CPDC National Security Position Paper Offers Practical Recommendations

September 4, 2020

WASHINGTON, D.C.— In the wake of an ominous new assessment by the U.S. Defense Department of Communist China’s military build-up, the Committee on the Present Danger: China (CPDC) issued the fourth in a series of short “Position Papers” that tracks with the Pentagon’s warnings and lays out specific steps that are urgently needed to address the PRC’s growing threat to our country and the world.

The 2020 edition of DoD’s annual report to Congress entitled Military and Security Developments Involving the People’s Republic of China is chock-a-block with information about the immense investment the Chinese Communist Party (CCP) is making under dictator-for-life Xi Jinping in both its military-industrial complex and the weaponry it is churning out in mind-boggling quantities. The report also underscores a key component of this ominous phenomenon: American financiers are making it possible with their reckless underwriting of CCP companies, including Chinese defense manufacturers, with the savings of millions of unwitting Americans.

As the Pentagon analysis put it in describing China’s practice of “military-civilian fusion” (MCF):

MCF encompasses six interrelated efforts: (1) fusing the China’s defense industrial base and its civilian technology and industrial base; (2) integrating and leveraging science and technology innovations across military and civilian sectors; (3) cultivating talent and blending military and civilian expertise and knowledge; (4) building military requirements into civilian infrastructure and leveraging civilian construction for military purposes; (5) leveraging civilian service and logistics capabilities for military purposes; and, (6) expanding and deepening China’s national defense mobilization system to include all relevant aspects of its society and economy for use in competition and war. (Emphasis added.)

While MCF has broader purposes than acquiring foreign technology, in practice, MCF means there is not a clear line between the PRC’s civilian and military economies, raising due diligence costs for U.S. and global entities that do not desire to contribute to the PRC’s military modernization.

Since its founding, the CPDC has warned (for example, here, here and here) that many on Wall Street are failing even to attempt to perform due diligence so as to avoid contributing to “the PRC’s military modernization.” That failure – which must be corrected – makes all the more urgent the findings and recommendations provided in the Committee’s newest Position Paper entitled The CCP Threat to U.S. National Security.” Among this paper’s highlights are the following:

The Committee on the Present Danger: China encourages executive branch officials, Members of Congress and their staff, the media and the public at large to view this and the Committee’s other Position Papers as prescriptions for a secure future for this country, its people and those of the Free World more generally.

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To interview representatives of the Committee on the Present Danger: China, contact     

Media@HamiltonStrategies.com, Patrick Benner, 610.584.1096, ext. 104, or Deborah Hamilton, ext. 102.