The Red Dragon Flexes more muscle ----------------------Defense News

BEIJING — China said March 4 its military spending would top $100 billion in 2012 — a double-digit increase on last year — in a move likely to fuel concerns about Beijing’s rapid military build-up.

The defense budget will rise 11.2 percent to 670.27 billion yuan ($106.41 billion), said Li Zhaoxing, a spokesman for China’s national parliament, citing a budget report submitted to the country’s rubber-stamp legislature.

The figure marks a slowdown from 2011 when spending rose by 12.7 percent but is still likely to fuel worries over China’s growing assertiveness in the Asia-Pacific region and push its neighbors to forge closer ties with the United States.

Li described the budget as “relatively low” as a percentage of gross domestic product compared with other countries and said it was aimed at “safeguarding sovereignty, national security and territorial integrity”.

“We have a large territory and a long coastline but our defense spending is relatively low compared with other major countries,” Li told reporters.

“It will not in the least pose a threat to other countries.”

China has been increasing its military spending by double digits for most of the past decade, during which time its economy, now the world’s second largest, has grown at a blistering pace.

The People’s Liberation Army — the world’s largest with an estimated 2.3 million troops — is hugely secretive about its defense programs, but insists its modernization is purely defensive in nature.

The rapid military build-up has nevertheless set alarm bells ringing across Asia and in Washington, which announced in January a defense strategy focused on countering China’s rising power.

Analysts said the smaller-than-expected increase in spending this year was an attempt by Beijing to ease concerns in the United States and the region about its growing military might.

“It is doubtful whether the message will get across because most countries know that the real budget is at least double the published one,” said Willy Lam, a leading China expert at the Chinese University of Hong Kong.

Lam said funding for modernizing the country’s military was not included in the published budget, which mostly covered salaries for defense personnel and maintenance of existing equipment.

Money for research and development of modern weaponry “comes from elsewhere”, he said.

Taiwan-based PLA expert Arthur Ding said the still considerable growth in this year’s budget would push “regional countries to try to build closer ties with the United States”.

“I think the regional countries will be really concerned about that,” Ding told AFP.

“China has to explain and try to convince the regional countries why they need such a high growth rate.”

Tokyo has repeatedly questioned Beijing’s military intentions. A Japanese government-backed report last month warned that Beijing’s assertiveness in the South China Sea could soon be replicated in neighboring waters.

China lays claim to essentially all of the South China Sea, where its professed ownership of the Spratly archipelago overlaps with claims by Vietnam, the Philippines, Taiwan, Brunei and Malaysia.

Beijing and Tokyo also have a long-standing dispute over an uninhabited but strategically coveted island chain known as Senkaku in Japanese and Diaoyu in Chinese, which lies between Japan and Taiwan in the East China Sea.

The two sides have occasionally clashed diplomatically over the issue, most notably in late 2010, when Japan arrested the captain of a Chinese fishing vessel near the island chain after a collision with its coastguard.

China began revamping the PLA — the former ragtag peasant force formed in 1927 by the Communist Party — in earnest after a troubled 1979 incursion into Vietnam, when the neighbors vied for influence over Southeast Asia.

Philippines' New Warship Sent to Disputed Waters

MANILA, Philippines - The Philippines launched its newest warship on Dec. 14, a former U.S. Coast Guard cutter that President Benigno Aquino said would be deployed to waters at the heart of a territorial dispute with China.

Aquino said the 378-foot (115-meter) Gregorio del Pilar would lead patrols in the parts of the South China Sea that the Philippines claims exclusively as its own and where exploration for potentially lucrative gas fields is underway.

"The Gregorio del Pilar, named after the newest general of the Philippine revolution, will take the lead in patrols for our sovereignty, and in ensuring that our waters are crime-free," Aquino said.

Aquino was speaking at Navy headquarters in Manila during a commissioning ceremony for the vessel, which replaces a World War II-era destroyer as the country's top warship.

Gregorio del Pilar was acquired from the United States earlier this year amid rising tensions between the Philippines and China in the South China Sea.

Tensions escalated after the Philippines accused the Chinese People's Liberation Army Navy of firing warning volleys at Filipino fishermen in the South China Sea, harassing an oil exploration vessel and putting up markers on Philippine islets.

Those areas are much closer to the Philippine landmass than Chinese, but China insists it has sovereign rights to virtually all of the South China Sea, even waters up to the coasts of Southeast Asian countries.

Other parts of the sea, which are reputedly rich in mineral resources and straddle vital sea lanes, also are claimed by Brunei, Malaysia, Taiwan and Vietnam.

The competing claims have for decades made the sea one of Asia's most dangerous potential military flashpoints.

