As the Chinese government has become more assertive in economic affairs, it is continuing to expand it’s military base. The Chinese government has announced that they are increasing defense spending by 12.7% this year. These “official statistics” are assumed by many to significantly understate the level of Chinese military spending. Some say real spending is twice the official budget. This is exactly what the Soviets did during the Cold War.
At the same time China is becoming more assertive internatioanlly. Earlier this week The Philippines had to deploy two warships to a disputed area of the South China Sea after civilian ships reported being harassed by Chinese patrol boats. In a separate incident Japan scrambled F-15 fighters after Chinese aircraft flew into another disputed area. The China Post reports that this year China “sent navy vessels and military aircraft closer to Japanese territory….than ever before.”
So as Western Europe and the United States contemplate (or act on) defense cuts, China continues to rise. Last year the budget rose 7.5%. In 2007 it rose 17.8%.