China's National Defense in 2010 (Full Text)
2011/04/01

Information Office of the State Council

The People's Republic of China

March 2011, Beijing

Contents

Preface

I. The Security Situation

II. National Defense Policy

III Modernization of the People's Liberation Army

IV. Deployment of the Armed Forces

V. National Defense Mobilization and Reserve Force Building

VI. Military Legal System

VII. Science, Technology and Industry for National Defense

VIII. Defense Expenditure

IX. Military Confidence-Building

X. Arms Control and Disarmament

Preface

In the first decade of the 21st century, the international community forged ahead in a new phase of opening up and cooperation, and at the same time faced crises and changes. Sharing opportunities for development and dealing with challenges with joint efforts have become the consensus of all countries in the world. Pulling together in the time of trouble, seeking mutual benefit and engaging in win-win cooperation are the only ways for humankind to achieve common development and prosperity.

China has now stood at a new historical point, and its future and destiny has never been more closely connected with those of the international community. In the face of shared opportunities and common challenges, China maintains its commitment to the new security concepts of mutual trust, mutual benefit, equality and coordination. By connecting the fundamental interests of the Chinese people with the common interests of other peoples around the globe, connecting China's development with that of the world, and connecting China's security with world peace, China strives to build, through its peaceful development, a harmonious world of lasting peace and common prosperity.

Looking into the second decade of the 21st century, China will continue to take advantage of this important period of strategic opportunities for national development, apply the Scientific Outlook on Development in depth, persevere on the path of peaceful development, pursue an independent foreign policy of peace and a national defense policy that is defensive in nature, map out both economic development and national defense in a unified manner and, in the process of building a society that is moderately affluent on a general basis, realize the unified goal of building a prosperous country and a strong military.

I. The Security Situation

The international situation is currently undergoing profound and complex changes. The progress toward economic globalization and a multi-polar world is irreversible, as is the advance toward informationization of society. The current trend toward peace, development and cooperation is irresistible. But, international strategic competition and contradictions are intensifying, global challenges are becoming more prominent, and security threats are becoming increasingly integrated, complex and volatile.

On the whole, the world remains peaceful and stable. The international community has reaped the first fruits in joint efforts to respond to the global financial crisis. All countries have stepped up to adjust their strategies and models for economic development, and no effort has been spared in attempting to foster new economic growth points. Scientific and technological innovations are breeding new breakthroughs. And economic globalization has achieved further progress. The international balance of power is changing, most notably through the economic strength and growing international status and influence of emerging powers and developing countries. Prospects for world multi-polarization are becoming clearer. The prevailing trend is towards reform in international systems. Steady progress is being made in the establishment of mechanisms for management of the global economy and finance. G20 is playing a more outstanding role. The international spotlight has turned to the reform of the UN and other international political and security systems. Profound realignments have taken place in international relations; economic interdependence among various countries has been enhanced; shared challenges have been increasing; and communication, coordination and cooperation have become mainstream in relationships among the world's major powers. As factors conducive to maintaining peace and containing conflict continue to grow, mankind can look forward to a future that on the whole is bright.

The international security situation has become more complex. International strategic competition centering on international order, comprehensive national strength and geopolitics has intensified. Contradictions continue to surface between developed and developing countries and between traditional and emerging powers, while local conflicts and regional flashpoints are a recurrent theme. In a number of countries, outbreaks of unrest are frequently triggered off by political, economic, ethnic, or religious disputes. In general, world peace remains elusive. Deep-seated contradictions and structural problems behind the international financial crisis have not been resolved. World economic recovery remains fragile and imbalanced. Security threats posed by such global challenges as terrorism, economic insecurity, climate change, nuclear proliferation, insecurity of information, natural disasters, public health concerns, and transnational crime are on the rise. Traditional security concerns blend with non-traditional ones and domestic concerns interact with international security ones, making it hard for traditional security approaches and mechanisms to respond effectively to the various security issues and challenges in the world.

International military competition remains fierce. Major powers are stepping up the realignment of their security and military strategies, accelerating military reform, and vigorously developing new and more sophisticated military technologies. Some powers have worked out strategies for outer space, cyber space and the polar regions, developed means for prompt global strikes, accelerated development of missile defense systems, enhanced cyber operations capabilities to occupy new strategic commanding heights. Some developing countries maintain the push towards strengthening their armed forces, and press on with military modernization. Progress has been made in international arms control, but prevention of the proliferation of weapons of mass destruction remains complex, there is still much to do to maintain and strengthen the international non-proliferation mechanism.

The Asia-Pacific security situation is generally stable. Asia has taken the lead in economic recovery, and its growth as a whole has been sustained. With an enhanced sense of shared interests and destiny, Asian countries have seized the opportunities presented by economic globalization and regional economic integration, and maintained a commitment to promoting economic development and regional stability. They have persisted in multilateralism and open regionalism, actively developed bilateral and multilateral cooperation with countries inside and outside the region, and endeavored to build economic and security cooperation mechanisms with regional features. The Shanghai Cooperation Organization (SCO) is playing a growing role in promoting regional stability and development. The integration of the Association of Southeast Asian Nations (ASEAN) is moving ahead. There is growing cooperation in such mechanisms as China-ASEAN, ASEAN Plus Three (China, Japan and the Republic of Korea) and China-Japan-ROK. The Asia-Pacific Economic Cooperation (APEC) continues to make progress.

Nevertheless, Asia-Pacific security is becoming more intricate and volatile. Regional pressure points drag on and without solution in sight. There is intermittent tension on the Korean Peninsula. The security situation in Afghanistan remains serious. Political turbulence persists in some countries. Ethnic and religious discords are evident. Disputes over territorial and maritime rights and interests flare up occasionally. And terrorist, separatist and extremist activities run amok. Profound changes are taking shape in the Asia-Pacific strategic landscape. Relevant major powers are increasing their strategic investment. The United States is reinforcing its regional military alliances, and increasing its involvement in regional security affairs.

China is still in the period of important strategic opportunities for its development, and the overall security environment for it remains favorable. It has coped effectively with the impact of the international financial crisis, and sustained a steady and relatively rapid economic growth. China has vigorously maintained national security and social stability, and its comprehensive national strength has stepped up to a new stage. It has strengthened coordination and cooperation with major traditional powers and emerging countries, reinforced good-neighborly friendship and practical cooperation with neighboring countries, and extended mutually benefiting cooperation with other developing countries. China has played a unique role in collective action with other countries to meet global challenges. The Chinese government has formulated and implemented principles and policies for advancing peaceful development of cross-Strait relations in the new situation, promoted and maintained peace and stability in the area. Significant and positive progress has been achieved in cross-Strait relations. On the basis of opposing "Taiwan independence" and adhering to the "1992 Consensus," the two sides have enhanced political mutual trust, conducted consultations and dialogues, and reached a series of agreements for realizing direct and bilateral exchanges of mail, transport and trade, as well as promoting economic and financial cooperation across the Straits. The peaceful development of cross-Strait relations accords with the interests and aspirations of compatriots on both sides of the Straits, and is widely applauded by the international community.

China is meanwhile confronted by more diverse and complex security challenges. China has vast territories and territorial seas. It is in a critical phase of the building of a moderately prosperous society in an all-round way. Therefore, it faces heavy demands in safeguarding national security. The "Taiwan independence" separatist force and its activities are still the biggest obstacle and threat to the peaceful development of cross-Strait relations. Further progress in cross-Strait relations is still confronted by some complicating factors. Separatist forces working for "East Turkistan independence" and "Tibet independence" have inflicted serious damage on national security and social stability. Pressure builds up in preserving China's territorial integrity and maritime rights and interests. Non-traditional security concerns, such as existing terrorism threats, energy, resources, finance, information and natural disasters, are on the rise. Suspicion about China, interference and countering moves against China from the outside are on the increase. The United States, in the defiance of the three Sino-US joint communiques, continues to sell weapons to Taiwan, severely impeding Sino-US relations and impairing the peaceful development of cross-Strait relations.

In the face of the complex security environment, China will hold high the banner of peace, development and cooperation, adhere to the concepts of overall security, cooperative security and common security, advocate its new security concept based on mutual trust, mutual benefit, equality and cooperation, safeguard political, economic, military, social and information security in an all-round way, and endeavor to foster, together with other countries, an international security environment of peace, stability, equality, mutual trust, cooperation and win-win.

II. National Defense Policy

China pursues a national defense policy which is defensive in nature. In accordance with the Constitution of the People's Republic of China and other relevant laws, the armed forces of China undertake the sacred duty of resisting foreign aggression, defending the motherland, and safeguarding overall social stability and the peaceful labor of its people. To build a fortified national defense and strong armed forces compatible with national security and development interests is a strategic task of China's modernization, and a common cause of the people of all ethnic groups.

The pursuit of a national defense policy which is defensive in nature is determined by China's development path, its fundamental aims, its foreign policy, and its historical and cultural traditions. China unswervingly takes the road of peaceful development, strives to build a harmonious socialist society internally, and promotes the building of a harmonious world enjoying lasting peace and common prosperity externally. China unswervingly advances its reform and opening up as well as socialist modernization, making use of the peaceful international environment for its own development which in return will contribute to world peace. China unswervingly pursues an independent foreign policy of peace and promotes friendly cooperation with all countries on the basis of the Five Principles of Peaceful Coexistence. China unswervingly maintains its fine cultural traditions and its belief in valuing peace above all else, advocating the settlement of disputes through peaceful means, prudence on the issue of war, and the strategy of "attacking only after being attacked." China will never seek hegemony, nor will it adopt the approach of military expansion now or in the future, no matter how its economy develops.

The two sides of the Taiwan Strait are destined to ultimate reunification in the course of the great rejuvenation of the Chinese nation. It is the responsibility of the Chinese people on both sides of the Straits to work hand in hand to end the history of hostility, and to avoid repeating the history of armed conflict between fellow countrymen. The two sides should take a positive attitude toward the future, and strive to create favorable conditions to gradually resolve, through consultation on an equal footing, both issues inherited from the past and new ones that emerge in the development of cross-Strait relations. The two sides may discuss political relations in the special situation that China is not yet reunified in a pragmatic manner. The two sides can hold contacts and exchanges on military issues at an appropriate time and talk about a military security mechanism of mutual trust, in a bid to act together to adopt measures to further stabilize cross-Strait relations and ease concerns regarding military security. The two sides should hold consultations on the basis of upholding the one-China principle to formally end hostilities and reach a peace agreement.

The goals and tasks of China's national defense in the new era are defined as follows:

-- Safeguarding national sovereignty, security and interests of national development. China's national defense is tasked to guard against and resist aggression, defend the security of China's lands, inland waters, territorial waters and airspace, safeguard its maritime rights and interests, and maintain its security interests in space, electromagnetic space and cyber space. It is also tasked to oppose and contain the separatist forces for "Taiwan independence," crack down on separatist forces for "East Turkistan independence" and "Tibet independence," and defend national sovereignty and territorial integrity. National defense is both subordinate to and in service of the country's development and security strategies. It safeguards this important period of strategic opportunities for national development. China implements the military strategy of active defense of the new era, adheres to the principles of independence and self-defense by the whole nation, strengthens the construction of its armed forces and that of its border, territorial sea and territorial air defenses, and enhances national strategic capabilities. China consistently upholds the policy of no first use of nuclear weapons, adheres to a self-defensive nuclear strategy, and will never enter into a nuclear arms race with any other country.

-- Maintaining social harmony and stability. The Chinese armed forces loyally follow the tenet of serving the people wholeheartedly, actively participate in and support national economic and social development, and safeguard national security and social stability in accordance with the law. Exercising to the full their advantageous conditions in human resources, equipment, technology and infrastructure, the armed forces contribute to the building of civilian infrastructure and other engineering construction projects, to poverty-alleviation initiatives, to improvements in people's livelihood, and to ecological and environmental conservation. They organize preparations for military operations other than war (MOOTW) in a scientific way, work out pre-designed strategic programs against non-traditional security threats, reinforce the building of specialized forces for emergency response, and enhance capabilities in counter-terrorism and stability maintenance, emergency rescue, and the protection of security. They resolutely undertake urgent, difficult, dangerous, and arduous tasks of emergency rescue and disaster relief, thereby securing lives and property of the people. Taking the maintenance of overall social stability as a critical task, the armed forces resolutely subdue all subversive and sabotage activities by hostile forces, as well as violent and terrorist activities. The Chinese armed forces carry on the glorious tradition of supporting the government and cherishing the people, strictly abide by state policies, laws and regulations and consolidate the unity between the military and the government and between the military and the people.

