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China’s $15 billion military drills near Taiwan

China allocated approximately $15 billion, or 7% of its defence budget, to exercises in the Western Pacific in 2023, according to an unpublished Taiwanese estimate. This investment highlights Beijing’s focus on military activities around Taiwan and neighbouring regions. Taiwan’s armed forces conducted internal research, revealing insights into China’s defence spending amidst heightened regional tensions. Beijing considers Taiwan part of its territory and has not ruled out using force to claim the island, despite strong opposition from Taiwan. Additionally, China is involved in disputes over the South China Sea and the East China Sea with several nations.

A senior Taiwan official, informed about the research, commented on China’s resource allocation. “They are heavily investing to control the west of the First Island Chain,” the official said. The First Island Chain includes archipelagos from Indonesia to Japan, covering the South China Sea and East China Sea. Due to the sensitivity of the information, the official and two other sources chose to remain anonymous.

Taiwan’s defence ministry did not comment on the figures but acknowledged the negative impact of China’s military investments on regional peace and stability. China’s defence ministry did not respond to requests for comment. In April, Zhang Youxia, vice chairman of the Central Military Commission, criticised maritime containment and island blockades, referring to actions by the U.S. and its allies.

Taiwan’s defence ministry compiled the reports in May using surveillance and intelligence on Chinese military activity in various seas, including the Bohai Sea, East China Sea, Taiwan Strait, South China Sea, and the western Pacific Ocean. The reports estimated fuel and consumables costs for each hour of activity, totalling 110 billion yuan, including maintenance, repairs, and salaries.

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The research aimed to help Taiwanese decision-makers understand China’s military resource allocation and gauge the disparity between Beijing’s intentions and capabilities. The 110 billion yuan figure represents about 85% of Taiwan’s 2023 defence budget and 7% of China’s reported military spending of 1.55 trillion yuan, though experts believe China’s actual spending is higher.

Retired Taiwanese Navy Lieutenant Commander Lu Li-shih noted the opacity of China’s defence budget, describing it as a “black hole.” Both Washington and Beijing have increased military exercises in Asia, though China’s drills are less extensive. China’s state-backed Global Times newspaper stated that deploying carrier groups in the Western Pacific was not just about Taiwan but also preparing for operations far out at sea.

China's 15 billion military drills near Taiwan

Experts considered the reports’ methodology plausible but acknowledged some guesswork. Direct comparisons of military exercise spending are challenging, as data on U.S. spending for such activities is unavailable. However, the U.S. Department of Defense plans to spend $9.9 billion next year on the Pacific Deterrence Initiative to counter China’s military build-up.

China has intensified military activities near Taiwan, with over 9,200 flights by Chinese aircraft and more than 70,000 naval sailings in 2023, amounting to significant hours in the air and at sea. Nearly 40% of these naval journeys occurred in the South China Sea, 20% in the East China Sea, and 15% in the Taiwan Strait.

Taiwan reported that approximately 1,700 Chinese military planes entered its air defence identification zone this year, slightly more than in all of 2023. In May 2024, China conducted “punishment” drills around Taiwan following President Lai Ching-te’s inauguration. These exercises cost about $13.17 million in fuel and consumables, excluding personnel and maintenance costs.

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During the two-day “Joint Sword – 2024A” war games, Chinese air and naval forces spent around 300 hours in the air and made about 90 trips. Chieh Chung, a researcher at the Association of Strategic Foresight in Taipei, stated that the Chinese military is increasing combat readiness, with more aircraft and pilots capable of conducting such missions.

What Other Media Are Saying
  • Japan Ministry of Defense provides an overview of China’s military activities in the East China Sea, Pacific Ocean, and Sea of Japan, emphasizing the rapid expansion and intensification of these activities.(read more)
  • The New York Times reports on China’s extensive military drills in the Western Pacific, involving over 60 naval vessels and warplanes, as a response to U.S. pressure.(read more)
  • 2023 Chinese military exercises around Taiwan is a series of military exercises carried out by the People’s Liberation Army (PLA) of the People’s Republic of China (PRC) in response to Taiwanese President Tsai Ing-wen’s visit to the U.S., involving the dispatch of fighter jets and warships toward Taiwan and leading to a standoff between Chinese and Taiwanese navies.(read more)
Frequently Asked Questions

Here are some common questions asked about this news

How much did China spend on military exercises in the Western Pacific in 2023?

China spent about $15 billion on military exercises in the Western Pacific in 2023.

Why is China increasing its military presence around Taiwan?

China is increasing its military presence to assert control over Taiwan and the surrounding region.

How many hours did Chinese naval forces spend at sea in 2023?

Chinese naval forces spent more than 1.7 million hours at sea in 2023.

What did Taiwan’s defence ministry say about China’s military spending?

Taiwan’s defence ministry said China’s military spending negatively impacts regional peace and stability.

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