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1. Charting a Transatlantic Course to Address China

Author:
Julianne Smith, Andrea Kendall-Taylor, Carisa Nietsche, and Ellison Laskowski
Publication Date:
10-2020
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
Mounting competition between China and liberal democracies will shape the course of the 21st century. The gravity and scope of the challenges that China poses have permeated the transatlantic policy agenda and become a focal point in U.S.-Europe relations. Whereas China has long been a source of disagreement and even tension between the transatlantic partners, in the past two years views have converged. The Chinese Communist Party’s (CCP) assertive actions—its “Wolf Warrior” diplomacy, aggressive influence operations, human rights violations at home, and elimination of fundamental freedoms in Hong Kong—have increased concerns in both the United States and Europe. There is now fertile ground for transatlantic cooperation on everything from reducing dependency on Chinese trade and investment to setting global norms and standards for the future. Yet, despite this convergence of views and interests, there is still no roadmap for how such cooperation should progress. This report outlines such an approach. It is based on the premise that the time is ripe for greater transatlantic cooperation on China. It also recognizes the comprehensive nature of the task at hand. Today’s controversies with China over trade, investment, technology, and global governance are all part of a larger competition between political systems and worldviews. The breadth of the challenge means that the United States and Europe must compete with China across multiple domains. This report lays out a roadmap for doing so, outlining concrete recommendations across the four sectors of technology, investment, trade, and global governance. By working together, the United States and Europe can pool the resources and leverage needed to push back against the CCP in these areas and develop preferred alternatives that advance strategic priorities for both sides of the Atlantic. Moreover, the strategies outlined in this report will also serve a second purpose: re-energizing the ailing relationship between Europe and the United States.
Topic:
Security, International Cooperation, Transatlantic Relations, and Strategic Competition
Political Geography:
China, Asia, North America, and United States of America

2. A New Arsenal for Competition: Coercive Economic Measures in the U.S.-China Relationship

Author:
Elizabeth Rosenberg, Peter Harrell, and Ashley Feng
Publication Date:
04-2020
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
The United States and China have long used coercive economic measures to advance both economic and foreign policy objectives. In recent years, however, both countries have turned to coercive economic measures as mainstream instruments of foreign policy and national security policy, and increasingly have deployed coercive economic measures against each other. For the United States, China’s economic scale and global interconnections make it a fundamentally different type of target for coercive economic measures than the comparatively smaller and less sophisticated economies that have been primary targets of U.S. economic coercion in the past. The United States cannot simply isolate China from the global economy. Instead, it must adopt a more strategic focus on limiting Chinese actions in areas significant to U.S. national security and shoring up economic and technology arenas where the United States maintains lasting leverage. Over the past several years, the United States has deployed an array of coercive economic measures against China. The most prominent of these have been the tariffs on approximately two-thirds of U.S. imports from China. The tariffs remain largely in place despite implementation of the Phase One trade deal that the United States and China signed in January 2020. But the United States also has developed and deployed an increasingly sophisticated set of other coercive economic tools that will play a prominent role in U.S.-China relations over the years ahead, regardless of whether the United States and China fully implement the Phase One deal and reach a broader Phase Two trade agreement. Those other coercive economic tools include export controls, restrictions on U.S. imports to secure U.S. supply chains, heightened scrutiny of Chinese investment in the United States, sanctions, and stepped-up law enforcement measures against Chinese intellectual property (IP) theft and other Chinese activities in the United States. This expanding set of measures serves a broadening array of U.S. policy goals, including economic objectives, foreign policy goals, and the maintenance of America’s technological edge. The U.S. record of success in the use of these coercive economic measures has been mixed. While tariffs and other measures have succeeded in putting some macroeconomic pressure on China, they have not extracted fundamental concessions from Beijing. Targeted sanctions and law enforcement measures similarly have had economic impacts on some Chinese companies, but other Chinese companies have demonstrated an ability to weather U.S. economic coercion. To be effective in translating economic coercion into policy change by China, the United States needs to better integrate its coercive measures with each other and with other policies, better signal intentions and escalation, more rigorously assess impacts and costs, and galvanize allied support and coordinated action. For its part, China appears to recognize a balancing act between limiting economic ties with foreign partners in some domains and maintaining them in others. China has sought to distance certain Chinese economic sectors, particularly high-tech manufacturing, from the United States in some areas, investing heavily in domestic capacity development. In other areas where China must rely on foreign partners for technology, IP, or manufacturing, or where China does not appear to see a clear interest in severing trade, Beijing has sought to keep trade and investment flows moving in an unencumbered fashion. As for the United States, this is a dynamic policy environment.
Topic:
Security, Bilateral Relations, Economy, and Strategic Competition
Political Geography:
China, Asia, North America, and United States of America