-- Accelerating the modernization of national defense and the armed forces. Bearing in mind the primary goal of accomplishing mechanization and attaining major progress in informationization by 2020, the People's Liberation Army (PLA) perseveres with mechanization as the foundation and informationization as the driving force, making extensive use of its achievements in information technology, and stepping up the composite and integrated development of mechanization and informationization. The PLA has expanded and made profound preparations for military struggle, which serve as both pull and impetus to the overall development of modernization. It intensifies theoretical studies on joint operations under conditions of informationization, advances the development of high-tech weaponry and equipment, develops new types of combat forces, strives to establish joint operation systems in conditions of informationization, accelerates the transition from military training under conditions of mechanization to military training in conditions of informationization, presses ahead with implementation of the strategic project for talented people, invests greater efforts in building a modern logistics capability, and enhances its capabilities in accomplishing diversified military tasks in order to win local wars under the conditions of informationization, so as to accomplish its historical missions at the new stage in the new century. The state takes economic development and national defense building into simultaneous consideration, adopts a mode of integrated civilian-military development. It endeavors to establish and improve systems of weaponry and equipment research and manufacturing, military personnel training, and logistical support, that integrate military with civilian purposes and combine military efforts with civilian support. China vigorously and steadily advances reform of national defense and the armed forces, strengthens strategic planning and management, and endeavors to promote the scientific development of the national defense and armed forces.

-- Maintaining world peace and stability. China consistently upholds the new security concepts of mutual trust, mutual benefit, equality and coordination, advocates the settlement of international disputes and regional flashpoint issues through peaceful means, opposes resort to the use or threat to use of force at will, opposes acts of aggression and expansion, and opposes hegemony and power politics in any form. China conducts military exchanges with other countries following the Five Principles of Peaceful Coexistence, develops cooperative military relations that are non-aligned, non-confrontational and not directed against any third party, and promotes the establishment of just and effective collective security mechanisms and military confidence-building mechanisms. China adheres to the concepts of openness, pragmatism and cooperation, expands its participation in international security cooperation, strengthens strategic coordination and consultation with major powers and neighboring countries, enhances military exchanges and cooperation with developing countries, and takes part in UN peace-keeping operations, maritime escort, international counter-terrorism cooperation, and disaster relief operations. In line with the principles of being just, reasonable, comprehensive and balanced, China stands for effective disarmament and arms control, and endeavors to maintain global strategic stability.

III. Modernization of the People's Liberation Army

Over the 60 years and more since its founding, the PLA has made great achievements in its modernization. It has grown from a single service into a strong military force featuring a range of services and arms, and is now beginning to make progress towards informationization. In recent years, the PLA has enhanced its comprehensive development in accordance with the principle of integrating revolutionization, modernization and regularization, and continuously accelerated revolution in military affairs with Chinese characteristics.

History of the PLA's Modernization

Following the founding of the New China in 1949, the PLA set a general guideline and objective of building outstanding, modernized and revolutionary armed forces. It built the Navy, the Air Force and other technical arms, and developed mechanized weaponry and equipment, as well as nuclear weapons for the purpose of self-defense. It established regularized military rules, formed a system of institutional education, and strengthened ideological and political work. It carried out a series of reforms in military command, organization and structure, training, and regulations. The PLA began to develop from a primary to an advanced level in mastering modern military science and technologies.

Under the new historical conditions of reform and opening-up, the PLA embarked on a road of building a streamlined military with Chinese characteristics. As its guiding principle for military build-up underwent a strategic shift from preparations for imminent wars to peacetime construction, the PLA advanced its modernization step by step in a well-planned way under the precondition that such efforts should be both subordinate to and in the service of the country's overall development. The PLA underwent significant adjustment and reform in accordance with the principles of making itself streamlined, combined and efficient, downsized in scale, upgraded in quality, and boosted its capability of self-defense in modern conditions of warfare.

Adapting itself to new trends in world military development, the PLA, by following the general requirements of being qualified politically and competent militarily, and having a superior modus operandi, strict discipline, and reliable logistics support, strengthened its overall development, regarded revolution in military affairs with Chinese characteristics as the only way to modernize the military. By adopting a strategy of strengthening the military by means of science and technology, the PLA gradually shifted its focus from quantity and scale to quality and efficiency, from a manpower-intensive to a technology-intensive model. It laid down a three-step development strategy and adopted a step-change approach which takes mechanization as the foundation and informationization as the focus. It took preparations for military struggle as the driving force for its modernization, and enhanced its capability in defensive operations in conditions of informationization.

To meet the new and changing needs of national security, the PLA tries to accentuate modernization from a higher platform. It strengthens the building of a new type of combat capability to win local wars in conditions of informationization, strengthens the composite development of mechanization and informationization with the latter as the leading factor, focuses informationization on raising its fighting capabilities based on information systems, and enhances the capabilities in fire power, mobility, protection, support and informationization.

Building of the Army, Navy, Air Force, and Second Artillery Force

In line with the strategic requirements of mobile operations and tri-dimensional offense and defense, the PLA Army (PLAA) has invested additional efforts in reform, innovation and development, and advanced the overall transformation of the service. The PLAA has emphasized the development of new types of combat forces, optimized its organization and structure, strengthened military training in conditions of informationization, accelerated the digitized upgrading and retrofitting of main battle weaponry, organically deployed new types of weapon platforms, and significantly boosted its capabilities in long-distance maneuvers and integrated assaults. The PLAA mobile operational units include 18 combined corps, plus additional independent combined operational divisions (brigades). The combined corps, consisting of divisions and brigades, are respectively under the seven military area commands of Shenyang, Beijing, Lanzhou, Jinan, Nanjing, Guangzhou and Chengdu.

The PLAA has made great progress in strengthening its arms. The armored component has strengthened the development of digitized units, accelerated the mechanization of motorized units, and improved its combat system, which combines heavy, light, amphibious and air-borne assault forces. The artillery component has been working on new types of weapons, equipment, and ammunition with higher levels of informationization, forming an operational and tactical in-depth strike system, and developing the capacity to carry out precision operations with integrated reconnaissance, control, strike and assessment capabilities. The air defense component has stepped up the development of new types of radar, command information systems, and medium- and high-altitude ground-to-air missiles. It has formed a new interception system consisting of anti-aircraft artillery and missiles, and possesses enhanced capabilities of medium- and low-altitude air and missile defense operations. The PLAA aviation wing has worked to move from being a support force to being a main-battle assault force, further optimized its combat force structure, and conducted modularized grouping according to different tasks. It has upgraded armed helicopters, transport and service helicopters, and significantly improved its capabilities in air strike, force projection, and support. The engineering component has accelerated its transformation into a new model of integrated and multi-functional support force which is rapid in response and can be used both in peacetime and in war. It has also strengthened its special capabilities in emergency rescue and disaster relief. In this way, capabilities in integral combat support and military operations other than MOOTW missions have been further enhanced. The chemical defense component has worked to develop an integrated force for nuclear, biological and chemical defense which operates both in peacetime and in war, combines civilian and military efforts, and integrates systems from various arms and services. It has developed enhanced permanent, multi-dimensional and multi-terrain defense capabilities against nuclear, biological and chemical threats.

In line with the requirements of offshore defense strategy, the PLA Navy (PLAN) endeavors to accelerate the modernization of its integrated combat forces, enhances its capabilities in strategic deterrence and counterattack, and develops its capabilities in conducting operations in distant waters and in countering non-traditional security threats. It seeks to further improve its combat capabilities through regularized and systematic basic training and actual combat training in complex electromagnetic environments. By organizing naval vessels for drills in distant waters, it develops training models for MOOTW missions. New types of submarines, frigates, aircraft and large support vessels have been deployed as planned. The PLAN enhances the construction of composite support bases so as to build a shore-based support system which matches the deployment of forces and the development of weaponry and equipment. The Navy has accelerated the building of surface logistical platforms by deploying ambulance boats and helicopters, and a standard 10,000 DWT hospital ship, and is working to further improve its surface support capabilities. The Navy explores new methods of logistics support for sustaining long-time maritime missions. There are three fleets under the Navy, namely, the Beihai Fleet, the Donghai Fleet and the Nanhai Fleet, each of which has under its command fleet aviation, support bases, flotillas, maritime garrison commands, aviation divisions and marine brigades.

To satisfy the strategic requirements of conducting both offensive and defensive operations, the modernization and transformation of the PLA Air Force (PLAAF) follows a carefully-structured plan. It strengthens and improves the PLAAF development and personnel development strategies, and enhances its research into the operation and transformation of air forces in conditions of informationization. The PLAAF is working to ensure the development of a combat force structure that focuses on air strikes, air and missile defense, and strategic projection, to improve its leadership and command system and build up an informationized, networked base support system. It conducts training on confrontation between systems in complex electromagnetic environments, and carries out maneuvers, drills and operational assembly training in different tactical contexts. The PLAAF strengthens routine combat readiness of air defenses, taking the defense of the capital as the center and the defense of coastal and border areas as the key. It has carried out MOOTWs, such as air security for major national events, emergency rescue and disaster relief, international rescue, and emergency airlift. It has gradually deployed airborne early warning and control aircraft, third-generation combat aircraft, and other advanced weaponry and equipment. The PLAAF has under it an air command in each of the seven military area commands of Shenyang, Beijing, Lanzhou, Jinan, Nanjing, Guangzhou and Chengdu. It also has under its command an airborne corps. Under each air command at military area level are aviation divisions, ground-to-air missile divisions (brigades and regiments), anti-aircraft artillery brigades (regiments), radar brigades (regiments), electronic countermeasures (ECM) regiments (battalions), and other units. An aviation division has under its command aviation regiments and related stations.

Following the principle of building a lean and effective force, the PLA Second Artillery Force (PLASAF) strives to push forward its modernization and improves its capabilities in rapid reaction, penetration, precision strike, damage infliction, protection, and survivability, while steadily enhancing its capabilities in strategic deterrence and defensive operations. It continues to develop a military training system unique with the strategic missile force, improve the conditions of on-base, simulated and networked training, conduct trans-regional maneuvers and training with opposing forces in complex electromagnetic environments. It has set up laboratories for key disciplines, specialties and basic education, and successfully developed systems for automatic missile testing, operational and tactical command and control, strategic missile simulation training, and the support system for the survival of combatants in operational positions. It has worked to strengthen its safety systems, strictly implement safety regulations, and ensure the safety of missile weaponry and equipment, operational positions and other key elements. It has continued to maintain good safety records in nuclear weapon management. Through the years, the PLASAF has grown into a strategic force equipped with both nuclear and conventional missiles.

Accelerating Informationization

In line with its strategic objective of building informationized armed forces and winning informationized wars, and with overall planning and phased implementation, the PLA is trying to break through major bottlenecks which hinder the building and improvement of combat effectiveness of systems. The fighting capabilities of the armed forces in conditions of informationization have been significantly raised.

A step-change development has been achieved in information infrastructure. The total length of the national defense optical fiber communication network has increased by a large margin, forming a new generation information transmission network with optical fiber communication as the mainstay and satellite and short-wave communications as assistance.

Significant progress has been made in building information systems for reconnaissance and intelligence, command and control, and battlefield environment awareness. Information systems have been widely applied in logistics and equipment support. A preliminary level has been achieved in interoperability among command and control systems, combat forces, and support systems, making order transmission, intelligence distribution, command and guidance more efficient and rapid.

Strategic planning, leadership and management of informationization have been strengthened, and relevant laws, regulations, standards, policies and systems further improved. A range of measures, such as assembly training and long-distance education, have been taken to disseminate knowledge on information and skills in applying it. Notable achievements have been made in the training of commanding officers for joint operations, management personnel for informationization, personnel specialized in information technology, and personnel for the operation and maintenance of new equipment. The complement of new-mode and high-caliber military personnel who can meet the needs of informationization has been steadily enlarged.

Building Joint Operation Systems

The PLA takes the building of joint operation systems as the focal point of its modernization and preparations for military struggle, and strives to enhance its fighting capabilities based on information systems.

Intensifying research into operational theories. A new generation of doctrines on command in joint campaigns and operations, and other relevant supporting doctrines have been issued and implemented, and a series of theoretical works and training textbooks on joint campaigns have been compiled, which have formed the basic theoretical framework for joint operations and a methodological system for joint campaign training.

Strengthening the building of combat forces. Catering to the needs of the military's informationization, the PLA reforms and improves its leadership and command systems, adjusts and optimizes the organization and structure of combat forces, deploys new types of combat and support forces, gives priority to the building of land, maritime and air task formations, speeds up the transformation of various arms and services, and raises the level of modularized grouping and combined employment, so as to form a system of streamlined, joint, multi-functional and efficient system of combat forces.

