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While the People's Republic of China officially states to have a lower defense budget than the other world powers, unofficial estimates place the total amount of spending higher than what the government claims. However, unofficial calculations about the military spending of the People's Republic of China tends to differ between organizations.
A recent RAND Corporation study states that People's Republic of China's defense spending is higher than the official number but lower than United States Department of Defense estimates. The defense spending of the People's Republic of China is estimated to be between 2.3-2.8% of China's GDP. This is 40-70% higher than official figures, but substantially lower than previous outside estimates. Chinese military spending nevertheless doubled between 1997 and 2003, nearly reaching the level of the United Kingdom and Japan, and it continued to grow with an annual rate of 10% during 2003-2005.
Source
news.yahoo.com...
Originally posted by Shar
Not so speculative, maybe you should have a look at this.
news.yahoo.com...
China has more than likely already chose its side. I doubt very seriously its the US.
Summary
Concern has grown in Congress and elsewhere about China’s military
modernization. The topic is an increasing factor in discussions over future required
U.S. Navy capabilities. The issue for Congress addressed in this report is: How
should China’s military modernization be factored into decisions about U.S. Navy
programs?
Several elements of China’s military modernization have potential implications
for future required U.S. Navy capabilities. These include theater-range ballistic
missiles (TBMs), land-attack cruise missiles (LACMs), anti-ship cruise missiles
(ASCMs), surface-to-air missiles (SAMs), land-based aircraft, submarines, surface
combatants, amphibious ships, naval mines, nuclear weapons, and possibly highpower
microwave (HPM) devices. China’s naval limitations or weaknesses include
capabilities for operating in waters more distant from China, joint operations, C4ISR
(command, control, communications, computers, intelligence, surveillance, and
reconnaissance), long-range surveillance and targeting systems, anti-air warfare
(AAW), antisubmarine warfare (ASW), mine countermeasures (MCM), and logistics.
Observers believe a near-term focus of China’s military modernization is to field
a force that can succeed in a short-duration conflict with Taiwan and act as an antiaccess
force to deter U.S. intervention or delay the arrival of U.S. forces, particularly
naval and air forces, in such a conflict. Some analysts speculate that China may
attain (or believe that it has attained) a capable maritime anti-access force, or
elements of it, by about 2010. Other observers believe this will happen later.
Potential broader or longer-term goals of China’s naval modernization include
asserting China’s regional military leadership and protecting China’s maritime
territorial, economic, and energy interests.
China’s naval modernization has potential implications for required U.S. Navy
capabilities in terms of preparing for a conflict in the Taiwan Strait area, maintaining
U.S. Navy presence and military influence in the Western Pacific, and countering
Chinese ballistic missile submarines. Preparing for a conflict in the Taiwan Strait
area could place a premium on the following: on-station or early-arriving Navy
forces, capabilities for defeating China’s maritime anti-access forces, and capabilities
for operating in an environment that could be characterized by information warfare
and possibly electromagnetic pulse (EMP) and the use of nuclear weapons.
Certain options are available for improving U.S. Navy capabilities by 2010;
additional options, particularly in shipbuilding, can improve U.S. Navy capabilities
in subsequent years. China’s naval modernization raises potential issues for
Congress concerning the role of China in Department of Defense (DOD) and Navy
planning; the size of the Navy; the Pacific Fleet’s share of the Navy; forward
homeporting of Navy ships in the Western Pacific; the number of aircraft carriers,
submarines, and ASW-capable platforms; Navy missile defense, air-warfare, AAW,
ASW, and mine warfare programs; Navy computer network security; and EMP
hardening of Navy systems. This report will be updated as events warrant.
Source (PDF format)
Obviously the US does consider China to be a growing [military] threat. Even though China probably does not want a war to break out, as it is not in its financial interest, it would be the perfect timing to take control of Taiwan.
Originally posted by Mdv2
Imagine, and this is purely speculative, a war break out between Iran, being politically and or militarily supported by Venezuela, (Colombia?), and the majority of Muslim states (except Egypt, Turkey and the Westernized oil states versus the North America, Europe, Australia.
Originally posted by littlebird
Iran will not let up, the price of oil will go up drastically for us americans. we will see more problems in iraq, iran and afganistan. you will see cuba enter the war.
Originally posted by pavil
China will do what it takes to keep their economy churning along.
Originally posted by Mdv2
And that's the crucial question. What would China do should the global economy collapse. I - it would have to find new customers, able of purchasing their products.
Originally posted by Mdv2
A war between the parties mentioned, would imminently lead to a world economy crash, China's #1 customer the US, but also smaller customers, would suddenly not be able to purchase as much Chinese goods as they did before. What would China's response be, in what position would they be, what exactly would there be still anything to lose? This theory rejects the idea that China needs the US and other Western countries for the reason stated above.
Originally posted by Rightist
The fact that the US is China's #1 customer means that China is dependent on the US, not vice versa. The retailer is dependent on the customer, not vice versa. But because you're a socialist, you are never going to understand this. Do you work at Airbust?
Originally posted by Mdv2
You don't get it huh? If China would decide to discontinue buying US debts, the entire US game is over, the economy would collapse right away and no American would be able to continue living their luxury lives like they currently do.
Originally posted by darksided
Originally posted by Mdv2
You don't get it huh? If China would decide to discontinue buying US debts, the entire US game is over, the economy would collapse right away and no American would be able to continue living their luxury lives like they currently do.
Remember though, China buying US debt is a two-way 10 lane interstate, not a one way dirt road.
If China decides to discontinue buying US debts, their economy gets devalued by about 25% and takes an enormous inflation hit, creating a major econmic depression in China. Remember, the reason why China buys the debt is to artificially devalue their own currency so they can continue to sell cheap goods to the West and use that massive machine of export to upgrade infrastruture.
War between China and the US means the US debt income instantly stops. There is no way China would do that until the rest of the world opens more markets. The result today would leave tens of millions of people losing their job in China.
Dictatorships simply don't make mistakes like that, no dictatorship in their right mind creates an army of pissed off jobless people angry at their government.
The other problem with China is they aren't the only country that would love to buy US debt, and implications they are simply ignore the global free market economy reality. One of the major reasons why Brazil dumped oil dependency was to create enough wealth to begin buying into the US economy with oil money, because they aren't blind, their education programs are top notch, and they are on pace to compete with India and China starting next decade.
I'm not saying the US wouldn't have problems, but the US problems would be far less severe than people think. After all, the US can assure access to goods and services globally during war, China can't.
----
Back to the original question.
The lion in the room with China and the US for a Middle East conflict isn't Iran, it is Saudi Arabia. If Saudi Arabia supports the US, so does China. If Saudi Arabia supports Iran, so does China.
Saudi Arabia's economy is booming (and not just because of oil either), and is China's biggest trade partner in the region. China may sell military stuff to Iran and may buy oil from Iran, but China depends on Saudi Arabia for trade across the board, import and export, well beyond only military stuffs and natural resources of which China is also a big partner with Saudi Arabia.