Trying To Figure Out China's Defense Budget

China Boosts 2013 Defense Spending 10.7%. © AFP 2013/ Ed Jones

Unveiling China’s Defense Budget -- Kevin Baron, the E-Ring/Foreign Policy

China's defense spending is often the cause of heartburn and confusion in Washington, but top analysts argued Monday that the U.S. should spend more time examining the People’s Liberation Army’s rate of growth, its strong commitment to military modernization, and its mixed message to foreign powers about its intentions.

China is spending more on high-tech, yet unproven systems, such as stealth fighers, in an effort to keep up with the Pentagon. But that ambition is eating at its wider budget, said James Mulvenon, director of Defense Group, Inc.’s Center for Intelligence Research and Analysis. Additionally, he said, the cost for PLA personnel has risen from about one-third of its budget to roughly one-half, in an effort to increase the quality of the Chinese force.

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My Comment: The past few years has taught me one thing when it comes to covering China's military and it's defense budget .... the Chinese say one thing, and then they do something else.

Why Is China Increasing It's Defense Budget

What To Make Of China’s Defense Spending Increase -- James R. Holmes, The Diplomat

On Tuesday outgoing Chinese premier Wen Jiabao opened the annual meeting of the National People's Congress with a report announcing, among other things, that defense spending will expand by 10.7 percent this year, reaching an official figure of $115.7 billion. Wise China-watchers attach a mental asterisk to economic and budgetary figures issuing from Beijing, which has every incentive and every opportunity to fudge such numbers for political reasons. Last year, for instance, the Pentagon estimated Chinese defense spending at $120-180 billion, against the official total of $106 billion. Its 2012 report on Chinese military power ascribed the disparity to such factors as "poor accounting transparency," the nation's "still incomplete transition from a command economy," and the absence of major expenditures such as foreign weapons purchases from the defense budget. In all likelihood the Pentagon's is a conservative estimate, compiled by U.S. defense officials worried about standing accused of peddling the "China threat theory," pursuing nouveau containment, and the rest of the usual sins.

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My Comment: There are two reasons for this increase .... (1) continue pursuing the goal of becoming the regional superpower, and (2) to have the means to insure that civil disobedience or unrest does not happen in China itself.

More Details Released On China's Massive Defense Budget

Military delegates gathered outside the Great Hall in Beijing for a meeting of the National People's Congress on Monday. Reuters

China Boosts Defense Budget By 10.7 Percent For 2013 -- Reuters

(Reuters) - China will raise military spending by 10.7 percent this year to 740.6 billion yuan ($119 billion), the government announced on Tuesday, adding to a nearly unbroken series of double-digit increases in the defense budget over two decades.

The government also announced that the domestic security budget would rise 8.7 percent to 769.1 billion yuan, the third year in a row it will outstrip defense spending.

"We should accelerate the modernization of national defense and the armed forces so as to strengthen China's defense and military capabilities," Premier Wen Jiabao said in remarks prepared for delivery ahead of the start of China's annual meeting of parliament.

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More News On China's Defense Budget

China Boosts Defense Spending as Military Modernizes Arsenal -- Bloomberg Businessweek
China defence budget to rise 10.7% in 2013: Xinhua -- France 24/AFP
China's Xi Courts Military -- Wall Street Journal
China defends growing military spending -- Al Jazeera
China to maintain defense spending, fight waste -- Washington Examiner
China Defends Expanded Military After Memories of ‘Bullying’ -- Bloomberg
China defense budget to rise 10.7 percent in 2013—Xinhua -- Inquirer
China defense budget to grow 10.7% in 2013 -- China.org.cn (China)
Defense budget 'no threat' -- Yang Jingjie, Global Times (China)

China Announces A Stunning Hike In Military Spending

Soldiers from Chinese PLA Special Operations Forces marching in formation during training session on the outskirts of Beijing Photo: REUTERS

China's Defense Budget To Grow 12.7 Pct In 2011: Spokesman -- Xinhuanet

BEIJING, March 4 (Xinhua) -- China said Friday it plans to raise its defense budget by 12.7 percent to 601 billion yuan (91.5 billion U.S. dollars) in 2011, compared with an increase of 7.5 percent last year.

The year's draft defense budget was 67.6 billion yuan more than 2010, and accounted for about 6 percent of the country's total budget, said Li Zhaoxing, spokesman for the annual session of China's national legislature.

"The government has always tried to limit military spending and it has set the defense spending at a reasonable level to ensure the balance between national defense and economic development," said Li.

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More News On China's Defense Budget

China defense budget to stir regional disquiet -- Yahoo News/Reuters
China to boost defense spending by 12.7 percent -- Yahoo News/AP
Double-digit rise for China's military spending -- Yahoo News/AFP

China Strengthens Military Budget -- Wall Street Journal
China says it will boost its defence budget in 2011 -- BBC
China to Boost Military Spending -- Voice of America
China Resumes Rapid Increase in Military Spending -- New York Times
12 Percent Hike In China's Defense Budget -- RTT News
China announced a stunning hike in military spending; Japan worried -- Times of India
China to Boost Defense Spending by 12.7% as Military Extends Global Reach -- Bloomberg
China to boost military spending -- Al Jazeera
China to boost military spending -- Financial Times
China defense budget up 12.7 percent -- UPI
China to boost defence spending by 12.7 per cent -- The Hindu/AP
Chinese defence spending to rise to £56bn -- The Guardian
China may be spending more on its military than it lets on -- The Telegraph
Despite defense budget rise, China to maintain friendly relations with neighbors: spokesman -- Xinhuanet
China to boost military spending: Gunning for the US? -- International Business Times

My Comment: Am I surprised by this huge increase in military spending by China .... no. They now want to have the ability to extend their military globally .... hence the spending. There is also a little bit of truth in this report.

Update: China's neighbors are concerned, contrary to what the Chinese are saying.

China's Military Budget To Increase By 7.5%

China Increases Military Budget 7.5% -- Voice of America

China has announced plans to boost its military budget by 7.5 percent this year - the smallest increase in more than two decades. The figures were unveiled at a news conference, Thursday, to preview the annual session of China's legislature, which begins Friday.

Li Zhaoxing, spokesman of the National People's Congress, says China's new military budget for 2010 will be nearly $78 billion, or 7.5 percent more than the year before.

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More News On China's Military Budget

China announces 7.5 pct jump in defense spending -- AP
China's defence budget to rise 7.5 percent in 2010 -- AFP
China Says It Is Slowing Down Military Spending -- New York Times
China slows rise in military spending -- BBC
China slows rise in military spending -- The Telegraph
China posts unexpectedly low defence budget rise -- Times Online
China's military spending slows, on paper -- Christian Science Monitor
China to cool rising defence spending -- Financial Times
China Plans Lowest Defense Budget Raise in 10 Years -- Business Week/Bloomberg
FACTBOX - Facts about China's military forces -- Reuters