Meanwhile in Beijing, state media reported that China has sent its largest patrol ship, the 3,000-ton Haijian 50, to the East China Sea to guard the country's territorial rights.

China has repeatedly locked horns with neighbors Japan and Taiwan over a group of uninhabited islands - called Senkaku in Japan and Diaoyu in Chinese - in the East China Sea that Beijing claims are in its territorial waters.

Japan and Taiwan also claim sovereignty over the area, which is similarly believed to be rich in oil and gas.

Philippines Asks S. Korea For Military Hardware

Manila - Philippine President Benigno Aquino asked his visiting counterpart from South Korea on Monday for aircraft, boats and other hardware to help boost his country's military, amid rising tensions with China.
Aquino said he and South Korean President Lee Myung-Bak discussed their respective regional security concerns, which for the Philippines is the disputed South China Sea, where China has been accused of bullying.

"On defence cooperation, I expressed to President Lee the interest of the Philippines to gain some specific defence articles such as military-grade helicopters, boats and aircrafts," Aquino said in a joint forum.
"This is in consonance with the upgrading and modernisation of the Armed Forces of the Philippines."
Lee did not disclose any response to the specific request but said South Korea wanted to cooperate with the Philippines to resolve its maritime problems.
"We agreed that we will continue to work together so that we can peacefully resolve this issue according to international rule, norms and standards," said Lee, who is on a three-day visit to the Philippines.
Aquino has this year begun upgrading the Philippines' military, which is one of the weakest in the region with its navy made up of mostly World War II-era ships and its air force consisting of Vietnam War-vintage planes.
He has said the Philippines needs to be able to defend its claims to waters and islands of the South China Sea.
China and Taiwan claim the South China Sea in full, while the Philippines, Vietnam, Malaysia and Brunei have claims to parts of the area, which is believed to hold vast oil and gas deposits.
The Philippines has accused the Chinese military of aggressive acts in the Philippine-claimed areas of the sea this year, including firing on Filipino fishermen, laying buoys and harassing an oil exploration vessel.
Aquino and Lee also oversaw the signing of economic agreements, the most significant of which will see South Korea provide the Philippines with up to $500 million in development loans from 2011 to 2013.
South Korea will also help build a coal-fired power plant in a free-trade zone on the main Philippine island of Luzon, and a dam on a river in the central island of Panay.
South Korea's Yonhap news agency said the dam project was worth $300 million.

Panetta Heads to Asia with Focus on North Korea

WASHINGTON - U.S. Defense Secretary Leon Panetta embarks Oct. 23 on a tour of Asia to take the pulse of key allies as Washington prepares for rare direct talks with North Korea over its nuclear program.
In his first trip to the region since taking the helm at the Pentagon in July, the former CIA director will begin with a stop in Indonesia before heading to Japan on Oct. 24 and South Korea on Oct. 26.
The trip coincides with sensitive direct talks between the United States and North Korea in Geneva next week to try to lay the ground for reviving long-stalled nuclear disarmament negotiations.
Before any broader discussions, the United States and South Korea are insisting the North take concrete steps to demonstrate it is sincere about resuming the full six-party nuclear dialogue with Japan, Russia and China.
In meetings in Tokyo and Seoul, Panetta "will have an opportunity to discuss with his counterparts where we are in the diplomatic process," a senior defense official said.
The defense chiefs will examine what steps to take to bolster diplomacy but also insure that they are prepared, should North Korea "choose to undertake a provocation," said the official, who spoke on condition of anonymity.
"We are essentially exploring the proposition and trying to ascertain if the North Koreans are serious about engaging in nuclear diplomacy and serious about living up to their commitments under the six-party process," the official said.
In April 2009, the North formally quit the six-party forum a month before staging its second atomic weapons test. In 2010, Pyongyang torpedoed and sank a South Korean ship and unleashed an artillery barrage on a South Korean island.
"If they are serious and they are willing to take concrete steps, then there's a clear path back towards the six-party process and diplomacy," the defense official said. "But that yet has to be seen."
Apart from diplomacy focused on North Korea, Panetta's talks in Tokyo are expected to cover missile defense plans, potential U.S. arms sales and the controversial future of the U.S. Futenma air base on the island of Okinawa.
The Pentagon chief travels to Seoul for a two-day stop with U.S.-South Korean relations at a high point, after President Lee Myung-Bak's red carpet treatment this month in Washington and the approval of a free-trade agreement between the two countries.
Panetta was scheduled to meet Lee, Foreign Minister Kim Sung-Hwan and his counterpart, Kim Kwan-Jin, after South Korean and U.S. forces staged a major joint exercise this week over the Yellow Sea that simulated dogfights with North Korea.
Before Japan and South Korea, Panetta will start his trip on the Indonesia island of Bali, where he is due to arrive Oct. 22 before meetings with Defense Minister Purnomo Yusgiantoro to discuss maritime security and reforms in the country's military, another defense official said.
The United States last year resumed ties with Indonesia's special forces after a 12-year suspension following military reforms and pledges from Jakarta to safeguard human rights.
The Pentagon chief also will hold talks with defense ministers from the Association of Southeast Asian Nations (ASEAN) on the sidelines of the bloc's meeting in Bali.
Disputes between ASEAN members and China over the resource-rich South China Sea will likely feature high on the agenda, as Washington has called for a regional code of conduct and insisted on "freedom of navigation" through the crucial global shipping route despite Beijing's territorial claims.
China says it has sovereignty over essentially all of the South China Sea, where its professed ownership of the Spratly archipelago overlaps with claims by Vietnam, the Philippines, Taiwan, Brunei and Malaysia.

