China: August 27, 2003


The US is pressuring Taiwan to increase it's defense budget so that it will be better prepared to dissuade a Chinese attack, or defend itself if there is a war. The US fears that a militarily weak Taiwan will put more pressure on the US to get involved fighting China to defend Taiwan. But the Taiwanese have economic problems that are considered more important than increasing defense spending. However, Taiwanese politicians understand that American support could waver if Taiwan let its defenses decline, and have pledged to $20 billion over the next 12 years improving their defenses. 


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