Improving operational command systems. To ensure an authoritative, lean, agile and efficient operational capability, the PLA speeds up the building of a joint operational command system, which features sound structure and organization, applicability in both peacetime and war, tri-service integration, optimized mechanisms, smoothness in operation and high efficiency.

Enhancing integrated support capabilities. Following the principle of providing systematic, precise and intensive support, the PLA strengthens the construction of composite combat and support bases, optimizes battlefield support layout, and improves position facilities for the following services: command and control, reconnaissance and intelligence, communication, surveying and mapping, navigation, meteorological and hydrological support as well as rear storage facilities, military communication and equipment maintenance facilities, thus forming an initial battlefield support capability that matches the development of weaponry and equipment and satisfies the needs of combat units in offensive and defensive operations. The PLA has improved joint support mechanisms, enhanced IT-based integrated support, and established a basic integrated support system linking strategic, operational and tactical levels.

Promoting Transition in Military Training

The PLA upholds that military training is the basic means to generate and raise combat effectiveness, and is working to reform training in all respects, and accelerate the transition from training in conditions of mechanization to training in conditions of informationization.

Reforming training tasks. In accordance with the new edition of the Outline for Military Training and Evaluation, the PLA intensifies training of command organs, training in operating command information systems and informationized weaponry and equipment, and information skills. It enhances training to fulfill its missions, strengthens research and training in maintaining maritime, space and electromagnetic space security, and carries out MOOTW training. It studies the technical and tactical performance of electronic countermeasures (ECM) equipment, intensifies anti-jamming (AJ) and ECM training, and organizes operational training exercises in complex electromagnetic environments.

Innovating training methodologies. With a top-down approach to training, the PLA organizes campaign-level training within the framework of strategic-level training, service campaign-level training in accordance with the joint campaign-level training, and unit training within the framework of campaign-level command post training, in an effort to merge training at different levels into an organic whole. Based on and supported by command information systems, the PLA organizes combined training of different combat components, assembly training of various combat elements, and joint training of all systems and all components. It intensifies joint training of task formations and confrontational training, and places emphasis on training in complex electromagnetic environments, unfamiliar terrain, and complex weather conditions. The PLA holds trans-regional exercises for organic divisions (brigades) led by campaign-level command organs, raises training evaluation standards, and organizes training based on the needs, formations and procedures of actual combat.

Improving military training means. The PLA speeds up the construction of large-scale integrated training bases which meet the requirements raised by joint training, as well as IT-based upgrading of combined tactical training bases, with the priority being given to the construction of complex electromagnetic environments. The PLA strives to develop simulation training devices and systems, and improve training information network.

Reforming training management. The PLA is working to optimize its leadership and management system, update regulations, and implement a system of accountability for training. It reforms its training evaluation system, formulates detailed criteria for individual and unit performance, enhances quantitative analysis and evaluation, and enforces meticulous management of the whole process and all aspects of military training.

Innovating Political Work

In a spirit of innovation, the PLA strives to push forward its political work so as to make it adapt to new situations and achieve new development. The newly revised Regulations on the Political Work of the Chinese People's Liberation Army, promulgated in August 2010, expressly stipulates that the political work of the PLA must guarantee - politically, ideologically and organizationally - the nature of the people's army under the absolute leadership of the Party, the scientific development of the national defense and armed forces, and the performance of the PLA's historical missions at this new stage in the new century.

Closely in line with the times, the tasks and missions, and the characteristics of its officers and men, the PLA is working to improve and innovate its political work to achieve a more scientific approach. Through education in ideology, guidance of opinion, and cultural edification, the core values of the contemporary revolutionary serviceman of "loyalty to the Party, love of the people, service to the country, dedication to the mission, and belief in honor" have been fostered. In order to keep its political work effective and focused, the PLA also strives to study new conditions regarding the building of armed forces and changes to the state of mind of officers and men brought about by the new situations. The PLA has built a PLA-wide political network connecting all units and educational institutions, issued digitalized movie players to all border and coastal defense units, so as to realize networked education and real-time information transmission.

Opinions on Strengthening Political Work in MOOTW, promulgated in March 2009, stipulates that the PLA should have a good understanding and mastery of the characteristics and laws of political work in MOOTWs, keep in line with tasks and realities, and explore new areas and functions of the supporting role of political work. Opinions on Improving Psychological Services in the Armed Forces under the New Situation, promulgated in October 2009, requires the provision of psychological health services, such as psychological evaluation, psychological training and psychological crisis intervention. It also rules that within five years there must be at least one professional psychotherapist for each brigade- (regiment-) level unit, and three or more specially trained psychological assistants for each company-level unit.

Implementing the Strategic Project for Talented Individuals

The PLA is further implementing the strategic project for talents in an effort to increase its complement of new-type and high-caliber military personnel. It further promotes the cultivation of a contingent of commanding officers, staff officers, scientists, technical experts and non-commissioned officers (NCOs) by taking the improvement of ideological and political qualities as the foundation, the transformation of capabilities as the main theme, the cultivation of joint operation commanders, informationization professionals, IT specialists, and experts in operating and maintaining new types of equipment as focus.

The PLA is continuing to adjust and reform its management system for military officers. Issued in January 2009, the Regulations on Work Procedures for the Selection and Appointment of Military Cadres (Trial) requires that democracy be promoted, procedures regulated, supervision tightened, and rationality, accuracy, fairness and credibility raised in the selection and appointment of military cadres. The PLA has issued implementation measures and general standards for the evaluation of staff officers and specialized technical officers, and formulated an overall plan for the adjustment and reform of management systems for specialized technical personnel.

The PLA is laying stress on the training of commanding officers for joint operations and high-level experts in technological innovation. It has published basic readers and held lectures on joint operations through all its arms and services. While giving attention to selecting, commending and rewarding outstanding commanding and staff officers, it has placed particular emphasis on training and promoting excellent staff officers, and company- and battalion-level officers of great potential. To cultivate commanding officers for joint operations, the PLA has also reformed the model for training graduates for its Masters Degree in Military Science. Following the promulgation of Implementation Measures for Military High-Level Personnel Project in Scientific and Technological Innovation, every two years the PLA selects 200 leading scientists and high-performing talents from different disciplines for special training in order to improve their innovation aptitude in science and technology.

The PLA is working to reform its NCO selection and training system. It has increased the number of positions for high-tech specialized NCOs, implemented a pre-assignment accreditation system for evaluating the skills of specialized technical NCOs, developed an expert assessment system for selecting senior NCOs, and further improved its NCO training and management system.

Multilateral Approach to Building a Modern Logistics System

In order to enhance its logistical support capabilities for diversified military tasks, the PLA is working on a multilateral approach to building a modern logistics system by speeding up the process of integrating systems, outsourcing services, informationizing processes, and managing its logistical support systems in a more scientific way.

The PLA is strengthening logistics reforms. It improves the mechanism of the joint logistics system first adopted by the Jinan Military Area Command mainly by readjusting functions, rationalizing internal relations, optimizing structures, and raising cost-effectiveness. It continues the process of outsourcing daily maintenance services, and takes steps to outsource other services, such as general-purpose materials storage and integrated civilian-military equipment maintenance. Moreover, the PLA endeavors to upgrade and retrofit existing logistics equipment, assess the development of new-generation equipment, and undertake pilot research on key technologies. It promotes the serviceman support card system, and develops the military logistics information system which focuses on the dynamic supervision of strategic logistical warehouses and packing of strategic materials in storage and military transportation. It reviews and simplifies logistics rules and regulations, and improves the system of logistical support standards and regulations covering supply, consumption, and management. The PLA enhances auditing and supervision of major construction and reform projects, and pushes forward reforms of such policies and systems as financial management, material procurement, medical care, housing, and insurance.

The PLA meticulously organizes and provides logistical support for key events. Examples are the National Day Parade in celebration of the 60th anniversary of the founding of the People' s Republic of China, escort operations in the Gulf of Aden and waters off Somalia, joint exercises with foreign military forces, security work for the Shanghai World Expo, and emergency rescue operations both at home and abroad. It also provides strong and reliable logistical support for those troops who take part in rescue and relief operations following disasters, such as the Yushu earthquake and the Zhouqu mud-rock slide.

The PLA is working to improve supply to and support for its units. It has adjusted the standards of overhead expenses, regional subsidies, grass-roots post allowances and professional post allowances; adopted new standards of military rations and housing; expanded the catalogue of medicines used in military medical care; implemented rest and recuperation (R&R) plans for officers and men; and provided better mental health services. It has fulfilled its three-year plan for integrated improvement of grass-roots logistics systems, so as to provide an effective solution to acute and complex problems in the supply of water, heating, and staple and non-staple food for brigade- and regiment-level units, for border and coastal defense units, for small, scattered, and distant units, and for units directly under the headquarters. By the end of 2009, replacement of old uniforms with the 07 series had been completed for all PLA troops.

Accelerating the Development of New and High-Tech Weaponry and Equipment

The PLA is gaining momentum in developing new and high-tech weaponry and equipment, strengthening the retrofitting and management of existing equipment, and promoting the composite development of mechanized and informationized weaponry and equipment.

The PLA is working to improve the quality and optimize the composition of its weaponry and equipment. It has formed a system with second-generation equipment as the main body and third generation as the backbone. The PLAA has developed for its land operations a weaponry system with helicopters, armored assault vehicles, and anti-air and suppression weapons as the spine. The PLAN has built for its maritime operations a weaponry system with new types of submarines, surface vessels and surface attack aircraft as the spine. The PLAAF has formed for its air control operations a weaponry system with new types of combat aircraft and ground-to-air missile systems as the spine. The PLASAF has set up a ground-to-ground weaponry system with its medium- and long-range missiles as the spine.

The PLA is working to improve its capabilities in managing, maintaining and supporting equipment. It widely applies modern management techniques and enhances standardized and meticulous management of equipment. Educational institutions, research institutes and manufacturers are encouraged to recruit and train more experts in new equipment. The PLA works in coordination with R&D institutes and defense industry manufacturers to enhance its maintenance and support for high-tech equipment, and develops an integrated civilian-military maintenance and support system. The PLA has developed comprehensive capabilities in equipment maintenance which cover multi-functional testing, mobile rescue and rush repair, and long-distance technical support. Recent emergency rescue and disaster relief operations, counter-terrorism exercises, and fully equipped training and maneuvers have testified the achievements of the development and management of weaponry and equipment, demonstrating a notable improvement in the PLA' s capabilities of equipment support in long-distance and trans-regional maneuvers, escort operations in distant waters, and complex battlefield environments.

The PLA is planning its future development of weaponry and equipment. By understanding and scientifically mastering the features and rules of information technology as being compatible, systematic, integrated, and holistic, the PLA seeks to promote the organic compatibility and composite development of weapon platforms and integrated electro-info systems. With the use of advanced and mature technologies and devices, the PLA is working, selectively and with priorities, to retrofit its existing weaponry and equipment to upgrade its comprehensive performance in a systematic, organic and integrated way, so as to increase the cost-effectiveness of developing weaponry and equipment.

IV. Deployment of the Armed Forces

Adapting to changes both in times and security environment, the Chinese armed forces take an active role in dealing with various security threats, safeguard national security and development interests, and play an important role in maintaining world peace and promoting common development.

Safeguarding Border, Coastal and Territorial Air Security

China practices an administration system of sharing responsibilities between the military and the local authorities in border and coastal defense. The armed forces are mainly tasked to safeguard the border, coastal and maritime security, and guard against, stop and subdue such activities as foreign intrusions, encroachments, provocations and cross-border sabotage. The main responsibilities of the border public security force are as follows: border, coastal and maritime public security administration, entry-exit frontier inspection at ports; prevention and crackdown on illegal and criminal acts in border and coastal areas, such as illegal border crossing, drug trafficking and smuggling; and organization of and participation in counter-terrorist and emergency-management operations in border and coastal areas. Organs of maritime surveillance, fisheries administration, marine affairs, inspection and quarantine, and customs are responsible for ensuring legitimate rights, law enforcement, and administration. The State Commission of Border and Coastal Defense, under the dual leadership of the State Council and the Central Military Commission (CMC), coordinates China's border and coastal defenses. All military area commands, as well as border and coastal provinces, cities and counties, have commissions to coordinate border and coastal defenses within their respective jurisdictions.

In recent years, in line with the policy of consolidating border defense, cultivating good neighborliness and friendship, maintaining stability and promoting development, the PLA frontier and coastal guards abide by relevant laws and regulations of China as well as any treaties and agreements with neighboring countries, well perform border defense duties, maintain a rigorous guard against any invasion, encroachment or cross-border sabotage, timely prevent any violation of border and coastal policies, laws and regulations and changes to the current borderlines, and effectively safeguard the security and stability of the borders, coastal areas and maritime waters within their jurisdictions. The border public security force makes solid progress in border defense and control, counter-terrorism, and maintenance of stability. It has strengthened efforts in port inspection, maritime management and control, and clampdown on crimes, including illegal border crossing, drug-trafficking and smuggling. Since 2009, it has solved 37,000 cases and confiscated 3,845 illegal guns.

