Latest Headline

In a recent escalation, APT40, a cyber espionage group attributed to the Chinese government, has been linked to significant breaches affecting critical infrastructure in Western nations. This group, known for targeting sectors such as maritime industries, defense, and research institutions, has advanced their techniques to include sophisticated spear-phishing campaigns and the exploitation of zero-day vulnerabilities.

Key Points

• Active since at least 2013

• Primarily targets naval research and technology 

• Group is widely attributed to the Chinese Ministry of State Security (MSS) and is known by various aliases including Leviathan, TEMP.Periscope, Kryptonite Panda, GINGHAM TYPHOON, and Bronze Mohawk.

Fletch is constantly monitoring the threat landscape. The data in this guide is most up to date as of publication. Check out APT40’s Threat Board for any updates or create an account with Fletch to be in the know for every threat.

APT40 Group Summary

APT40's operations are characterized by their focus on naval and maritime technologies, reflecting China's strategic interests. The group's activities have mainly concentrated in Western nations, including the United States and Europe. The primary motivation behind APT40's activities appears to be state-sponsored espionage aimed at enhancing China's military and technological capabilities.

• Severity: Loud

• Maturity: Mainstream

• IOCs: 0

• Targets: 3 tech targets, 1 industry targets, and 17 geo targets

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APT40 Victims & Motivations

APT40 often targets advanced research in naval technology and defense systems, with a notable interest in intellectual property related to these fields. Its activities are mainly concentrated in Western nations, including the United States and Europe. The primary motivation behind APT40's activities appears to be state-sponsored espionage aimed at enhancing China's military and technological capabilities.

APT40 Tactics

APT40 employs spear-phishing campaigns, custom malware, and zero-day exploits. Their attacks often begin with well-crafted spear-phishing emails designed to lure targets into downloading malicious attachments or clicking on compromised links. The group utilizes various custom malware families, including Leviathan and Temp.Periscope, designed for data exfiltration, network infiltration, and maintaining persistence within compromised systems. Common tools include Cobalt Strike, China Chopper, and various web shells.

Mitigation Advice

At the time of publication, this was the mitigation advice against APT40:

• Block known malicious IP addresses at the firewall to prevent access to the network.

• Deploy host-based sensors on critical systems to detect and analyze potential intrusions.

• Conduct a network audit to identify and disconnect any end-of-life or unpatched devices that could be exploited.

• Implement multi-factor authentication (MFA) for all remote access systems to reduce the risk of credential theft and brute force attacks.

At the time of publication these were the right compliance controls to focus on for APT40:

• Create strong, long passwords for service accounts and change them regularly.

• Ensure that service account passwords are long (at least 25 characters) and complex, and that they change regularly.

• Stop storing passwords in the computer's registry.

• Create a company policy that forbids storing passwords in files.

• Create a company rule that forbids storing passwords in files and requires strong passphrases for private keys.

You can check out the most recent mitigation measures when you create an account with Fletch.

Communication

On top of mitigation advice, Fletch also provides AI generated communications so you can educate your different company stakeholders. At the time of publication, this was what was recommended for the following:

For employees with exposure:

For your leadership team:

For more templates for your different stakeholders, create an account with Fletch.

Takeaway

APT40 remains a significant threat due to its advanced capabilities and strategic focus on critical sectors. Organizations involved in maritime and defense industries should be particularly vigilant, implementing robust cybersecurity measures to detect and mitigate spear-phishing attempts and zero-day exploits. The group's alignment with Chinese state interests underscores the importance of protecting intellectual property and sensitive technological data from nation-state actors.

APT40 is just one example of an ever-evolving threat that Fletch helps you track and prioritize. 

Our AI engine is constantly scanning and indexing the threat landscape for you so you can plug the gaps in your security. You can use Fletch to prioritize your alerts, forecast threats on your horizon, and give you daily advice on what to do.

Join Fletch and try it for yourself.

1. GB Hackers [Chinese APT40 Is Ready To Exploit New Vulnerabilities Within Hours Of Release](https://gbhackers.com/chinese-apt40-is-ready-to-exploit/)

2. Cyber Insider [CISA Advisory Highlights APT40 Cyber Threat for U.S., Australian Orgs](https://cyberinsider.com/cisa-advisory-highlights-apt40-cyber-threat-for-u-s-australian-orgs/)

3. Ciso.in [Australian cyber security agency accuses China-backed hacker group of stealing user data](https://ciso.economictimes.indiatimes.com/news/data-breaches/australian-cyber-security-agency-accuses-china-backed-hacker-group-of-stealing-user-data/111639830)