China’s Defense Budget in Context: How Under-Reporting and Differing Standards and Economies Distort the Picture
(Source: The Heritage Foundation; issued March 25, 2020)
The aim of this Special Report is to bring transparency to comparisons between American and Chinese military expenditures. The challenges posed by the Chinese Communist Party (CCP) and its military will likely only increase in the coming years; the democratic world needs to be aware of those challenges and its build-up in order to effectively respond.

The Department of Defense needs to reorient itself fully to face the threats posed by China. The United States should continuously shine a light on the CCP’s military activities and its military build-up.

The government should also make more of its data on China’s military expenditures available to the public in order to build awareness of the challenge.

Key Takeaways

-- The Chinese Communist Party (CCP) has used the past 20 years to increase substantially its investment in its military capabilities.

-- As the U.S. enters a new era of great power competition, it will need to consistently emphasize China’s growing military investment and lack of transparency.

-- The U.S. government should make available to the American public more data on China’s military spending to build awareness on the CCP’s growing expenditures.

Click here for the full report (37 PDF pages), on the Heritage Foundation website.


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