China has always treated combined military, police and civilian efforts as a strong guarantee for consolidating border and coastal defenses and developing border and coastal areas. In recent years, China has steadily improved a border and coastal defense force system featuring the PLA as the mainstay, the coordination and cooperation of other relevant forces, and the extensive participation of the militia, the reserve forces and the people in the border and coastal areas. It has advanced the informationization of border and coastal defenses, taking the command system as the focus and information infrastructure as the support, and strengthened efforts in building border and coastal defense infrastructure. This has enhanced border and maritime control capabilities and promoted the economic construction and social stability in the border and coastal areas.

Territorial air security is an important constituent of overall national security. The PLAAF is the mainstay of national territorial air defense, and in accordance with the instructions of the CMC, the Army, Navy, and People's Armed Police Force (PAPF) all undertake some territorial air defense responsibilities. The PLAAF exercises unified command over all air defense components in accordance with the CMC's intent. China's territorial air defense system stands on permanent alert. It keeps track of any developments in the air, preserves air traffic order, organizes combat air patrols, handles air emergencies, and resolutely defends China's sovereignty over its territorial air and its air security.

Maintaining Social Stability

In accordance with relevant laws and regulations, and mainly under the unified leadership of local Party committees and governments, the armed forces of China assist the public security forces in maintaining social order and ensure that the people live and work in peace and stability.

The PAPF is the state's backbone and shock force in handling public emergencies. Since 2009, it has handled 24 acts of serious violence and crime, including hostage taking, participated in 201 operations of hunting down criminal suspects, and fulfilled the task of security provision during the celebrations of the 60th anniversary of the founding of the People's Republic of China, the Shanghai World Expo, and the Guangzhou Asian Games.

In November 2010, the CMC approved and promulgated Regulations on Emergency Command in Handling Emergencies by the Armed Forces, which specifies for the armed forces regulations concerning their organization, command, force deployment, integrated support, and civil-military coordination while carrying out missions to maintain social stability and handle emergencies.

Participating in National Construction, Emergency Rescue and Disaster Relief

As stipulated by the Constitution and laws, an important task for the armed forces is to take part in national construction, emergency rescue, and disaster relief.

The PLA and PAPF have actively participated in and supported national construction work, of which a key component is the large-scale development of the western region. In the past two years, they have contributed more than 16 million workdays and utilized 1.3 million motor vehicles and machines, and participated in construction of more than 600 major infrastructure projects relating to transportation, hydropower, communications and energy. They have set up more than 3,500 contact points for rural poverty alleviation, and provided assistance to over 8,000 small public initiatives, such as water-saving irrigation projects, drinking water projects for both people and livestock, road construction projects, and hydropower projects. The armed forces stationed in the western region have planted 11 million trees and afforested 3.2 million mu of barren hills and desert land by large-scale forestation and aerial planting. PLA medical and health units have provided assistance to 130 county-level hospitals in poverty-stricken western areas, sent there 351 medical teams and donated 110 sets (items) of instruments and equipment. With donations, the armed forces have financed and built eight schools and one rehabilitation center in earthquake-stricken areas in Sichuan, Shaanxi and Gansu provinces.

The armed forces of China act as the shock force in emergency rescue and disaster relief. In January 2009, with the armed forces as the mainstay, China formed eight state-level emergency-response professional units, boasting a total of 50,000 personnel, specializing in flood control and emergency rescue, earthquake rescue, nuclear, biological and chemical emergency rescue, urgent air transportation, rapid road repair, maritime emergency search and rescue, emergency mobile communication support, and medical aid and epidemic prevention. In July 2009, China integrated the 31,000-strong PAPF protecting water and electricity supplies and communications into the national emergency rescue system. Provincial level units specializing in emergency rescue have been formed with the joint participation of military area commands and relevant provinces, autonomous regions, or municipalities directly under the central government.

In the past two years, the PLA and PAPF have engaged a total of 1.845 million troop deployments and 790,000 deployments of vehicles or machines of various types, flown over 181 sorties (including the use of helicopters), organized 6.43 million militiamen and reservists, participated in disaster relief operations in cases of floods, earthquakes, droughts, typhoons and forest fires, rescued or evacuated a total of 1.742 million people, rush-transported 303,000 tons of goods, dredged 3,742 km of waterways, dug 4,443 wells, fortified 728 km of dikes and dams, and delivered 504,000 tons of domestic water.

Participating in UN Peacekeeping Operations

As a responsible major power, China has consistently supported and actively participated in the UN peacekeeping operations, making a positive contribution to world peace.

In 1990, the PLA sent five military observers to the UN Truce Supervision Organization (UNTSO) - the first time China had taken part in UN peacekeeping operations. In 1992, it dispatched an engineering corps of 400 officers and men to the UN Transitional Authority in Cambodia (UNTAC) - the first time China had sent an organic unit on peacekeeping missions. It established the Peacekeeping Affairs Office of the Ministry of National Defense of the People's Republic of China in 2001. In 2002, it joined the UN Stand-by Arrangement System. In 2009, it established the Peacekeeping Center of the Ministry of National Defense of the People's Republic of China. As of December 2010, China has dispatched 17,390 military personnel to 19 UN peace-keeping missions. Nine officers and men have lost their lives on duty.

Tough, brave and devoted, the Chinese peacekeeping troops have fulfilled various tasks entrusted to them by the UN in a responsible and professional way. They have built and repaired over 8,700 km of roads and 270 bridges, cleared over 8,900 mines and various explosive devices, transported over 600,000 tons of cargo across a total distance of 9.3 million km, and treated 79,000 patients.

As of December 2010, the PLA had 1,955 officers and men serving in nine UN mission areas. China has dispatched more peacekeeping personnel than any other permanent member of the UN Security Council. Among these are 94 military observers and staff officers; 175 engineering troops and 43 medical personnel for the United Nations Organization Mission in the Democratic Republic of the Congo (UNMONUC); 275 engineering troops, 240 transportation troops and 43 medical personnel for the United Nations Mission in Liberia (UNMIL); 275 engineering troops and 60 medical personnel for the United Nations Interim Force in Lebanon (UNIFIL); 275 engineering troops, 100 transportation troops and 60 medical personnel for the United Nations Mission in Sudan (UNMIS); and 315 engineering troops for the African Union/United Nations Hybrid Operation in Darfur (UNAMID).

Conducting Escort Operations in the Gulf of Aden and Waters off Somalia

In line with relevant UN resolutions, China dispatched naval ships to conduct escort operations in the Gulf of Aden and waters off Somalia on December 26, 2008. They are mainly charged with safeguarding the security of Chinese ships and personnel passing through the Gulf of Aden and Somali waters, and the security of ships delivering humanitarian supplies for the World Food Program and other international organizations, and shelter pass-by foreign vessels as much as possible. As of December 2010, the Chinese Navy has dispatched, in seven sorties, 18 ship deployments, 16 helicopters, and 490 Special Operation Force (SOF) soldiers on escort missions. Through accompanying escort, area patrol, and onboard escort, the Chinese Navy has provided protection for 3,139 ships sailing under Chinese and foreign flags, rescued 29 ships from pirate attacks, and recovered nine ships released from captivity.

China takes a proactive and open attitude toward international escort cooperation. Chinese escort fleets have established mechanisms for regular intelligence exchange and sharing with relevant countries and organizations. It has exchanged 24 boarding visits of commanders with fleets from the EU, the multinational naval force, NATO, Russia, the ROK, the Netherlands and Japan. It has conducted joint escort operations with Russian fleets and joint maritime exercises with ROK escort ships, and exchanged officers for onboard observations with Dutch fleets. China has joined international regimes such as the UN liaison groups' meeting on Somali pirates, and the international conference on "intelligence sharing and conflict prevention" escort cooperation.

Holding Joint Military Exercises and Training with Other Countries

In adherence to the principles of being non-aligned, non- confrontational, and not directed against any third party, the PLA has held joint exercises and training with other countries pursuant to the guidelines of mutual benefit, equality and reciprocity. As of December 2010, the PLA has held 44 joint military and training exercises with foreign troops. This is conducive to promoting mutual trust and cooperation, drawing on useful lessons, and accelerating the PLA's modernization.

Joint counter-terrorism military exercises within the SCO framework are being institutionalized. In 2002, China ran a joint counter-terrorism military exercise with Kyrgyzstan, the first ever with a foreign country. In 2003, China ran a multilateral joint counter-terrorism military exercise with other SCO members, again the first ever with foreign countries. In 2006, China and Tajikistan ran a joint counter-terrorism military exercise. China and Russia as well as other SCO members ran a series of "Peace Mission" joint counter-terrorism military exercises in 2005, 2007, 2009 and 2010.

Maritime joint exercises have been held on a regular basis. In 2003, China ran a joint maritime search-and-rescue exercise with Pakistan, the first ever between China and a foreign country. During mutual port calls and other activities, the PLAN has run bilateral or multilateral joint maritime exercises with the navies of India, France, the UK, Australia, Thailand, the US, Russia, Japan, New Zealand and Vietnam, focusing on tasks such as search-and-rescue, communication, formation sailing, diving, and escorting. In 2007 and 2009, the PLAN participated in multilateral joint maritime exercises organized by the Pakistani navy. In 2007, the PLAN took part in the joint maritime exercise held in Singaporean waters within the framework of the Western Pacific Naval Symposium. In 2010, China held a joint marine training with Thailand, the first ever between China and a foreign country.

Extensive joint military training on land has been carried out. China held a joint army training with Thailand in 2007, the first ever with a foreign country. In recent years, China has conducted joint military training with many countries, including Pakistan, India, Singapore, Mongolia, Romania and Thailand, focusing on tasks such as counter-terrorism, security and safeguarding, peacekeeping, and mountain and amphibious operations, all directed towards exploring new models of mixed grouping and joint training. In 2009, for the first time, China sent a medical detachment to Africa to hold a joint operation with Gabon, to conduct medical training and rescue exercises, and to provide medical assistance for local residents. In 2010, China sent a medical team to Peru for joint training on humanitarian medical aid and emergency medical rescue, in an effort to improve its capabilities in responding to humanitarian emergencies.

Participating in International Disaster Relief Operations

China's armed forces consider it an obligation to take part in international disaster relief operations organized by the government, and to fulfill international humanitarian obligations. In recent years, they have actively assisted relevant departments of the Chinese government to provide relief materials to disaster-stricken countries and to contribute specialized teams to international disaster relief operations.

Since the PLA provided relief supplies to Afghanistan in 2002, it has carried out 28 urgent international humanitarian aid missions, and provided 22 disaster-stricken countries with relief materials including tents, blankets, medicine, medical appliances, food and generators. The total value exceeds RMB950 million. In 2001, the Chinese International Search and Rescue (CISAR) team, consisting of officers and men from an engineer regiment of the Beijing Military Area Command, medical care personnel from the PAPF General Hospital, and experts from the China Earthquake Administration, began to participate in international disaster relief operations. CISAR has since carried out eight rescue operations in disaster-stricken countries. In January 2010, the CISAR team and the PLA medical care and epidemic prevention team were sent to Haiti to conduct earthquake rescue, post-earthquake search and relief, medical work and epidemic prevention operations. They rescued and treated 6,500 sick and injured. In September 2010, the CISAR team, a PLA medical team and a helicopter rescue formation were sent to Pakistan to conduct humanitarian rescue operations, with the saving and treatment reaching 34,000 person-times in total and 60 tons of airdropped goods and materials.

The Chinese armed forces have played an active role in international exchanges and cooperation in disaster relief, engaging in close communication and coordination with relevant countries and international organizations, and promoting the perfection of procedures and the training of personnel for regional disaster relief. They have held seminars and joint operations on humanitarian rescue and disaster limitation with armed forces of the US, Australia and New Zealand, run the ASEAN Regional Forum workshop on formulating legal rules for armed forces' participation in international disaster relief operations, and attended the ASEAN Plus Three workshop on armed forces' participation in international disaster relief.

V. National Defense Mobilization and Reserve Force Building

China pursues the principles of combining peacetime needs with wartime needs, integrating military with civilian purposes and combining military efforts with civilian support. It strengthens national defense mobilization and reserve force building, enhances national defense mobilization capabilities, and reinforces its defense strength.

