliated with Beijing’s Ministry of Education, and operated under the political guidance and heavy oversight of the Chinese Communist Party (CCP)’s United Front Work Department.
Federal scrutiny has focused on allegations of censorship, intellectual property risks, and foreign influence over American academic life. A 2017 study by the National Association of Scholars found that contracts between host universities and Confucius Institutes were often kept secret, host schools were offered financial incentives to avoid criticizing Beijing, and teaching materials omitted sensitive historical topics, including human rights abuses. In 2018, a reference to Taiwan was deleted from a keynote speaker’s biography at Savannah State University at the explicit request of the university’s Confucius Institute co-director.
Confucius Institutes in Nepal
Nepal currently hosts three Confucius Institutes. The first was established in 2007 at Kathmandu University in partnership with Hebei University of Economics and Business. An agreement to establish another Confucius Institute at Tribhuvan University was made in March 2020, but its implementation was delayed due to the COVID-19 pandemic. The Confucius Institute at Kathmandu University has trained over 20,000 students and established four Confucius Classrooms and 14 teaching sites. The Chinese embassy has also launched language courses for Nepali officials. According to the Nepal government, China currently provides scholarships to over 100 Nepali students annually.
Next Steps and Unanswered Questions
On August 17, 2026, the US Department of War issued formal notices to 30 American educational institutions, requiring an immediate review of their academic, financial, and research collaborations with foreign entities. These institutions must complete an audit, assess any risks of sensitive or export-controlled research, and implement mitigation plans, including terminating problematic partnerships. Findings and actions must be submitted to the department by August 31.
It remains unclear which 30 universities housed the 80 new “propaganda cells” mentioned by Secretary Hegseth. The specific evidence supporting the allegations of intellectual property theft has not been disclosed. China’s official response to these actions is also unknown, as the Chinese embassy in Washington has not yet commented.
