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WILL CHINA REACT DIFFERENTLY THIS TIME?

China's previous reactions to major US arms sales to Taiwan over the past 20 years have followed a pattern. They issue strongly worded statements, warning of dire consequences. They break off military exchanges (when they have existed). And they reiterate talking points, saying that the US is interfering in the internal affairs of China, threatening China's national security, and, since President Ma Ying-jeou took office in Taiwan, inhibiting China-Taiwan détente.

 

China also has put pressure on US business with divisions that sell defense equipment to Taiwan, although this has had limited effect as US companies are in no position to refuse participation in government-to-government sales to Taiwan through the Foreign Military Sales (FMS) system.

 

In due course, however, US-China relations have always returned to their own equilibrium. Economic interdependence and political necessity constrain China from allowing the Taiwan issue to dominate the relationship.

 

Will this time be different? China's political and economic stature have given it a self image of a world power equal to the United States. Chinese leaders may see US economic dependence on China's willingness to purchase US Treasury Bonds as leverage they can and should use. And they may believe that Barack Obama is a US President they can pressure.

 

Chinese leaders have demonstrated in the past a willingness to subjugate national interest to national pride. They could overplay their hand. More likely however, they won't. They know they can't inflict pain on the US without inflicting pain on themselves. Their economic growth is too dependent on the US market and, since 1949, China-Taiwan relations have never been better.


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