Canada’s electronic eavesdropping agency conducted cyberattacks to disrupt the activities of online foreign criminals who were brokering the purchase and sale of precursor chemicals used to make the opioid fentanyl, according to its latest annual report.
It’s part of an increased workload at the rapidly growing Communications Security Establishment, which collects foreign intelligence, safeguards federal government infrastructure from cyberattacks and uses technology to disrupt adversaries, when authorized.
CSE chief Caroline Xavier in the 2025-26 annual report, released Monday, said her organization, one of Canada’s main spy agencies, is entering a period of “sustained expansion and transformation” and that its work force grew by more than 8 per cent last year to 4,178 people.
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The CSE’s latest report said it also stepped up its intelligence and cyberdefence work in the Arctic this year, citing growing interest in the region from Russia and China, “extending beyond traditional military and cyberthreats to include economic and influence-related activities that seek to shape access, infrastructure, and decision-making in the region.”
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The CSE annual report said the agency’s intelligence gathering in 2025-26 supported Canada and allies “to list and enforce sanctions against Russia, including identifying entities that the Russian government is using to circumvent international sanctions.”
It also backed efforts by Canada and partners to “identify and counter People’s Republic of China state-sponsored cyberespionage.”
On the fentanyl brokers, the CSE said it collected foreign intelligence on the criminals involved and then conducted an active cyberoperation – disruptive hacking – against them that the agency says, “disrupted and diminished their ability to operate.” The CSE says it also supported law enforcement as part of the effort.
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