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1. Renew SBIR, Just Defend the Recipients against China

Author:
Charles Wessner and Sujai Shivakumar
Publication Date:
09-2022
Content Type:
Special Report
Institution:
Center for Strategic and International Studies
Abstract:
An April 2021 internal report by the Department of Defense (DOD) found that companies funded by the DOD’s Small Business Innovation Research (SBIR) program are being targeted by state-sponsored Chinese firms. Based on an examination of a sampling of SBIR award recipients, the Pentagon study concluded that “nearly all cases show that China, not the U.S., is the ultimate beneficiary of DoD and other U.S. government research investments, some of which are significant in size.” The study’s authors cautioned that the study sample was small and that their methodologies warrant review, but their findings are clearly a matter of concern for U.S. policymakers. This justified concern, however, seems to have morphed into quite a different approach. Citing the Pentagon study’s findings, Senator Rand Paul (R-KY), the senior Republican on the Senate Small Business and Entrepreneurship Committee, said in June 2022 that he would not support reauthorizing the SBIR program “without reforms to strengthen research security and stop abusive behavior by bad actors lining their pockets with taxpayer dollars.” In a move unrelated to national security, Senator Paul and several other lawmakers are also seeking limits on the number of awards that can be made to individual SBIR companies. (There is no empirical basis for such a restriction, nor could it be effectively implemented, but the proposed measure emerges anew as SBIR comes up for reauthorization.) The risks, however, are real. The Wall Street Journal reported in July that SBIR and the related Small Business Technology Transfer (STTR) program face “an overhaul or outright extinction” if Congress does not renew their budgets and funding runs out at the end of September. The DOD has already canceled a round of SBIR award solicitations “because of uncertainty over the program’s future.”
Topic:
Security, Defense Policy, Intellectual Property/Copyright, Business, and Rivalry
Political Geography:
China, Asia, North America, and United States of America

2. It's Moving Time: Taiwanese Business Responds to Growing U.S.-China Tensions

Author:
Scott Kennedy
Publication Date:
10-2022
Content Type:
Special Report
Institution:
Center for Strategic and International Studies
Abstract:
A new report by the CSIS Trustee Chair in Chinese Business and Economics interprets a formal survey of over 500 Taiwanese business executives, documenting their views about the evolving environment on the island and beyond. The Washington policy community is quite familiar with the views that U.S. and European companies hold toward China, but less clear are the views of Taiwanese companies that are central to the story of the world’s interaction with China. Their opinions have implications for Taiwan’s economic trajectory, cross-strait relations, global supply chains, and the effectiveness of U.S. policy in the region. The report documents that Taiwanese companies are highly concerned about their potential overdependence on the Chinese economy and the possibility of a military conflict. As a result, there is significant support for expanding trade and investment ties via regional arrangements and bilaterally with the United States, as well as for maintaining Taiwan’s technological edge through more spending on research and development and broadening restrictions for technology transfer to China. But perhaps the most noteworthy finding is that Taiwanese companies appear to be moving their businesses at record levels from Mainland China, but also from Taiwan. This report, by Trustee Chair Scott Kennedy, explains how the survey was carried out, then analyzes the sources of Taiwanese companies’ anxieties and the ways they are responding, and concludes by considering the policy implications for all parties involved. The report’s appendix provides a full summary of the original survey results.
Topic:
Security, Defense Policy, Territorial Disputes, Business, Conflict, and Rivalry
Political Geography:
China, Taiwan, Asia, North America, and United States of America

3. What If . . . Alternatives to a Chinese Military Invasion of Taiwan Image

Author:
Benjamin Jensen, Riley McCabe, and Adrian Bogart
Publication Date:
10-2022
Content Type:
Special Report
Institution:
Center for Strategic and International Studies
Abstract:
With the 20th Party Congress approaching and Xi Jinping seeking an unprecedented third term, it is important to explore the full range of actions Beijing could take to coerce Taiwan over the next 10 years. History provides a range of historical cases that suggest alternatives to a full-scale invasion. As part of its On Future War series, the CSIS International Security Program adapted six historical cases of coercion China could use to target Taiwan short of a costly amphibious invasion. The report looks back to look ahead, using the logic of historical cases ranging from the 1948 Berlin Airlift to the 1980s Tanker War in the Arabian Gulf to identify ways and means Beijing could use to compel Taiwan. The resulting range of scenarios point toward an urgent need to develop new escalation management frameworks supporting the new integrated deterrence strategy.
Topic:
Security, Defense Policy, Military Strategy, and Conflict
Political Geography:
China, Taiwan, and Asia