Vietnam to Get Sub Fleet in 6 Years: State Media

HANOI - Vietnam will have a submarine fleet within six years, the defense minister reportedly confirmed Aug. 4, in what analysts say is intended as a deterrent to China's increasing assertiveness at sea.

"In the coming five to six years, we will have a submarine brigade with six Kilo 636-Class subs," Defence Minister Phung Quang Thanh was quoted as saying by the state-controlled Tuoi Tre newspaper.

Russian media reported in December 2009 that Vietnam had agreed to buy half a dozen diesel-electric submarines for about $2 billion.

Thanh said the fleet was "definitely not meant as a menace to regional nations," according to the report.

"Buying submarines, missiles, fighter jets and other equipment is for self-defense," he was quoted as saying.

Ian Storey, a regional security analyst at the Institute of Southeast Asian Studies (ISEAS) in Singapore, said the submarine deal has been driven by events in the South China Sea, where China and Vietnam have a longstanding territorial spat over the Paracel and Spratly archipelagos.

Tensions rose after Vietnam in May accused Chinese marine surveillance vessels of cutting the exploration cables of an oil survey ship inside the country's exclusive economic zone.

"These purchases are designed to deter the Chinese from encroaching on Vietnamese sovereignty," Storey told AFP.

He said the country already operates two midget submarines bought years ago from North Korea.

In the newspaper report, Thanh did not specify how Vietnam was paying for its naval upgrade.

"It depends on our economic ability. Vietnam has yet to produce modern weapons and military equipment, which are costly to import," he said.

Analysts say the country's economy is in turmoil with galloping inflation, large trade and budget deficits, inefficient state spending, and other woes.

Much of Vietnam's military hardware is antiquated but this week it received the first of three new coastal patrol planes for the marine police, announced the manufacturer, Madrid-based Airbus Military.

Russian media reported last year that Vietnam ordered 12 Sukhoi Su-30MK2 warplanes in a deal worth about $1 billion.

Other nations in the region have accused China in recent months of becoming more aggressive in enforcing its claims to parts of the South China Sea.

The Philippines, Malaysia, Brunei and Taiwan also have overlapping claims to all or parts of the waters, which are potentially rich in oil and gas deposits and straddle vital commercial shipping lanes.

Mullen Flies to China as U.S. Plans Naval Exercise

WASHINGTON - The top U.S. military officer departs for China July 8 in a trip designed to bolster a fledgling security dialogue with Beijing, even as a U.S. naval exercise in the South China Sea threatens to upstage his visit.
Adm. Mike Mullen, chairman of the U.S. Joint Chiefs of staff, was to depart July 8 for the four-day tour that will include talks with senior officers and a visit to military units, officials said.