Organizational Structure and Leadership System of National Defense Mobilization

According to the Constitution and related laws, the Standing Committee of the National People's Congress (NPC) decides on general or partial mobilization. The president of the People's Republic of China, pursuant to the decisions of the Standing Committee of the NPC, issues mobilization orders. The State Council and the CMC work in combination to direct nationwide mobilization, formulate principles, policies and regulations, and organize the implementation of mobilization in accordance with the decisions of the Standing Committee of the NPC and mobilization orders issued by the president. When China's state sovereignty, national unification, territorial integrity or security are under imminent threat which requires an immediate action, the State Council and the CMC may take the necessary measures of national defense mobilization in response to the urgency and seriousness of the event, and at the same time report to the Standing Committee of the NPC.

Local people's governments organize and execute national defense mobilization within its administrative area in accordance with relevant principles, policies, laws and regulations. Related departments of local people's governments at and above the county level and those of the armed forces, within their respective scopes of duties, take charge of national defense mobilization work, and execute the programs and pre-arranged implementation plans.

At each level of the people's government from the county up to the state and in each military area command, there is a national defense mobilization commission. The State Commission for National Defense Mobilization, under the leadership of the State Council and the CMC, is in charge of organizing, directing and coordinating the nationwide national defense mobilization. The leaders of the State Council and the CMC take the positions of chairman and vice chairmen of the State Commission for National Defense Mobilization. Other members of the Commission include leaders of relevant ministries and commissions under the State Council, and leaders of the general headquarters/departments of the PLA. The core responsibilities of the Commission are to carry out the military strategy of active defense, organize and implement the state's defense mobilization, and coordinate relations between economic and military affairs, the armed forces and the government, and manpower and materials support in defense mobilization. Commissions for national defense mobilization of military area commands and local people's governments at and above county level are in charge of organizing, directing and coordinating national defense mobilization work within their respective jurisdictions. There are administrative offices in each commission for national defense mobilization to organize its routine work. At present, the State Commission for National Defense Mobilization has under its charge administrative offices responsible for the mobilization of the people's armed forces, national economy, civil air defense, transportation, and national defense education. The commissions in military area commands and local governments have under them corresponding offices.

In February 2010, the NPC Standing Committee passed the National Defense Mobilization Law of the People's Republic of China which specifies the peacetime preparations for and wartime implementation of national defense mobilization, stipulating the obligations and rights of each citizen and organization during mobilization and improving China's basic mobilization system.

National Defense Mobilization Capabilities Building

China's fundamental goal of strengthening defense mobilization is to establish and improve a mobilization system which is in line with national security demands, coordinated with the economic and social development and coupled with the emergency response mechanisms to increase mobilization capabilities. In recent years, following the principles of unified leadership, public participation, long-term preparations, priority to key projects, overall planning, all-round consideration, orderliness and high-efficiency, China has integrated its defense mobilization building with general social and economic development, gradually improving its capabilities in rapid mobilization, moving swiftly from a peacetime to wartime footing, and sustained support and comprehensive protection.

New progress has been made in people's armed forces mobilization. China has improved its plans for wartime troop mobilization and support, implemented pre-regimentation of reservists into active units, and strengthened the development of the reserve force. Based on possible wartime tasks and MOOTW demands, the militia force is improving its rapid mobilization process. The Law of the People's Republic of China on Reserve Officers, revised in August 2010, lays down new regulations on the authorities, procedures and methods of calling up reserve officers following a state decision to call for national defense mobilization.

Steady progress has been achieved in national economic mobilization. China has given priority to the requirements of national defense in building major infrastructure projects, and has continuously improved the compatibility of military and civilian key technologies and products. It has laid out a basic framework for generating capabilities in national economic mobilization, with key industries and major enterprises as the mainstay and important products and technologies as the links. China has made significant progress in the investigation of the potential of key areas, industries, technologies and products, further optimized the strategic reserve and storage system that meets defense requirements and economic growth, and caters to the needs of both emergencies and wars.

Progress has been accelerated in developing civil air defense (CAD). Adhering to the guidelines of long-term preparation, construction of key projects, and combination of needs in peacetime and war, China strives to do a better job in preparing against air raids in informationized conditions. There is an ongoing effort to improve the system of joint civil-military meetings and offices, optimizing the CAD organizations in local governments at and above county level and promoting the quasi-militarization of the CAD organs. Emphasis has been laid on the building of CAD command posts at all levels in accordance with the requirements of joint and regional air defense. Efforts have been made to improve CAD' s disaster prevention functions and mechanisms featuring the combination of air defense with disaster prevention. More effort has been invested in providing protection for key economic targets, selected through evaluation and research. Emergency rescue and rapid repair plans have also been formulated in this regard. These CAD projects are incorporated into urban development plans and civil defense basements are incorporated in new buildings as required by law, meeting the requirements of the CAD in urban development, and balancing urban development and the CAD projects. Provinces, autonomous regions and municipalities have carried out extensive publicity campaigns, education programs and training initiatives to disseminate understanding of air defense and disaster prevention, skills of rescue and self-rescue, and methods of emergency evacuation.

Transportation mobilization for national defense is making steady and orderly progress. China is working to integrate combat-readiness as an element in the national transportation grid, and improve capabilities in strategic lines of communication support, strategic projection support, and rush transportation and rapid repair. Priority has been given to a number of projects that combine military and civilian purposes, giving impetus to an overall improvement in transportation combat-readiness for national defense. Relevant industries have helped in forming specialized support teams in an organic and systematic way, reinforcing transportation protection and communication maintenance along strategic lines of communication. Support plans for key communication targets and combat-readiness transportation have been formulated and revised, aimed at synchronized planning and construction of both military transportation facilities and urban development.

Reserve Force Building

With active servicemen as its backbone and reserve officers and men as its foundation, the reserve force is an armed force formed in line with the unified structure and organization of the PLA. It is under the dual leadership of the PLA and local Party committees and governments. The positions of chief military and political leaders at all levels and principal department leaders, as well as a proportion of the staff members and professionals and specialists, are assumed by active servicemen. Reserve officers are chosen mainly from qualified retired servicemen, civil officials, cadres of the people's armed forces departments, cadres of the militia and civilian technicians with the appropriate military specialties. Reserve soldiers are chosen mainly from qualified discharged soldiers, trained primary militia members, and civilians with the appropriate military specialties.

In recent years, the reserve force has undergone consistent improvement in various aspects of its building and reform. It works to improve its organizational models on a regional basis, to explore a systematic and organic organizational model based on new and high-tech industries, and to develop such organizational models as personnel-and-equipment organization, trans-regional organization and community-based organization. Based on possible wartime assignments, the reserve force has revised and updated the guidelines for its military training and evaluation, strengthened integrated training with active PLA units, and conducted on-base, simulated and networked training. Reserve officers and men are required to devote 240 hours to political education and military training each year. To be able to respond to emergencies in peacetime and to fight in war, the focus of the reserve force is shifting from quantity and scale to quality and efficiency, from a combat role to a support role, and from the provision of general-purpose soldiers to soldiers with special skills. It is working to become an efficient auxiliary to the active force and a strong component of the national defense reserve.

Militia Force Building

The militia force is an important component of China's armed forces as well as the backup force of the PLA. In recent years, through transformation and reform, it has made progress in restructuring, in training reform, and in equipment building. China now has 8 million primary militia members.

The militia force gives priority to reinforcing those units which are tasked with defending border and coastal areas, providing service support for different arms and services, and responding in emergencies. It has been realigned to extend from rural to urban areas as well as to areas along important communication lines, from ordinary locations to key sites and areas, and from traditional industries to new and high-tech ones. As a result, its structure and layout have been further improved. In line with the newly revised Outline for Military Training and Evaluation of the Militia, it promotes reforms in military training, holds joint training and exercises with active PLA units, improves the construction of associated training base facilities at all levels, and attaches importance to key detachment training. Its capabilities in dealing with both emergencies and wars have been greatly enhanced. The militia strengthens its building of equipment for the purposes of air defense, emergency response, and maintaining stability, supply of new types of air defense weaponry and equipment, and retrofitting and upgrading of existing weapons. There have been significant increases in the level of equipment-readiness and in the full kit rate (FKR).

The militia has taken an active part in such operations as counter-terrorism, stability maintenance, emergency rescue, disaster relief, border protection and control, and joint defense of public security, and has played a unique role in accomplishing diversified military tasks. Each year, it mobilizes more than 90,000 militiamen to serve as guards on bridges, tunnels and railways, more than 200,000 to take part in joint military-police-civilian defense patrols, more than 900,000 to participate in emergency response, rescue and relief operations following major natural disasters, and nearly 2 million to engage in the comprehensive control and management of social order in rural and urban areas.

VI. Military Legal System

The armed forces of the People's Republic of China abide by the Constitution and laws, implement the guidelines of governing the armed forces according to law, strengthen military legal system building, and guarantee and push forward the building of national defense and armed forces in accordance with the requirements of the legal system.

Military Legal System Building

A number of important military laws and regulations have been formulated and revised. In the past two years, the Standing Committee of the NPC has adopted the Law of the People's Republic of China on the People's Armed Police Force, the National Defense Mobilization Law of the People's Republic of China, and the newly revised Law of the People's Republic of China on Reserve Officers. The Central Committee of the CPC and the CMC have approved and promulgated the newly revised Regulations on the Political Work of the People's Liberation Army. The CMC has promulgated the newly revised Regulations on Routine Service of the People's Liberation Army, the Regulations on Discipline of the People's Liberation Army, the Regulations on Formation of the People's Liberation Army, and a new generation of regulations on the work of headquarters. Approved by the CMC, the PLA's General Staff Headquarters, General Political Department, General Logistics Department and General Armaments Department have promulgated the newly revised Outline for Armed Forces Building at the Grass-roots Level, and the General Political Department has promulgated the Guideline for the Ideological and Political Education of the Chinese People's Liberation Army. The State Council and the CMC have jointly promulgated the Regulations on Military Uniform Management, the Regulations on Quality Control of Weaponry and Equipment, and the newly revised Regulations of the Chinese People' s Liberation Army on the Military Service of the Enlisted in Active Service. The general headquarters/departments, Navy, Air Force, Second Artillery Force, military area commands and the PAPF have promulgated a number of military rules and regulations. As of December 2010, the NPC and its Standing Committee has passed laws and issued law-related decisions on 17 matters concerning national defense and military affairs, the State Council and the CMC have jointly formulated 97 military administrative regulations, the CMC has formulated 224 military regulations, and the general headquarters/departments, Navy, Air Force, Second Artillery Force, military area commands and PAPF have enacted more than 3,000 military rules and regulations.

Military laws, regulations and rules have been reviewed and consolidated. In accordance with the 2008 requirements of the NPC Standing Committee, the legal organs of the CMC organized the legal departments of the general headquarters/departments, Navy, Air Force, Second Artillery Force, military area commands and PAPF in reviewing laws and regulations relating to national defense and military affairs. In 2009, the fifth round of review and consolidation of military regulations and rules was conducted, sorting out 921 existing military regulations (including regulatory documents) and 7,984 military rules and regulations (including regulatory documents) promulgated before the end of 2008, and repealing 65 military regulations (including regulatory documents) and 1,214 military rules and regulations (including regulatory documents). A Collection of Military Laws and Regulations of the People's Republic of China (2004-2008), A Collection of Military Rules and Regulations of the People's Liberation Army of the People's Republic of China (2004-2008), and A Collection of Military Rules and Regulations of the People's Armed Police Force of the People's Republic of China (2004-2008) were published.

Implementation of Laws and Regulations

The PLA and the PAPF maintain their commitment to employing troops and taking action in accordance with the law. Units participating in emergency rescue and disaster relief operations strictly abide by such laws and regulations as the Emergency Response Law of the People's Republic of China, the Law of the People's Republic of China on Protecting Against and Mitigating Earthquake Disasters, and the Regulations on the PLA's Participation in Disaster Rescue. PAPF troops performing stability maintenance and emergency response tasks act in strict conformity with laws and regulations like the Law of the People's Republic of China on the People's Armed Police Force. Naval ships performing escort missions in the Gulf of Aden and in waters off Somalia, as well as those carrying out maritime training, strictly observe international treaties like the United Nations Convention on the Law of the Sea (UNCLOS) and act in accordance with the relevant laws and regulations of China. Troops participating in joint military exercises with foreign countries act within relevant bilateral or multi-lateral legal frameworks and settle any legal issues arising in the course of such exercises in accordance with the law.

The newly revised common regulations on routine service, discipline and formation have been implemented and incorporated into education, training, inspection and evaluation. Military rules and regulations provide guidance and standards for combat readiness, training, working conditions and daily life. The enforcement of regulations has been strengthened, discipline inspection and supervision mechanisms improved, and breaches of discipline investigated and rectified. Safety rules and regulations have been enforced, safety and preventive mechanisms improved, and education and training on safety conducted.