4. “Reunification” with Taiwan through Force Would Be a Pyrrhic Victory for China

Author:
Jude Blanchette and Gerard Dipippo
Publication Date:
11-2022
Content Type:
Policy Brief
Institution:
Center for Strategic and International Studies
Abstract:
Many commentators and officials speculate about Beijing’s plans to compel “reunification” with Taiwan. Much of the existing commentary focuses on how or when a Chinese attack on Taiwan could occur, but there is little discussion of the nonmilitary consequences of such a scenario for China and the world. This brief explores the implications of a Chinese attack on Taiwan based on reasonable, albeit speculative, assumptions. When considered more holistically, the implications of an attack on Taiwan would be grim for Beijing, even if Chinese forces “successfully” capture the island. China would probably be diplomatically and economically isolated from key advanced economies, and Chinese leader Xi Jinping would have to tread a narrow path to avoid dire consequences for China and the Chinese Communist Party (CCP) as a whole. This analysis helps clarify what could be at stake for the world and reaffirms the importance of deterring Beijing from contemplating such an attack on Taiwan.
Topic:
Security, Defense Policy, Military Strategy, and Conflict
Political Geography:
China, Taiwan, and Asia

5. China’s New 2019 Defense White Paper

Author:
Anthony H. Cordesman
Publication Date:
07-2019
Content Type:
Working Paper
Institution:
Center for Strategic and International Studies
Abstract:
For all the furor over Iran and the Gulf, or Britain and Brexit, the most important foreign news of the month is what would normally be a relatively obscure Chinese official document: China’s National Defense in the New Era. This White Paper was issued on July 22nd in both Chinese and English. Unlike China’s previous defense white papers — the most recent of which came out in 2015 and was blandly reassuring to the point of being vacuous — the new White Paper picks up the gauntlet that the U.S. threw down in its 2017 National Security Strategy and in 2018 National Defense Strategy. Both of these documents effectively made China the key objective in strengthening U.S. military forces and single it out as America’s primary strategic competitor. China’s National Defense in the New Era is a clear and detailed 51-page response to the massive shift in U.S. strategy from a focus on counterterrorism and extremism to competition and possible conflict with China and Russia. It flags the fact that America and China are now competing superpowers, and that China’s growing military forces are developing to the point where they will be able to challenge the United States. More than that, the detailed contents of the White Paper are a direct response to the official U.S. reports on Chinese Military Power issued by the Office of the Secretary of Defense and by the Defense Intelligence Agency.
Topic:
Defense Policy, Intelligence, Military Strategy, and Conflict
Political Geography:
China, Asia, North America, and United States of America

6. Korea, the JCPOA, and the Shifting Military Balance in the Gulf

Author:
Anthony H. Cordesman
Publication Date:
03-2019
Content Type:
Working Paper
Institution:
Center for Strategic and International Studies
Abstract:
The analysis concludes that the sudden breakdown in the latest round of U.S.-Korean nuclear arms control talks in Vietnam should scarcely come as a surprise to anyone. Both sides sought too much too soon and did so despite a long history of previous failures. Heads of state engaged before their staffs had reached a clear compromise and did so seeking goals the other leader could not accept. It is not clear that an agreement was reachable at this point in time, but each side's search for its "best" ensured that the two sides could not compromise on the "good." This failure sent yet another warning that agreements like the Joint Comprehensive Plan of Action (JCPOA) nuclear arms agreement with Iran that offers major progress in limiting a nation's nuclear weapons efforts can be far better than no agreement, and of the danger in letting the perfect become the enemy of the good. The failed U.S. negotiations with Korea sends a warning that any set of compromises that preserves Iran's compliance with the JCPOA, and creates a structure where negotiation can continue, will be better than provoking a crisis with Iran that can end in no agreement at all and alienate America's European allies in the process.
Topic:
Defense Policy, Arms Control and Proliferation, Diplomacy, Military Strategy, Denuclearization, and JCPOA
Political Geography:
Iran, Middle East, Asia, South Korea, North Korea, North America, and United States of America