China’s approach to nuclear deterrence has been broadly consistent since its first test in 1964, but it has recently accelerated nuclear force modernization. China’s strategic environment is likely to grow more complex, and nuclear constituencies are gaining a larger bureaucratic voice. Beijing is unlikely to change official nuclear policies but will probably increase emphasis on nuclear deterrence and may adjust the definition of key concepts.

Through extensive primary source analysis and independent analysis, this report seeks to answer a number of important questions regarding the state of China’s armed forces. The authors found that the PLA is keenly aware of its many weaknesses and is vigorously striving to correct them. Although it is only natural to focus on the PLA’s growing capabilities, understanding the PLA’s weaknesses—and its self-assessments—is no less important.

This report assesses the effectiveness of China’s industrial policies, using China’s commercial aviation manufacturing industry as a case study. It evaluates China’s efforts to create a national champion in this industry, and analyzes foreign manufacturers’ efforts to protect key technologies when setting up production facilities there. It also offers policy options for foreign governments responding to Chinese policies.