For the past two years, the armed forces, working with relevant local departments, have conducted inspections of the implementation of such laws and regulations as the Civil Air Defense Law of the People's Republic of China, the Law of the People's Republic of China on Protecting Military Facilities, and the Regulations on Military Uniform Management. In accordance with laws and regulations like the Military Service Law of the People's Republic of China and the Regulations on the Recruitment of Soldiers, military service organs and recruitment staff of the people's governments at all levels have undertaken efforts to supervise and inspect recruitment work. Within the proper bounds of their authority, military departments have conducted special reviews on law-enforcement in their respective fields of military training, equipment procurement, discipline inspection and supervision, and auditing.

Military Judicial System

The PLA continues to uphold the CPC's leadership in its political and legal work, and to improve military judicial work systems. In 2007, the CMC issued the Opinions on Further Strengthening the Political and Legal Work of the Armed Forces, requiring the establishment of political and legal commissions in units at and above regiment level. In 2008, the General Political Department enacted the Regulations on the Work of Political and Legal Commissions at All Levels of the Armed Forces.

The PLA strengthens crime prevention in a proactive, comprehensive and constructive manner. In 2009, the General Staff Headquarters, General Political Department, General Logistics Department and General Armaments Department jointly issued the Opinions on Further Strengthening the Prevention of Duty-related Crime of the Armed Forces under the New Situation and the Provisional Regulations on the Participation of Discipline Inspection Departments and Military Procuratorial Organs in Accident Investigation and Handling. The internal security organs, military courts and military procuratorates of the armed forces have performed their functions to the full, resolutely maintaining justice in punishing various offenses and crimes in accordance with the law.

In line with overall arrangements by the state for judicial reform, the PLA presses forward with the reform of the military judicial system. The Military Court of the PLA has enacted the Detailed Rules of the Military Court of the People's Liberation Army for the Implementation of the Guiding Opinions on Sentencing by People's Courts (Trial), and implemented the policy of combining leniency with rigor in respect of criminal offences. They have made further progress in civil adjudication, and improved the dispute resolution mechanism that connects litigation and non-litigation. The formulation of the Measures of Military Courts to Close Cases of Litigation Relating to Complaint Letters and Visits has enhanced transparency and public credibility in the review of appeals. The General Political Department has issued the Notice of the Requirement that Cases Filed and Investigated by the Military Procuratorate at a Lower Level Be Submitted to the Military Procuratorate at the Next Higher Level for Examination and Detention Decision-Making, and the PLA Military Procuratorate has issued relevant implementation measures for the Notice, which advances the reform of decision-making procedures regarding examination and detention in duty-related cases.

Legal Service and Legal Publicity and Education

To meet the needs of their troops in accomplishing diversified military tasks, judicial and administrative departments at all levels and other relevant departments of the armed forces have provided professional and efficient legal services. Specifically, legal advisors have been provided for troops participating in emergency rescue and disaster relief operations, escort operations in the Gulf of Aden and the waters off Somalia, and major joint military exercises with other countries. Several legal-service teams have been dispatched to help troops who perform counter-terrorism and stability-maintenance tasks to deal with legal problems. Legal handbooks have been compiled and printed for the troops.

A series of actions have been carried out to provide legal services, including legal consultations, to grass-roots officers and men. These have now covered more than two-thirds of units at brigade or regiment level. Interactions with local judicial and administrative departments and legal service organizations have been strengthened, coordination mechanisms have been improved to solve legal problems of officers and men, and channels for handling such problems have been widened. In 2009, military lawyers represented defendants in more than 700 criminal trials, and undertook more than 2,300 civil and economic cases.

Efforts have been strengthened in legal service personnel training and organization building. At present, China's armed forces have established 268 military legal advisory offices, more than 1,600 legal consultation stations in units at brigade/regiment level, and legal consultation teams in almost all battalions and companies. There are altogether 1,342 military lawyers and 25,000 legal advisors in the armed forces.

Mechanisms have been improved for safeguarding the rights and interests of military units, military personnel, and national defense, and the legitimate rights and interests of servicemen and their families have been protected. Led by local Party committees, mainly composed of judicial organs, supported by relevant departments of local governments, and featuring civil-military coordination, permanent mechanisms have been established in 31 provinces, autonomous regions and municipalities directly under the central government to safeguard the legal rights and interests of military units and personnel. As a result, a relatively comprehensive system of organizations for safeguarding the legal rights and interests of military units and personnel has been established. Since 2000, such organizations, operating at different levels, have provided 760,000 legal consultations to servicemen and their families, handled 120,000 complaint letters or visits, and dealt with 98,000 disputes involving military units and personnel, and the people's courts have tried 34,000 cases involving military units and personnel.

In the context of the fifth five-year program on law education, legal publicity and education have been enhanced, and the legal awareness of officers and men has been raised. The PLA and PAPF have incorporated legal publicity and education into the outline of education and training and into training and evaluation systems for military cadres, and organized officers and men to study the Constitution and relevant laws and regulations. They have continued to innovate means and measures designed to render legal publicity and education more up-to-date, more interesting and more appealing.

VII. Science, Technology and Industry for National Defense

China has established and is striving to optimize those research and production systems for weaponry and equipment which cater to both military and civilian needs and sustain military potential in civilian capabilities. It furthers reform and development and raises the capacity of research and production in promoting advanced defense-related science, technology and industry.

Reform and Development of Science, Technology and Industry for National Defense

Defense-related industries have actively transformed their development model. Through restructuring, optimizing and upgrading, and by taking energy conservation and emission reduction measures, they have coped effectively with the international financial crisis. A legal and regulatory system has been established to improve the capabilities of defense-related industries as well as the supervision over and management of their key installations and facilities. Defense-related industries have achieved steady and relatively rapid growth.

Defense-related enterprises and institutions are regulated and guided to make use of civilian industrial capabilities and social capital to conduct research into and production of weaponry and equipment. In 2010, based on the Regulations on the Licensing Administration of Weaponry and Equipment Research and Production, the Ministry of Industry and Information Technology and the PLA's General Armaments Department jointly issued the Implementation Measures for the Licensing of Weaponry and Equipment Research and Production to further regulate the participation of different types of economic bodies in scientific research into and production of weaponry and equipment and in tendering for relevant projects. Civilian industrial enterprises licensed for the scientific research into and production of weaponry and equipment now make up two-thirds of the total licensed enterprises and institutions. The Guiding Catalogue of Fields for Social Investment in Defense-related Science, Technology and Industry has been issued to promote diversity in investors in defense-related enterprises.

Improvement of Scientific Research and Production Capabilities for Weaponry and Equipment

Advanced core competence of defense-related industries has been built. Science, technology and industry for national defense have achieved the goals set in the Eleventh Five-Year Plan (2006-2010). A number of high-level research platforms and new equipment production lines have been built. Resources involved in R&D, design and simulation, processing and manufacturing, and experimentation and testing have been further modernized to ensure the fulfillment of research and production tasks, and the realization of mutual promotion and coordinated development between the R&D and production of model weaponry and equipment and the consolidation of fundamental capabilities.

Capabilities in independent innovation have been strengthened. Defense-related enterprises and institutions, institutes for basic research and institutions of higher learning are encouraged to make innovations in defense-related science and technology and to strengthen both basic and applied research. Exploration, innovation and the application of new theories, technologies and processing techniques have been accelerated. The development of advanced industrial technologies has been encouraged. Digital and information technologies have been widely used. The technological level and innovative capability of scientific research into and production of weaponry and equipment have been raised. To create a favorable environment for innovation, incentive policies and appraisal systems for original innovation have been introduced to build a better contingent of creative and talented people and to provide them with the motivation and initiative to produce scientific and technological innovations. Great importance has been given to the filing, application and protection of intellectual property rights related to science, technology and industry for national defense. In 2009, dozens of innovations won National Technology Invention Awards or National Science and Technology Progress Awards.

The basic capabilities of weaponry and equipment research and production have been enhanced. The construction, operation and management of defense-related technological infrastructure have all been reinforced. National defense science and technology labs as well as research and application centers for advanced technologies have been playing a vital role in both basic and applied research. A long-term mechanism for quality control has been established to reinforce quality supervision, resulting in a steady improvement in the overall quality of products. Technological infrastructure for the defense industry, such as standards and measurements, has been established to provide better support capabilities to weaponry and equipment research and production.

Peaceful Use of Defense Industrial Technology

The application of defense-related technologies has been accelerated in line with key fields and projects decided by the state. With breakthroughs in vital technologies and industrialization, burgeoning industries with strategic significance, and other defense-related high-tech industries in the fields of aeronautics and space, electronic information, special technologies and equipment, new energy and high efficiency power, and energy conservation and environmental protection have been developed to foster new economic engines in revitalizing national industries and restructuring new and high-tech industries.

Great importance has been attached to the peaceful use and development of nuclear energy and space technology. The industrial policy of actively exploiting nuclear energy has been formulated and issued, which has effectively secured the growth of the industries of nuclear power, nuclear fuel recycling, and nuclear technology application. Positive progress has been achieved in the export of aerospace products. China has successfully developed and launched a communications satellite for Venezuela and signed agreements or contracts on cooperation in the field of communications satellites with some countries.

Participation in International Exchanges and Cooperation

Cooperation with foreign countries in defense-related science, technology and industry has been conducted on an equal, mutually beneficial, and win-win basis. Cooperation in defense technology with friendly countries has been promoted, and mechanisms for inter-governmental commissions with some friendly countries involving defense industries and technologies have been established. Defense-related enterprises and institutions are encouraged and supported to engage in international exchanges and cooperation. Such defense industrial and technological cooperation as joint R&D, and production and personnel training are conducted with foreign countries.

The Chinese government strictly fulfils its international obligations, commitments and relevant resolutions of the Security Council of the UN on sanctions. In conformity with international conventions and standards, it has established a sound non-proliferation regime at the three levels of government, corporation and export enterprise, taking a prudent attitude towards the export of military products and related technologies. Following the principles of serving the purpose of helping the recipient state enhance its capability for legitimate self-defense, not impairing the peace, security and stability of the relevant region or the world as a whole, and not interfering in the recipient state's internal affairs, China sets up a franchising system for the enterprises permitted to export military products, practices a licensing system for military product export, and strictly abides by its policies and laws on non-proliferation.

Attaching great importance to international cooperation in the field of nuclear energy, the Chinese government has reached inter-governmental agreements with 23 countries on peaceful use of nuclear energy, introduced advanced nuclear energy technologies into China, and provided every possible assistance to developing countries. In April 2009, organized by the International Atomic Energy Agency (IAEA) and hosted by the Chinese government, the International Ministerial Conference on Nuclear Energy in the 21st Century was held in Beijing.

In accordance with the principle of peaceful use of outer space, China has conducted bilateral cooperation and exchanges with Russia, France, Brazil, Ukraine, the United States and the European Space Agency (ESA) in the fields of space technology, space exploration and space science. It supports the work of the United Nations Committee on the Peaceful Uses of Outer Space (COPUOS) and Asia-Pacific Space Cooperation Organization (APSCO), and plays an active role in making use of outer space technologies to conduct multilateral cooperation in Earth science research, disaster prevention and reduction, deep space exploration, and space debris mitigation and protection.

VIII. Defense Expenditure

China adheres to the principle of coordinated development of national defense and economy. In line with the demands of national defense and economic development, China decides on the size of defense expenditure in an appropriate way, and manages and uses its defense funds in accordance with the law.

With the development of national economy and society, the increase of China's defense expenditure has been kept at a reasonable and appropriate level. China's GDP was RMB31,404.5 billion in 2008 and RMB34,090.3 billion in 2009. State financial expenditure was RMB6,259.266 billion in 2008 and RMB7,629.993 billion in 2009, up 25.7 percent and 21.9 percent respectively over the previous year. China's defense expenditure was RMB417.876 billion in 2008 and RMB495.11 billion in 2009, up 17.5 percent and 18.5 percent respectively over the previous year. In recent years, the share of China's annual defense expenditure in its GDP has remained relatively steady, while that in overall state financial expenditure has been moderately decreased.

China's defense expenditure mainly comprises expenses for personnel, training and maintenance, and equipment, with each accounting for roughly one third of the total. Personnel expenses mainly cover salaries, allowances, housing, insurance, food, bedding and clothing for officers, non-ranking officers, enlisted men and contracted civilians. Training and maintenance expenses mainly cover troop training, institutional education, construction and maintenance of installations and facilities, and other expenses on routine consumables. Equipment expenses mainly cover R&D, experimentation, procurement, maintenance, transportation and storage of weaponry and equipment. Defense expenditure covers costs to support the active forces, reserve forces, and militia. It also covers part of the costs to support retired servicemen, servicemen's spouses, and education of servicemen's children, as well as national and local economic development and other social expenses.