3. Rising to the China Challenge: Renewing American Competitiveness in the Indo-Pacific

Author:
Ely Ratner, Daniel Kliman, Susanna V. Blume, Rush Doshi, Chris Dougherty, Richard Fontaine, Peter Harrell, Martijn Rasser, Elizabeth Rosenberg, Eric Sayers, Daleep Singh, Paul Scharre, Loren DeJonge Schulman, ​Neil Bhatiya, Ashley Feng, Joshua Fitt, Megan Lamberth, Kristine Lee, and Ainikki Riikonen
Publication Date:
01-2020
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
The United States and China are locked in strategic competition over the future of the Indo-Pacific—the most populous, dynamic, and consequential region in the world. At stake are competing visions for the rules, norms, and institutions that will govern international relations in the decades to come.1 The U.S. government aspires toward a “free and open” Indo-Pacific, defined by respect for sovereignty and the independence of nations, peaceful resolution of disputes, free and fair trade, adherence to international law, and greater transparency and good governance.2 For the United States, successful realization of this regional order would include strong U.S. alliances and security partnerships; a military able to operate throughout the region, consistent with international law; U.S. firms with access to leading markets, and benefiting from updated technology standards, investment rules, and trade agreements; U.S. participation in effective regional and international institutions; and the spread of democracy and individual freedoms in the context of an open information environment and vibrant civil society.3 By contrast, China is driving toward a more closed and illiberal future for the Indo-Pacific, core aspects of which would undermine vital U.S. interests.4 Key features of China-led order would include the People’s Liberation Army controlling the South and East China Seas; regional countries sufficiently coerced into acquiescing to China’s preferences on military, economic, and diplomatic matters; an economic order in which Beijing sets trade and investment rules in its favor, with dominance over leading technologies, data, and standards; and Beijing with de facto rule over Taiwan and agenda-setting power over regional institutions. The order would be further characterized by weak civil society, a dearth of independent media, and the gradual spread of authoritarianism, reinforced by the proliferation of China’s high-tech surveillance state. The net result would be a less secure, less prosperous United States that is less able to exert power and influence in the world.5 Ultimately, the competition between the United States and China in the Indo-Pacific is a contest over which of these futures will come closer to fruition, even as neither is likely to attain in its entirety. In the two years since the 2017 National Security Strategy and 2018 National Defense Strategy aptly identified this competition over the regional order in Asia, the U.S. government has taken initial steps toward its goal of a free and open region. On balance, however, critical areas of U.S. policy remain inconsistent, uncoordinated, underresourced, and—to be blunt—uncompetitive and counterproductive to advancing U.S. values and interests. This independent assessment—mandated by the U.S. Congress in the 2019 National Defense Authorization Act—is intended to help close the considerable gap between the current administration’s stated aspirations for a free and open Indo-Pacific and the actual implementation of policies to advance that vision. Specifically, Congress called for “an assessment of the geopolitical conditions in the Indo-Pacific region that are necessary for the successful implementation of the National Defense Strategy,” with a particular focus on how to “support United States military requirements for forward defense, assured access, extensive forward basing, and alliance and partnership formation and strengthening in such region.”6 This report examines how the U.S. government as a whole, not just the Department of Defense, can realize these outcomes. Although the focus of this assessment is on the Indo-Pacific, it is critical to underscore that the China challenge is a global phenomenon, and many of the actions recommended in this report should be taken to bolster U.S. competitiveness beyond the region. Consistent with the bipartisan mission of the Center for a New American Security, the report’s authors have collectively served on both sides of the aisle in Congress and in the administrations of Presidents George W. Bush, Barack Obama, and Donald Trump at the White House, State Department, Defense Department, Treasury Department, Central Intelligence Agency, and Office of the U.S. Trade Representative. Included herein are nearly a hundred specific and actionable policy recommendations across critical vectors of American competitiveness in the Indo-Pacific. Before turning to these recommendations, the remainder of this section describes six core principles that undergird the assessment and should form the foundations of U.S. strategy in the Indo-Pacific region.
Topic:
Security, Foreign Policy, Partnerships, and Strategic Competition
Political Geography:
China, Asia, North America, United States of America, and Indo-Pacific

