First part of the recently published Annual Report to US Congress on military and security developments involving the People’s Republic of China deals with understanding Chinese Strategy.

<strong>China’s national strategy</strong>

<span style="text-decoration: underline;">Excerpt from US Report</span>: The People’s Republic of China’s (PRC’s) strategy aims to achieve “the great rejuvenation of the Chinese nation” by 2049.

Comment: China seems to be doing well and achieving the landmarks before the stipulated timelines.

<span style="text-decoration: underline;">Excerpt from US Report:</span> The Chinese Communist Party (CCP) frames this strategy as an effort to realize long-held nationalist aspirations to “return” China to a position of strength, prosperity, and leadership on the world stage.

Comments: China aspires to be “the only sun in the sky.” They view the world to be in the shape of a cone with China in the center and on top of it.

<span style="text-decoration: underline;">Excerpt from US Report</span>: China’s strategy can be characterized as a determined pursuit of political and social modernity.

Comment: China is pursuing her goal with determination and vigor. Achieving political and social modernity seems to be from her point of view and is not the same as perceived by the rest of the world.

<span style="text-decoration: underline;">Excerpt from US Report</span>: It includes far-ranging efforts to expand China’s national power, perfect its governance systems, and revise the international order.

Comment: Expanding her national power and perfecting her governance system is acceptable to the rest of the world. Revision of international order as viewed by China amounts to ruling the world, which is objectionable to the others.

<span style="text-decoration: underline;">Excerpt from US Report</span>: The CCP’s leadership has long viewed China as embroiled in a major international strategic competition with other states, including, and in particular, the United States.

Comment: The Chinese mindset is archaic and that of competition, with aspiration to be ahead of everyone. The world has moved on to the concept of Co-omperation, i.e., be cooperative while being competitive.

<span style="text-decoration: underline;">Excerpt from US Report</span>: In 2019, China intensified its efforts to advance its overall development including steadying its economic growth, strengthening its armed forces, and taking a more active role in global affairs.

Comment: There could be few possible reasons for this. First is that CPC’s centenary year 2021 is approaching. Second is attempt by Xi Jinping to further consolidate his position and third is impatience to achieve the Chinese dream. Timing of the Covid pandemic and way of handling it by China, leaves quite a few questions unanswered. It could be a part of the overall strategy.

<strong>Aspects related to China’s foreign policy</strong>

The PRC’s foreign policy seeks to revise aspects of the international order on the Chinese Communist Party’s terms and in accordance with ideas and principles it views as essential to forging an external environment conducive to China’s national rejuvenation.

Comments: China’s foreign policy is very aggressive and belligerent in nature. Her actions and behavior in the last few months is an indicator of things to come in future. Some aspects related to her foreign policy are as follows:

* China deals with foreign policy in same way she deals with domestic dynamics, politics and situations.

* In China’s view other countries are either subordinates or inimical. There is no third category.

* She prefers bilateral dealings rather than multilateral ones.

* China has only interests and no friends.

<span style="text-decoration: underline;">Excerpt from US Report</span>: In 2019, the PRC recognized that its armed forces should take a more active role in advancing its foreign policy, highlighting the increasingly global character that Beijing ascribes to its military power.

Comment: In China the People’s Liberation Army belongs to the Party and she uses the armed forces to rule the country. She has started using the armed forces as a tool for foreign policy as well. She is using them extensively for coercive diplomacy by offensive posturing and muscle flexing. In tune with her global aspirations, she is investing more on her Air Force, Navy and long range vectors.

<strong>Aspects related to China’s economic policy</strong>

<span style="text-decoration: underline;">Excerpt from US Report</span>: The CCP prioritizes economic development as the “central task” and the force that drives China’s modernization across all areas, including its armed forces.

Comments: China’s economic rise in last decade or so is commendable. Other relevant aspects are as follows:

* China’s main strength is her ability to produce goods cheaper than elsewhere. China is also called the factory of the world. She entered the top ten exporters list by end of last decade and within a span of ten years reached the top spot.

* The rest of the world is responsible for this, as all the major production houses from world over have industrial production units in China.

* In the last six months China has made too many enemies and the world has realized its mistake. The decoupling process has already commenced and would happen in spite of being a difficult process. This would hurt the Chinese economy to a large extent.

<span style="text-decoration: underline;">Excerpt from US Report</span>: China’s economic development supports its military modernization not only by providing the means for larger defence budgets, but through deliberate Party-led initiatives such as OBOR and Made in China 2025, as well as the systemic benefits of China’s growing national industrial and technological base.

Comments: This observation by US has many aspects as follows:

* It is true that the military modernization of China commenced after improvement in her economic status.

* China has been spending a lot on the modernization of her military. Exact amount cannot be assessed for sure as her stated figures are not trustworthy.

* OBOR or BRI is a beneficial project for China in many ways. She can use her surplus infrastructure building capacity to good use. She can control the participating countries by trapping them in heavy debts. While reviving the trade routes China would get much needed alternative supply routes.

* The project is already facing roadblocks in many places. The project is likely to get adversely affected further due to the change in world opinion about China’s role in the pandemic situation and her opportunistic behavior thereafter.

* China has a good technology and industrial base developed by unscrupulous methods of industrial espionage and reverse engineering. Various countries having realized this and have already initiated corrective actions.

<em>(Air Marshal Anil Khosla (Retd) is a former Vice-Chief of Air Staff, Indian Air Force. The views expressed in the article are personal)</em>.