In the past two years, the increase in China's defense expenditure has primarily been used for the following purposes: (1) Improving support conditions for the troops: Along with the economic and social development and the improvement of people's living standards, the PLA has adjusted servicemen's salaries and allowances, increased funding for education and training, water and electricity supplies and heating, upgraded logistics support for grass-roots units in a comprehensive and coordinated way, and improved the on-duty, training and living conditions of border and coastal defense forces and units in remote areas and harsh environments. (2) Accomplishing diversified military tasks: China has increased investment in improving MOOTW capabilities, in supporting earthquake rescue and disaster relief operations, in escort operations in the Gulf of Aden and waters off Somalia, in flood control and emergency rescue operations, and in international rescue operations. (3) Pushing forward the Revolution in Military Affairs (RMA) with Chinese characteristics. In view of the upward trend in purchasing prices and maintenance costs, China has moderately increased the funds for high-tech weaponry and equipment and their supporting facilities.

In 2010, confronted by the residual impact of the global financial crisis and other uncertainties, the tension between revenue and expenditure in China's finances persists. Giving priority to socially beneficial spending in agriculture, rural areas and farmers, as well as in education, science and technology, health, medical care and social security, China has increased its defense expenditure moderately as needed. China's defense budget for 2010 is RMB532.115 billion, up 7.5 percent over 2009. The growth rate of defense expenditure has decreased.0

China practices a strict system of financial supervision of defense funds. The annual defense budget is incorporated into the annual financial budget draft of the central government, and then submitted to the NPC for review and approval. The auditing offices of the state and the PLA conduct audit and supervision of the defense budget and its enforcement. In recent years, the Chinese government has strengthened systematic and meticulous management of defense expenditure, reformed and innovated financial management systems, pressed forward with reforms in asset management, reinforced budget implementation, supervision and management, and organized auditing of economic responsibilities of military leaders and special auditing of the use of funds and materials. In this way, transparency and standardization of defense expenditure are enhanced, and the proper and effective use of defense funds is ensured.

IX. Military Confidence-Building

Military confidence-building is an effective way to maintain national security and development, and safeguard regional peace and stability. With political mutual trust as the groundwork and common security as the goal, China is promoting the establishment of equal, mutually beneficial and effective mechanisms for military confidence-building, which should be based on the principles of holding consultations on an equal footing, mutual respect for core interests and recognition of major security concerns, not targeting at any third country, and not threatening or harming other countries' security and stability.

Strategic Consultations and Dialogues

In recent years, China has held extensive strategic consultations and dialogues with relevant countries in the field of security and defense to enhance mutual understanding and trust, and to strengthen communication and coordination. To date, China has established mechanisms for defense and security consultation and dialogue with 22 countries.

The strategic and cooperative partnership between Russia and China continues to be comprehensively and vigorously reinforced. The two militaries established a strategic consultation mechanism in 1997. The 13th round of strategic consultations between the two general staff headquarters in 2010 resulted in consensus on the international strategic situation, issues in Northeast Asia, Central Asia and South Asia, and cooperation between the two militaries.

China and the United States maintain consultations on such issues as non-proliferation, counter-terrorism, and bilateral military and security cooperation. The two countries established a mechanism of defense consultation between the two defense ministries in 1997, and held the tenth and 11th Defense Consultative Talks (DCT) on issues of common concern in June 2009 and December 2010, and the fifth and the sixth Defense Policy Coordination Talks (DPCT) in February and December 2009.

China attaches great importance to defense and security consultations with neighboring countries. It has established mechanisms for defense and security consultation and policy dialogue with neighboring countries, including Mongolia, Japan, Vietnam, the Philippines, Indonesia, Thailand, Singapore, India and Pakistan, and has held regular consultations and dialogues at different levels with its neighbors, which focus on Asia-Pacific security, bilateral military relations and regional flashpoint issues. Such consultations and dialogues play a positive role in promoting mutual understanding, consolidating good neighborliness and friendship, deepening mutual trust and cooperation, and maintaining regional peace and stability.

China has conducted extensive strategic consultations and dialogues with other countries. In September 2009, the two militaries of China and Germany held the fourth round of defense strategic consultations. In October 2009, the two militaries of China and Australia held the 12th defense strategic consultations. In March 2009 and June 2010, China and New Zealand held the second and third strategic dialogues. In February 2010, military deputies of China and the United Kingdom held defense strategic consultations. In November 2010, China and South Africa held the fourth defense commission meeting. China has also established mechanisms for defense (cooperation) commission meetings with Egypt, for high-level military cooperation dialogue with Turkey, and for defense consultations with the United Arab Emirates, all of which have broadened defense exchanges between China and Middle Eastern countries.

Border Area Confidence-Building Measures

China consistently pursues a foreign policy of building an amicable relationship and partnership with its neighbors, attaches great importance to border area confidence-building measures, strengthens friendly military exchanges in border areas, and actively prevents dangerous military activities, all of which have helped preserve peace and stability on the borders.

In September 1993, China and India signed the Agreement on the Maintenance of Peace and Tranquility Along the Line of Actual Control in the China-India Border Areas, and in November 1996, the two countries signed the Agreement on Confidence-Building Measures in the Military Field Along the Line of Actual Control in the China-India Border Areas. In April 2005, the two countries signed the Protocol on Implementation Measures for Confidence-Building Measures in the Military Field Along the Line of Actual Control in the China-India Border Areas, agreeing on specific implementation measures for certain articles in the 1996 Agreement.

In April 1996, China, Kazakhstan, Kyrgyzstan, Russia and Tajikistan signed the Agreement on Confidence-Building in the Military Field Along the Border Areas. In April 1997, China signed the Agreement on the Mutual Reduction of Military Forces in the Border Areas with the aforementioned countries, which includes clauses on mutual reduction of combat troops and weaponry within delineated limits along China' s 7,600-km borderlines with Kazakhstan, Kyrgyzstan, Russia and Tajikistan, on the organization of annual mutual inspections, and on supervision and verification of the implementation of mutual trust measures in border areas. In December 1998, China and Bhutan signed the Sino-Bhutanese Agreement on the Maintenance of Peace and Tranquility in the Border Areas.

The PLA border defense force faithfully implements all relevant border confidence-building agreements in the military field. Since the 1990s, China's Ministry of National Defense has signed Frontier Defense Cooperation Agreement respectively with relevant departments of the Democratic People's Republic of Korea (DPRK), Russia, Mongolia, Kazakhstan, Kyrgyzstan, Myanmar and Vietnam, and established a three-level meeting mechanism between China's general headquarters/departments, military area commands (provincial military commands) and border defense units and their counterparts, to communicate border information in a timely manner and handle major border affairs through consultation. The PLA border defense force has set up along the borders more than 60 stations for border talks and meetings, and every year engages in thousands of talks and meetings with neighboring countries. In recent years, in the border areas, China has conducted military training in bilateral or multilateral border blockade and control, joint counter-terrorism, and carried out joint patrols and inspections respectively with Russia, Tajikistan, Mongolia and Pakistan.

China has signed border management system agreements with a dozen of its land neighbors to specify cooperation measures for keeping order in border areas, protecting and utilizing cross-border rivers, establishing a border area liaison system, and handling border affairs through consultation. A border representative system has been established to handle border affairs that can be settled through consultation without the need for escalation to diplomatic levels. Appointed by the government and selected from leaders of border defense units, Chinese border representatives perform their duties under the guidance of local military organs and foreign affairs departments. Border representatives exchange information regularly, guard against and handle border incidents, and provide assistance in port administration, cross-border transportation, fishery cooperation, environmental protection and disaster prevention.

Dialogues and Cooperation on Maritime Security

China takes an active part in dialogue and cooperation on international maritime security. It strictly complies with the UN Charter, the United Nations Convention on Law of the Sea (UNCLOS), and other universally recognized norms of international relations. It consistently pursues common security and development, and respects the sovereignty, rights and interests of coastal states. China perseveres in dealing with traditional and non-traditional maritime threats through cooperation, and strives to maintain maritime security through multiple peaceful ways and means.

In 1998, China and the United States concluded the Military Maritime Consultative Agreement (MMCA) and began to conduct consultations on military maritime security issues. To date, eight annual meetings, 13 working group meetings and two special meetings have been held, contributing to the safety of maritime activities, the avoidance of maritime accidents and the adoption of other confidence-building measures. An MMCA special session was held in August 2009 and an annual meeting was held in October 2010.

In October 2005, China and Vietnam signed the Agreement on Joint Patrols by the Navies of China and Vietnam in the Beibu Gulf. The two navies established the Office of Joint Patrols in the Beibu Gulf, organized ten joint patrols, and held five annual meetings. In February 2009, direct telephone links were officially established between the Chinese and ROK naval and air force troops stationed in adjacent areas. Since 2008, China and Japan have held several consultations over the establishment of a maritime liaison mechanism. The Chinese Navy has taken an active part in the activities of the Western Pacific Naval Symposium (WPNS), and in seminars on maritime security sponsored by the ASEAN Regional Forum (ARF) and the Council for Security Cooperation in the Asia Pacific (CSCAP).

In the past two years, the Chinese Navy has sent more than 20 naval ships in over ten convoys to visit more than 30 countries, and received port visits from more than 30 naval ships representing over 20 countries.

Regional Security Cooperation

A multi-tiered and composite framework of Asia-Pacific regional security cooperation is taking shape, and numerous security cooperation mechanisms have been further developed. China takes an active part in establishing security dialogue and building security mechanisms in the Asia-Pacific region, strengthens mutual political trust and security cooperation with Asia-Pacific countries, promotes military confidence-building, and endeavors to maintain regional peace and stability.

Since 2009, the Shanghai Cooperation Organization (SCO) has sustained its strong development momentum in security cooperation. Its member states have signed a succession of papers, such as the SCO Counter-Terrorism Convention, the Agreement among the Governments of the SCO Member States on Cooperation in the Field of Ensuring International Information Security, and the Agreement among the Governments of the SCO Member States on Cooperation in the Field of Combating Crime, which have laid a solid legal foundation for security cooperation. Further improvements have been made in cooperation mechanisms for security work at major international events, such as those held in 2010, including the 65th Anniversary of the Victory of World Anti-fascist War held in Moscow, the Shanghai Expo and the Guangzhou Asian Games. Joint counter-terrorism exercises continue to be formalized. Joint counter-terrorism exercises, such as the "Peace Mission" series between the militaries, and the "Norak-Anti-Terror 2009" and "Saratov-Anti-Terror 2010" initiatives between law-enforcement and security departments, have provided an effective deterrence to the three regional threats of terrorism, separatism and extremism. Regular meetings have been held between security committee secretaries, procurators-general, heads of supreme courts, defense ministers, ministers of interior affairs and public security, and other leaders of law enforcement and security agencies from the SCO member states, enhancing cooperation in justice, defense, law enforcement, security and other fields.

China actively participates in multilateral security meetings within the framework of the ARF, ASEAN Plus One (China), and ASEAN Plus Three (China, Japan and the ROK). Initiated by China, the ARF Conference on Security Policies was officially staged in 2004, and has developed into a dialogue mechanism for the highest ranking senior defense officials within the ARF framework. In May 2010, at the seventh ARF Conference on Security Policies, China proposed initiatives on strengthening research on non-traditional security cooperation and on promoting practical cooperation. In October 2010, China attended the first ASEAN Defense Ministers' Meeting Plus (ADMM+) and proposed to advance regional security dialogue and cooperation. In recent years, the PLA has hosted the China-ASEAN Defense and Security Dialogue (CADSD), the ASEAN Plus Three Forum on Non-traditional Security Cooperation between Armed Forces, and the ARF workshop on formulating legal rules for armed forces' participation in international disaster relief operations.

Since 2007, China has sent senior defense officials on an annual basis to attend the Shangri-La Dialogue held in Singapore to elaborate its national defense policy and opinions on regional security cooperation.

Military Exchanges with Other Countries

China develops its military relations with foreign countries in a comprehensive manner, continues to strengthen its practical exchanges and cooperation with the armed forces of other countries, and strives to foster a military security environment featuring mutual trust and benefit. In the last two years, senior PLA delegations have visited more than 40 countries, and defense ministers and chiefs of general staff from more than 60 countries have visited China.

The strategic mutual trust and practical cooperation between the militaries of China and Russia has been steadily enhanced. The militaries of the two sides have regularly exchanged high-level visits, signed the Missile- and Space-Launch Notification Deal, conducted cooperation in training and border defense, and held exchanges between educational institutions and air defense forces. With respect to relations between the militaries of China and the United States, two sides are still maintaining effective dialogues and communications after various ups and downs, carrying out planned exchanges in respect of structural projects, such as defense consultation, maritime military security consultation, and military filing work. Military ties between China and the European countries continue to be strengthened. China continues to consolidate traditional friendly relations with Central and Eastern European countries, increase practical exchanges with Western European countries, and explore ways to develop military ties with the NATO and the EU.