4. Total Competition: China’s Challenge in the South China Sea

Author:
Patrick M. Cronin and Ryan Neuhard
Publication Date:
01-2020
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
China’s bid for ascendancy remains anchored in the South China Sea and surrounding Southeast Asian countries. The Chinese Communist Party (CCP) deems it economically and militarily vital to dominate the resources and sea lines of communication of a body of water twice the size of Alaska. Achieving this goal requires tethering neighboring countries into Beijing’s ambit while making the existing ruleset more favorable to China and displacing the dominant power behind the existing regional order. Some may find comfort in describing the scenario underway as a return to a “China-centered” rather than “Sino-centric” region.1 However, an authoritarian China’s coercive attempts to wield hegemonic control of the South China Sea threatens the sovereignty of Southeast Asian states and international freedom of the seas, both of which are of fundamental national interest to the United States. Yet the South China Sea and Southeast remain the least defended and most bountiful region susceptible to Chinese predations and inducements. The CCP leadership is obsessed with the idea that outside forces intend to contain China’s development, foment internal unrest, and prevent it from retaking what it considers to be its rightful place center stage in regional and global affairs. In partial response to deep-seated insecurities and renewed great-power ambitions, Xi Jinping and the CCP are in the process of attempting to exercise control over the entire nine-dash line claim covering the vast majority of the South China Sea and to turn Southeast Asia into a latter-day tributary system. CCP propaganda casts China’s quest for control over maritime Asia as an inexorable outcome of China’s rise and America’s decline. Curiously, the only government speaking seriously about “stopping” China is Beijing, suggesting that its policies are influenced more by subjective internal fears than by objective external realities. China wants nothing to stop it from consolidating its maximalist historic claims, from denying the United States the ability to intervene in regional conflicts, and from dismantling America’s postwar alliance system.
Topic:
Leadership, Economy, and Strategic Competition
Political Geography:
China, Asia, and South China Sea

