From: officialflagrant

China has historically pursued economic strategies that have significantly increased its global influence, a trend observed and analyzed by intelligence professionals. From approximately 1980 to 2010, China primarily focused on economic diplomacy through initiatives like the Belt and Road Initiative (originally the Silk Road Initiative) [01:24:04]. This approach led to what is termed the “China Miracle,” where the average annual income per capita in China increased tenfold, from 5,000, across a population of 1.4 billion people [01:24:32]. During this period, China positioned itself as the world’s manufacturer, warehouse, and workforce [01:25:07].

Evolution of Strategy Under Xi Jinping

Under Xi Jinping, China’s long-term vision shifted from being the world’s manufacturer to becoming the world’s technological alternative to the United States [01:25:16]. This includes a strategic emphasis on developing its own military industrial complex [01:23:46]. This new approach requires conflict to properly utilize its military production [01:26:09].

Military Buildup and Expansion

Over the past five years, China has aggressively pushed to change its economic foundation away from manufacturing towards technology [01:26:11]. China’s investment in its military industrial complex has outpaced its GDP growth, with investments reaching 9% compared to an expected 4% based on GDP [01:29:46]. This overspending on military development indicates a strategic shift.

China’s approach to global power differs from the U.S. in that it aims for “small incremental gains” rather than a sudden, dominant victory [01:26:50]. This strategy aims to achieve economic parity with the United States, which is projected by economic experts to occur by 2030 if current trends continue [01:33:15]. Achieving parity would significantly transform the U.S. security status, as it would no longer be the sole dominant power [01:27:04].

China has also normalized military exercises around Taiwan, including within its air and naval space, as a first stage towards military industrial domination, focusing on protecting its homeland before expanding its reach abroad [01:30:13]. They are already engaging in proxy wars across Southeast Asia and Africa [01:27:32].

Economic Diplomacy and Soft Power

China’s surplus revenue from its rapid economic growth has allowed it to extend loans to impoverished countries at rates no Western nation could compete with, effectively following and improving upon models used by entities like the World Bank [01:31:57]. This has led to the acquisition of long-term leases and land rights in places like the Caribbean, Central America, and parts of South America [01:32:37].

China’s influence strategy differs from the U.S. in its method of execution. While the U.S. relies on incentives, China uses enforcement: “do it this way or you’ll be punished” [01:35:44]. This is exemplified by its actions in Hong Kong, where it systematically changed legislative values using legal methods, eventually bringing citizens under Chinese laws [01:36:10]. Similar influence is seen in Taiwan, where despite an anti-China president, the dominant party in Congress is pro-China [02:35:07].

Chinese Espionage and Intelligence

Chinese intelligence operations are increasingly active against the U.S. [01:39:09]. There have been instances of Chinese secret police stations operating in the United States and Canada [01:36:50]. The core ideology for Chinese individuals, even immigrants, is “Chinese first,” fostering loyalty to family and homeland [01:37:11].

China actively recruits from the U.S. tech and military sectors [01:38:40]. Record-breaking arrests in the last five years indicate significant Chinese espionage in the U.S. [01:38:50]. For every arrest, there are an estimated nine more operations not yet caught [01:39:00]. Recruitment tactics leverage the debt-driven culture and financial anxieties in the U.S., offering monetary “salvation” for secrets [01:40:10]. Additionally, China exploits cultural taboos, particularly around sexuality in the U.S., engaging in “sexpionage” to compromise individuals [01:41:21].

Comparison with U.S. Strategies

Unlike the U.S., which operates on four- or eight-year policy cycles due to presidential terms [03:31:40], China employs a 50-year plan [03:28:30]. This long-term vision allows China to consistently pursue its objectives. The U.S. often prioritizes economic disparity because it conveniently aids military recruitment [03:15:47].

The U.S. post-World War II strategy focused on rebuilding countries and promoting democracy, thereby fostering reliance on the U.S. [02:15:58]. However, this democratic model, with its emphasis on individual freedoms and rights, means that authoritarian countries will always be faster at developing weapons because they face fewer barriers and hurdles [03:19:39]. This inherent slowness is a trade-off for the power of democracy [03:20:00].