Mullen - who in May hosted his Chinese counterpart, People's Liberation Army Chief of General Staff Chen Bingde - "looks forward to continuing the engagement and dialogue" with Chen in Beijing, the Pentagon said in a statement.
But the admiral's trip coincides with a joint naval exercise set for July 9 with the U.S., Japanese and Australian navies in the South China Sea, where China has asserted territorial claims.
U.S. and Japanese officials said the exercise will include the Japanese destroyer Shimakaze, an American destroyer - the Preble - and a Royal Australian Navy patrol boat.
The ships will carry out communications training and other drills off Brunei, officials said.
The U.S. Navy played down the exercise, with a spokeswoman calling it a small-scale, "low-level" activity on the sidelines of an international defense exhibition in Brunei.
Lt. Commander Tamara Lawrence told AFP it was a "passing exercise," which typically includes flag semaphore drills, navigation and other exercises focused on "basic seamanship."
China has objected to previous U.S. naval drills in the South China Sea, and tensions in the strategic and resource-rich area have mounted in recent weeks.
The Philippines and Vietnam have expressed concern over what they call China's increasingly assertive stance in the area.
Mullen's visit also comes after the United States and the Philippines carried out joint naval exercises, which Manila and Washington insisted were aimed at deepening military ties and not related to worries over China.
China has insisted that it wants a peaceful resolution of territorial disagreements, but has warned Washington against involvement in the intensifying disputes in the region.
The trip to China is the first by a U.S. chairman of the joint chiefs since 2007, officials said.
Mullen "has a wide range of meetings with senior military officials scheduled, including visits to PLA military units," the Pentagon said.
The admiral was also due to address students at Renmin University in Beijing, it said.
As tensions in the South China Sea have mounted, the pace of China-U.S. military exchanges have also picked up, with the former U.S. defense secretary Robert Gates meeting Chinese Defense Minister Liang Guanglie in Singapore in early June, following a January visit by Gates to Beijing.
Gates warned last month that clashes could erupt in the South China Sea unless nations with conflicting territorial claims adopt a mechanism to settle their disputes peacefully.

Brunei Kicks Off 3rd BRIDEX Defense Show

TAIPEI - The third Brunei Darussalam International Defence Exhibition (BRIDEX) is quickly taking its rightful place among regional exhibitions as one of the top defense and security events in Southeast Asia.
Organized by the Royal Brunei Technical Services, BRIDEX 2011 will showcase the latest regional and international defense technologies and equipment in land, sea, air and security systems from July 6-9.

U.S. companies vying for market space include BBA Aviation, General Dynamics, Harris Corporation, Northrop Grumman, Piper Aircraft and Raytheon. European defense exhibitors include BAE Systems, Defense Conseil International, QinetiQ, Renault, Rosoboronexport and Saab. A number of competitive helicopter manufacturers will also be exhibiting, including AugustaWestland, Bell Helicopters, Eurocopter and Sikorsky.
Asia-Pacific exhibitors include Australia's Prism Defence, China's Hubei Hudiequan Plastic Products Co., Pakistan Ordnance, Singapore Technologies Engineering and Taiwan's Smart Team Technology.
BRIDEX officials said there would be land-based and waterborne demonstrations of defense and security equipment and systems. The new BRIDEX Exhibition and Convention Centre in Jerudong is located next to the waterfront.
"BRIDEX also provides an excellent platform for building vital alliances, forging partnerships and capturing new business opportunities in a fast growing South East Asian region, as well as for networking, sharing ideas and knowledge, discussing technology advancements and industry developments," said a BRIDEX press release.
BRIDEX 2011 coincides with the 50th anniversary of the Royal Brunei Armed Forces. This year about 300 exhibitors and 500 VIP delegates are expected to participate. In 2007, 108 exhibitors representing 16 countries participated, including more than 60 delegates from 17 countries. In 2009, the number of exhibitors jumped to 200 from 26 countries, along with 300 delegates from 40 countries.
Singapore's Minister for Defence Ng Eng Hen will also attend. Ng is also visiting Singapore Armed Forces (SAF) officer cadets undergoing jungle confidence and survival training in Brunei. The SAF will be displaying a F-16 fighter aircraft, a CH-47 Chinook cargo helicopter, a Terrex Infantry Carrier Vehicle and a Formidable-class frigate, the RSS Stalwart, at BRIDEX. Ng will be accompanied by Singapore's Permanent Secretary for Defence Chiang Chie Foo, Chief of Defence Force Lieutenant-General Neo Kian Hong and Chief of Air Force Major-General Ng Chee Meng.
BRIDEX will also host a conference, "Mapping Future Security and Technological Challenges," on July 5. Presenters include Kim Taeyoung, former South Korean defense minister, now a senior adviser for the Korea Institute of Defense Analyses; Ambassador Barry Desker, dean of the S. Rajaratnam School of International Studies in Singapore; and Lt. Gen. Prakash Menon, military adviser for India's National Security Council Secretariat.
In a statement issued by Yang Mulia Dato Paduka Haji Mustappa, Deputy Minister of Defense of Brunei Darussalem, the military has gone through organizational changes since BRIDEX 2009, "most notably the merging of the Directorate of Operations with the Joint Force Headquarters to enhance Joint Operations."
The military also formed a new department in 2010, the Centre of Science and Technology Research and Development, "that will form a synergy with the Directorate of Capability Development to focus on acquiring capability solutions required by the Royal Brunei Armed Forces."
The military is awaiting the soon-to-be released 2011 Defense White Paper, which will identify key areas for future development, such as the integration of the Joint Force with the military's C4ISR system, he said.