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Monday, May 3, 2010

China getting aggressive - Economic, Naval and Nuclear

Source: 8ak

Rolling out its first indigenous stealth warship - Shivalik, India has taken comfort that its naval strength is sufficient to meet the Chinese threat. However, it may be a false comfort and China forges ahead in the economic, naval and nuclear spheres.


Business week reports that the US$10 billion (official $4.2 billion, Chinese media says over $58 billion. See Reuters "Why is China having the Expo") Shanghai World Expo opened with a bang and will be better for Shanghai than the Olympics was for Beijing. Telegraph (UK) on the other hand states that what was meant to showcase China to the world, may instead become an embarrassment to the government as only 60% of people given/bought tickets to the expo showed up.

Wired reports that China's recent naval exercises were aimed at showing the world (and possibly specifically the U.S.) that it can co-ordinate its naval assets. As Japanese citizens protested to get a U.S. base in Japan closed, Japan was taken by surprise by the Chinese anti-submarine exercises near an island near Okinawa and that too without warning. In addition, New York Times reports, "Its defense minister, Toshimi Kitazawa, said in mid-April that two Chinese submarines and eight destroyers were spotted on April 10 heading between two Japanese islands en route to the Pacific, the first time such a large Chinese flotilla had been seen so close to Japan. When two Japanese destroyers began following the Chinese ships, a Chinese helicopter flew within 300 feet of one of the destroyers, the Japanese Defense Ministry said."

But taking the above in combination with China's aircraft carrier developments, India may need to re-think our strategy.

On the nuclear front, Government Monitor (US) reports that China is close to exporting two nuclear reactors to Pakistan in contravention to NSG commitments and thereby showing off its aggressiveness in pursuing a nuclear strategy despite concerns of any other country.

Back in India, a concerned Huawei has sought clarification from the government about whether a ban exists on Indian Telcos from buying telecom equipment from China. The government denies this ban but Business Line reports that this issue will turn in to a diplomatic issue.

On the brighter side, Sify reports that on Labour Day May 1, the Chinese PLA hosted Indian soldiers on their side of the Line of Actual control near Ladakh, Jammu & Kashmir. China-India relations have been deteriorating because of the continued issuance of stapled visas for Indian citizens residing in Arunachal and J&K, the dam on the Brahmaputra and recent stoppage of road construction in Ladakh by the PLA. According to EcoTimes, China also agreed to share hydrographic data on Tsangpo/Brahmaputra.

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