China has strengthened military relations with its neighboring countries. It conducts friendly exchanges with the DPRK and the ROK militaries, attaches importance to Sino-Japanese defense exchanges, strengthens multi-dimensional Sino-Pakistani military exchanges and cooperation, works to advance the Sino-Indian military relationship, strengthens friendly exchanges with the militaries of ASEAN countries, and promotes military exchanges with countries like Australia and New Zealand.

China conducts military exchanges with developing countries in Africa, West Asia, Latin America and the South Pacific. It increases high-level visits and exchanges between junior and intermediate officers, and seeks to broaden cooperation fields with these countries. For the first time, China sent a hospital ship, the Peace Ark, to visit the Republic of Djibouti, the Republic of Kenya, the United Republic of Tanzania, the Republic of Seychelles and other African countries and provided humanitarian medical service. Also for the first time, China hosted workshops for heads of military academies from English-speaking African countries, for directors of military hospitals from French-speaking African countries, and for intermediate and senior officers from Portuguese-speaking African countries. Additionally, China continues to host workshops for senior officers from countries in Latin America, the Caribbean and the South Pacific.

Since the establishment of the Ministry of National Defense (MND) spokesperson system in 2008, seven press conferences have been held on such themes as earthquake rescue and disaster relief, maritime escort and international humanitarian rescue, and important information has been released in a timely manner. The PLA invests greater efforts in public diplomacy, and has arranged for domestic and foreign media to visit combat units and conduct interviews. The PLA provides timely information on the building of national defense and armed forces via such platforms as the MND website.

In 2009, in celebration of the 60th anniversaries of their respective foundings, the PLAN hosted a multinational naval event on the theme of "Harmonious Ocean," and the PLAAF hosted the "International Forum on Peace and Development."

X. Arms Control and Disarmament

China attaches importance to and takes an active part in international efforts in the field of arms control, disarmament and non-proliferation. It adheres to the complete fulfillment of the UN's role in this area, and that of other related international organizations and multilateral mechanisms, and considers that existing multilateral arms control, disarmament and non-proliferation systems should be consolidated and strengthened, that the legitimate and reasonable security concerns of all countries should be respected and accommodated, and that global strategic balance and stability should be maintained.

Nuclear Disarmament

China has always stood for the complete prohibition and thorough destruction of nuclear weapons. China maintains that countries possessing the largest nuclear arsenals bear special and primary responsibility for nuclear disarmament. They should further drastically reduce their nuclear arsenals in a verifiable, irreversible and legally-binding manner, so as to create the necessary conditions for the complete elimination of nuclear weapons. When conditions are appropriate, other nuclear-weapon states should also join in multilateral negotiations on nuclear disarmament. To attain the ultimate goal of complete and thorough nuclear disarmament, the international community should develop, at an appropriate time, a viable, long-term plan with different phases, including the conclusion of a convention on the complete prohibition of nuclear weapons.

China holds that, before the complete prohibition and thorough destruction of nuclear weapons, all nuclear-weapon states should abandon any nuclear deterrence policy based on first use of nuclear weapons, make an unequivocal commitment that under no circumstances will they use or threaten to use nuclear weapons against non-nuclear-weapon states or nuclear-weapon-free zones, and negotiate an international legal instrument in this regard. In the meantime, nuclear-weapon states should negotiate and conclude a treaty on no-first-use of nuclear weapons against each other.

China has played a constructive role in the review process of the Treaty on the Non-Proliferation of Nuclear Weapons (NPT). Together with other signatories to the NPT, China is willing to sincerely implement the positive achievements of the Eighth NPT Review Conference in 2010. China supports the early entry into force of the Comprehensive Nuclear Test Ban Treaty (CTBT) and the early commencement of negotiations on the Fissile Material Cut-off Treaty (FMCT) at the Conference on Disarmament (CD) in Geneva.

As a permanent member of the UN Security Council and a nuclear-weapon state signatory of the NPT, China has never evaded its obligations in nuclear disarmament and pursues an open, transparent and responsible nuclear policy. It has adhered to the policy of no-first-use of nuclear weapons at any time and in any circumstances, and made the unequivocal commitment that under no circumstances will it use or threaten to use nuclear weapons against non-nuclear-weapon states or nuclear-weapon-free zones. China has never deployed nuclear weapons in foreign territory and has always exercised the utmost restraint in the development of nuclear weapons, and has never participated in any form of nuclear arms race, nor will it ever do so. It will limit its nuclear capabilities to the minimum level required for national security.

China has strictly abided by its commitment to a moratorium on nuclear testing and has actively participated in the work of the Preparatory Commission of the Comprehensive Nuclear Test Ban Treaty Organization, and is steadily preparing for the national implementation of the Treaty. China is responsible for setting up 12 international monitoring stations and laboratories. At present, six primary seismological monitoring stations, three radionuclide stations, the Beijing Radionuclide Laboratory and the China National Data Center have been set up, and one infrasound station is under construction.

China consistently supports the efforts of non-nuclear-weapon states in establishing nuclear-weapon-free zones, has already signed and ratified all the relevant protocols which have been opened for signature of any nuclear-weapon-free zone treaties, and has reached agreement with the ASEAN countries on relevant issues under the Protocol of the Treaty on the Southeast Asia Nuclear-Weapon-Free Zone. China supports the Treaty on a Nuclear-Weapon-Free Zone in Central Asia and its protocols signed by Central Asian countries, and supports the establishment of a nuclear-weapon-free zone in the Middle East.

China maintains that the global missile defense program will be detrimental to international strategic balance and stability, will undermine international and regional security, and will have a negative impact on the process of nuclear disarmament. China holds that no state should deploy overseas missile defense systems that have strategic missile defense capabilities or potential, or engage in any such international collaboration.

Non-Proliferation

China firmly opposes the proliferation of weapons of mass destruction (WMD) and their means of delivery, and consistently deals with non-proliferation issues in a highly responsible manner. China maintains that, in order to prevent proliferation at source, efforts should be made to foster a global and regional security environment featuring mutual trust and cooperation, and the root causes of WMD proliferation should be eliminated. It holds that non-proliferation issues should be resolved through political and diplomatic means. It holds that the authority, effectiveness and universality of the international non-proliferation regime should be upheld and enhanced. The international community should ensure fairness and prevent discrimination in international non-proliferation efforts, strike a balance between non-proliferation and the peaceful use of science and technology, and abandon double standards. China has joined all international treaties and international organizations in the field of non-proliferation, and supports the role played by the United Nations in this regard, and has conscientiously implemented any relevant resolutions of the UN Security Council.

China advocates resolving the nuclear issue in the Korean Peninsula peacefully through dialogues and consultations, endeavoring to balance common concerns through holding six-party talks in order to realize the denuclearization on the Korean Peninsula and maintain peace and stability of the Korean Peninsula and the Northeast Asia. China, always considering the whole situation in the long run, painstakingly urges related countries to have more contacts and dialogues in order to create conditions for resuming six-party talks as early as possible. China is for the peaceful resolution of the Iranian nuclear issue through dialogue and negotiation, and for maintaining the peace and stability of the Middle East. China has been dedicated to promoting dialogue and negotiation, and has actively engaged with relevant parties to promote non-proliferation. China has attended the meetings of foreign ministers and political directors of the P5+1, and has participated in the deliberations on the Iranian nuclear issue at the UN Security Council and at the International Atomic Energy Agency (IAEA) in a constructive manner.

Since 2009, China has held arms control and non-proliferation consultations with a dozen countries, including the US, Russia, the UK, Germany, Brazil, Canada, Pakistan, the Republic of Korea, the EU, Australia and Israel, and continues to strengthen dialogue and exchanges with multinational export control mechanisms. It has conducted discussions with the Missile Technology Control Regime (MTCR) and participated in its technical outreach meeting. China has cosponsored inter-sessional meetings on non-proliferation and disarmament with relevant countries within the framework of the ARF, and taken part in discussions on biological security and counter-biological terrorism.

China attaches great importance to non-proliferation export control, and has established a comprehensive legal system for export control of nuclear, biological, chemical, missile and related sensitive items and technologies, as well as all military products. It has adopted the relevant international universal export control measures, including the licensing system, end-user and end-use certificate, list control, and "catch-all" principle. In 2009, the Ministry of Commerce promulgated the Measures for Administration of Dual-use Items and Technologies Subject to Export General License to further strengthen the licensing system for export control.

China attaches great importance to the issue of nuclear security, opposes nuclear terrorism, adopts effective nuclear security measures and maintains a good record in this field. China observes in good faith its international obligations and takes an active part in international nuclear security cooperation. It agrees in principle to set up a nuclear security "Center of Excellence" in China in cooperation with relevant countries.

Prohibition of Biological and Chemical Weapons

China sincerely fulfills its obligations under the Chemical Weapons Convention (CWC) by setting up implementation offices at both central and local levels, by submitting timely complete annual declarations, through declarations subsequent to newly discovered chemical weapons abandoned by Japan in China, and through submission of the annual national protection program. China has hosted more than 240 on-site inspections by the Organization for the Prohibition of Chemical Weapons (OPCW). China cooperates closely with the OPCW. Jointly with the OPCW, China has hosted several training courses for OPCW inspectors, as well as international courses on protection and assistance. China has also provided assistance to those African states party to the Organization. With a view to facilitating Japan's role in fulfilling its obligation to destroy its chemical weapons abandoned in China, China has assisted Japan in carrying out 150 on-site investigation, excavation, recovery and identification missions, and has excavated almost 50,000 items of abandoned chemical weaponry. In October 2010, China began to destroy chemical weaponry abandoned by Japan in Nanjing. China calls on Japan to increase its input to this process and to accelerate the destruction of its chemical weapons abandoned on Chinese territory.

China supports multilateral efforts to strengthen the effectiveness of the Biological Weapons Convention (BWC) and is committed to the comprehensive and strict implementation of the Convention. China has already established a comprehensive legislation system for the implementation of the Convention and set up a national point of contact. China submits annual declarations of its confidence-building measures to the Implementation Support Unit of the Convention in a timely manner, attends Meetings of State Parties and Meetings of Experts and related seminars, strengthens bio-security and disease surveillance, and carries out international exchanges and cooperation.

Prevention of an Arms Race in Outer Space

The Chinese government has advocated from the outset the peaceful use of outer space, and opposes any weaponization of outer space and any arms race in outer space. China believes that the best way for the international community to prevent any weaponization of or arms race in outer space is to negotiate and conclude a relevant international legally-binding instrument.

In February 2008, China and Russia jointly submitted to the Conference on Disarmament (CD) a draft Treaty on the Prevention of the Placement of Weapons in Outer Space and the Threat or Use of Force against Outer Space Objects (PPWT). In August 2009, China and Russia jointly submitted their working paper responding to the questions and comments raised by the CD members on the draft treaty. China is looking forward to starting negotiations on the draft treaty at the earliest possible date, in order to conclude a new outer space treaty.

Conventional Arms Control

China has sincerely fulfilled its obligations under the Convention on Certain Conventional Weapons (CCW) and its Protocols, submitted its annual reports on the implementation of the Amended Protocol on Landmines, and actively participated in the work of the Group of Governmental Experts (GGE) on Cluster Munitions. In April 2010, China ratified the Protocol on Explosive Remnants of War.

Since 2009, China has continued to participate actively in international humanitarian de-mining assistance. It has held de-mining training courses for Afghanistan, Iraq and Sudan. China has also donated de-mining equipment to Egypt, Afghanistan, Iraq, Sudan and Sri Lanka, and provided Peru and Ethiopia with mine victim assistance.

China has actively participated in the international effort to combat the illicit trade in Small Arms and Light Weapons (SALW). It has conscientiously implemented the UN Program of Action (PoA) on SALW and the International Instrument on Identifying and Tracing Illicit SALW. It has participated in the Open-Ended Working Group (OEWG) and the first session of the Preparatory Commission of an Arms Trade Treaty. In 2010, China attended the Fourth Biannual Meeting on SALW and submitted its national report.

Transparency in Military Expenditure and Registration of Transfer of Conventional Arms

China attaches great importance to military transparency, and makes efforts to promote mutual trust with other countries in the military sphere. Since 2007, China has begun to report to the UN Standardized Instrument for Reporting Military Expenditures. China gives weight to the UN Register of Conventional Arms and continues to submit data to the Register on conventional arms transfer in the seven categories covered by the Register.

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