China Threat: Government, Private Sector Must Respond

Even as national-security adviser Jake Sullivan met with China’s foreign minister in Malta last weekend, China’s military sent more than 100 aircraft and nine ships to the waters around Taiwan. China’s unrelenting pressure campaign in Taiwanese airspace, its significant military buildup, and Xi’s unsubtle hints about using force to absorb the island have led many leaders in the U.S. and around the world to believe that China could one day use force against Taiwan.

Yet the looming threat — however far off it may be — of Chinese action against Taiwan has not led the U.S. government and private sector to make the strategic and regulatory changes needed to hedge against the possibility of major geopolitical shock. The public and private sectors seem to be waiting for the next flash point before acting, and both risk being caught flat-footed.

MR

About the Author

Megan Reiss

Megan Reiss is a nonresident senior fellow at the Atlantic Council's Scowcroft Strategy Initiative.

About the Author

Mike Watson

Mike Watson was the deputy director of the Center for Strategy and American Statecraft at the Hudson Institute.

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Even as national-security adviser Jake Sullivan met with China’s foreign minister in Malta last weekend, China’s military sent more than 100 aircraft and nine ships to the waters around Taiwan. China’s unrelenting pressure campaign in Taiwanese airspace, its significant military buildup, and Xi’s unsubtle hints about using force to absorb the island have led many leaders in the U.S. and around the world to believe that China could one day use force against Taiwan.

Yet the looming threat — however far off it may be — of Chinese action against Taiwan has not led the U.S. government and private sector to make the strategic and regulatory changes needed to hedge against the possibility of major geopolitical shock. The public and private sectors seem to be waiting for the next flash point before acting, and both risk being caught flat-footed.