New Partners, New Strategies (1989-2004)

The immediate Chinese leadership response to Tiananmen was a polit­ical clampdown and economic retrenchment, but by early 1991 economic growth had resumed and the stage was set for further economic reforms that would lay the foundation for sustained Chinese growth. Openness to trade and foreign investment helped the Chinese economy grow rapidly and develop a deeper civilian technology base. Although the United States and Western European countries sought to limit Chinese access to Western arms and military technology through export controls and sanctions, the lure of access to China’s market ultimately gave China’s defense industries access to considerable dual-use technology that could be “spun on” to military appli­cations. Moreover, the rapid advancement of computer, communications, and material technologies in a globalized economy meant that technologies once used primarily in military industries became ubiquitous (and free from export controls).

Table 12-6. New Partners, New Strategies (1989-2004)

Buy

12x Su-27 Flanker (1992)

24x Su-27 Flanker (1995-1996)

80x Su-30MKK (2000-2001)

Ukraine sells China single Su-33 (2000)

Coproduce

Sino-Russian agree­ment for SAC to man­ufacture 200 Su-27s as J-11 (1996)

SAC masters coproduction of J-11 (2002)

Reverse

Engineer

Shenyang J-8D (1990)

Shenyang J-8F (2000)

Steal

China begins reverse engineering Su-27 subsystems for use in indigenized J-11B

(2002-2003)

Chinese cyber espio­nage efforts target information on foreign military aviation technologies (mid 2000s)

Codevelop

Espionage emerges as technology acqui­sition strategy with increased Chinese presence abroad (mid 1990s)

Build

China begins to develop indigenous fourth-generation fighter (J-10); significant technical assistance from Israel (mid 1990s)

China develops JH-7 fighter/bomber with assistance of imported U. S. supercomputers (mid 1990s)

China violates terms of Su-27 contract with Russia; develops indigenized J-11B (2003-2004)

The Chinese defense industry’s access to advanced computers in the mid-1990s supported efforts to develop more sophisticated design capabilities. Supercomputers obtained from the United States after export laws were loos­ened in 1996 and 1998 were later used to simulate the detonation of nuclear warheads without actual underground testing.98 China’s shipbuilding industry also made new advances enabled by computer-assisted design (CAD) technol­ogy to improve both the quantity and quality of maritime vessels.99 The Xian FBC-1 fighter-bomber (also known as the JH-7) presents the most compelling example of U. S. supercomputer technology being used to expand Chinese mil­itary aviation capabilities. Designed to replace outdated light bombers like the Nanchang Q-5 and Harbin H-5, the development program for the JH-7 began in the 1980s. Six prototypes were developed in the early 1990s and delivered to the PLAAF and PLANAF for evaluation. An upgraded variant, the JH-7A, came out around 2000 and was the first Chinese aircraft based solely on CAD design. Chinese engineers reportedly bragged that the fighter-bomber was designed using supercomputers imported from the United States. The fact that Xian Jiaotong University houses a supercomputer and has ties to the Xian Air­craft Industry Corporation (XAC) and the 603d Aircraft Design Institute, the principal contractors on the JH-7A, may explain why CAD technologies were applied to the JH-7A rather than the more advanced J-10 fighter. In the wake of discoveries during the 1990s that China had diverted some supercomputers acquired from the United States for military purposes, Congress passed a law in 1998 tightening restrictions on the technology. China’s indigenous efforts to develop its own supercomputers since the late 1990s have made the law (at least as it applies to China) somewhat irrelevant.100 A 2003 report cites the twin seat J-10BS variant as the first Chinese fighter produced with CAD, noting that the software decreased the time it took to render design drawings from 10 to 6 months.101 The fact this achievement was reported publicly does not con­tradict the conclusion that the JH-7 was China’s first CAD assisted fighter, but instead hints at the fact that the J-10BS was the first example of a military air­craft designed using domestically produced CAD technology. All subsequent Chinese military aviation development projects almost certainly utilize CAD.

Although China lost legitimate access to most Western defense tech­nologies after Tiananmen, it continued existing defense technology ties with Israel and reestablished them with Russia. Ukraine also emerged as an impor­tant source of air-to-air (AAM) and air-to-surface missiles (ASM) for the PLAAF.102 Unlike the previous Sino-Soviet defense arrangement where Beijing was dependent on Moscow and negotiated from a weaker bargaining position, the economically tumultuous post-Soviet Russian state was much more depen­dent on China as a buyer. This allowed China to gain access to both advanced fighters and aviation technologies that a more solvent Russian government likely would have preferred not to sell.

In response to these new opportunities, China pursued multiple options to advance military modernization. The PLA purchased limited quantities of advanced Russian aircraft, ships, and submarines in order to gain experience operating modern weapons systems. For the PLAAF, this included acquisition of the Su-27 fighter and the S-300 surface-to-air missile. The deal eventually evolved into a coproduction arrangement intended to produce 200 aircraft and then into efforts to reverse engineer key components to create an independent production capability. Chinese defense industries continued efforts to develop their own new systems, seeking to integrate advanced imported technologies and components into the design where Chinese equivalents were not available. The J—10 fighter, which uses Russian engines, is one such example. Chinese defense industries also sought to adapt imported and indigenous avionics and armaments to improve the capabilities of older platforms.

At the strategic level, in keeping with Deng’s earlier pronouncements regarding the centrality of airpower in winning modern wars, the Chinese began investing more time in related research. Academics and military strat­egists examined U. S. and Soviet theories on how to achieve maximum effect through the use of airpower.103 Beijing was realistic about the relative weak­ness of the PLAAF when measured against its U. S. and Soviet counterparts. While it assimilated airpower strategy as conceived by the superpowers, China was equally interested in understanding how countries with qualitatively less advanced air forces could employ airpower against more powerful opponents. Several works cite surprise attacks by the Argentine air force against British naval forces during the Falklands War as an illustrative example.104 It was also during this time period that Chinese defense analysts and military planners began to translate the emphasis on expanded airpower into concrete technol­ogy acquisition and procurement goals. In the early 1990s, the PLA was still operating under significant budget constraints; since the outset of opening and reform, resources had been shifted to nondefense areas of the economy. Despite this situation, PLAAF planners mapped out a development trajectory for the air force which has been more or less followed: (1) phase out equip­ment based on antiquated technology; (2) place emphasis on aircraft quality over quantity; (3) graft, when possible, new technology (radar, avionics, mis­siles) onto older airframes to increase combat effectiveness and extend service life; and (4) focus on long-term self-reliance, while filling existing technology gaps in military aviation via procurement of foreign equipment/knowledge.105

In 1998, China undertook a massive restructuring of its defense industry with the aim of ensuring that the PLA was adequately involved in procurement decisions. Prior to creation of the General Armaments Department (GAD), the intermediary between the end user of weaponry (PLA) and the supplier (the defense industry) was the Commission of Science, Technology, and Industry for National Defense (COSTIND). This system resulted in a fundamental mis­alignment of interests as COSTIND failed to properly represent the needs of the Chinese military, instead allowing the weapons producers to advance their own institutional interests at the expense of the PLA.106 The defense reforms of the late 1990s allowed the PLA, through the GAD, to take the lead in dictating procurement requirements based on actual need.107 While the reforms did not specifically address resource competition among the service branches, they did provide a mechanism for the PLAAF to align procurement with its strategic development objectives. Leadership support for increased airpower capability also helped the PLAAF advance its procurement agenda.