“Outer space and cyberspace have become new commanding heights in the strategic competition among all parties.”
~ China’s Military Strategy, May 2015

by Catherine Austin Fitts

China has issued a new white paper on Military Strategy. Driving back to Palo Alto yesterday from an appointment inland, the heat was unbearable. It seemed like a good time to hole up at a well air-conditioned Starbucks and read the report carefully.

This is military strategy designed to build global leadership:

• Global Sea Lanes:  China intends to do more than defend. They intend to protect supply lines and contribute to maintaining peaceful trade globally.
• Cyber Hacking:  This dovetails with a government-led effort to build Internet infrastructure which will makes China’s digital systems independent of US compromise.
• Space:  The power and importance of the suborbital platform continues to grow – as do the risks of space weaponry.
• Cooperation:  There is an emphasis on cooperation with other militaries, including the Russians.

Whether asking to be included in the SDR system, investing in global infrastructure or building out their military capacity, China is moving onto the world stage. How they will combine liquid financial markets with this plan will be fascinating to watch. At the heart of the financial question will be the integrity of their digital systems.

Plenty of hot spots in the China Seas remain, including the desire for reunification with Taiwan.

This white paper is well worth a read to understand the geopolitical risks on the rise: http://eng.mod.gov.cn/Database/WhitePapers/