5. Strengthening Delhi’s Strategic Partnerships in the Indian Ocean

Author:
Darshana M. Baruah
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
The Indian Ocean region (IOR) is a critical juncture of the wider Indo-Pacific. It is one of the most crucial trade corridors that links the Middle East, Europe, Africa, South Asia, and Southeast and Northeast Asia. As outlined by the Indian Ocean Rim Association (IORA), the Indian Ocean is "[h]ome to nearly 2.7 billion people … carrying half of the world’s container ships, one third of the world’s bulk cargo traffic, and two thirds of the world’s oil shipments." After the Cold War, the Indian Ocean remained relatively peaceful, with minimal geopolitical competition. India and the United States have been the primary actors in the theater and largely accepted each other’s presence and operations. After the Cold War, Washington welcomed a greater Indian role, with then–U.S. Secretary of Defense Robert Gates encouraging India to be a "net provider of security in the Indian Ocean and beyond." However, as China continues to expand its presence and deepen its engagements across the Indo-Pacific, there is a new geopolitical competition emerging in the Indian Ocean. While India perceives a growing Chinese presence as competition to its strategic and security role in the IOR, Beijing is determined to stake its claim and emerge as a key player in the IOR. This ambition feeds into China’s larger objective of becoming a global maritime power. India has a vital interest in the Indian Ocean, and as one of the IOR’s most prominent resident naval powers, its role in the IOR has been critical to maintaining peace and security. As China continues to expand its engagements and presence across the IOR, Delhi is beginning to review its maritime engagements and policies. Much of Delhi’s advantage is rooted in geography and operational experience, whereas it suffers from serious capacity constraints. Should China manage to find the means and ways to sustain itself in the region and gain experience operating there, it will be able to quickly overcome India’s advantages. Given that neither India nor China is looking to engage in a military conflict to establish dominance, strategic signaling, positioning, power projection, and enhanced operational capabilities will be key to enabling India to maintain a favorable position in the IOR in the next decade or so. As India continues to modernize its military, engaging with key partners will strengthen its ability to address emerging threats and China’s expanding presence in the IOR. This paper first explores India’s current approach to IOR chokepoints and how Delhi can leverage strategic partnerships to shore up its advantages in the IOR. It then identifies presence, maritime domain awareness, strategic collaborations, innovation, and nontraditional threats as the key areas where India can maximize its maritime partnerships to prepare for, deter, and respond to a more assertive China in the IOR.
Topic:
Foreign Policy, Defense Policy, Partnerships, Strategic Competition, and Strategic Interests
Political Geography:
South Asia, India, and Indian Ocean

6. Imbalance of Power: India’s Military Choices in an Era of Strategic Competition with China

Author:
Daniel Kliman, Iskander Rehman, Kristine Lee, and Joshua Fitt
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for a New American Security
Abstract:
The United States has made a strategic bet: that India will decisively shape the military balance in Asia.1 In an era of avowed great power competition with China,2 at a time when the U.S. military’s edge over the People’s Liberation Army (PLA) continues to erode,3 this wager will have an outsized impact on the future trajectory of the region. If India can maintain an advantage over China along its Himalayan frontier and sustain its dominance in the Indian Ocean, U.S. efforts to deny Beijing a regional sphere of influence are far more likely to succeed—as is the vision of a free and open Indo-Pacific shared by Washington and Delhi. If India fails to realize its military potential, the United States, caught in between its many global commitments, will struggle to uphold a favorable balance of power. Today, America’s wager has yet to fully pay off. The trend lines in the India-China military equation are broadly negative. Despite very real improvements in Delhi’s defense capabilities and a significant advantage conveyed by India’s maritime geography, its longstanding superiority over China in the Indian Ocean is at risk of slipping away. Beijing has enhanced the capability and capacity of the naval forces it can project into the Indian Ocean and pursued overseas military facilities to support a more regular People’s Liberation Army Navy (PLAN) presence there. Moreover, China’s long-range precision strike complex, though constructed primarily with the United States as the intended adversary, extends into the Indian Ocean—presenting a threat to Delhi’s maritime operations. The state of play along India’s Himalayan frontier is more mixed. Delhi possesses a clear advantage in localized military strength, but China has made significant infrastructure improvements in Tibet to enhance PLA mobility to surge troops forward, while folding the entire border with India under a single unified theater command—a major organizational restructuring that could yield an operational edge. India has not stood still amid growing military competition with China. Delhi has sought to provide its forces with greater mobility and operational awareness along the Himalayan frontier, while giving increased focus to maritime domain awareness, logistics, and subsurface monitoring across the vast expanses of the Indian Ocean. To weather a potential PLA attack, India has placed greater emphasis on infrastructure hardening; base resiliency; redundant command, control, and communications systems; and improved air defense. At the same time, India has shifted to a more punitive deterrence posture: Having invested in long-range strike capabilities suitable to both land and maritime warfare, it conducted a recent trial of a new anti-satellite weapon. It has also refined an operational concept for the Himalayan theater that aims to take the battle into China’s territory. Lastly, Delhi has begun taking steps to promote greater military jointness through new forms of defense organization.
Topic:
Power Politics, Military Affairs, and Strategic Competition
Political Geography:
China, South Asia, India, Asia, and United States of America