Word: radars
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...scheduled to decide which new weapons to sell to Taiwan. The sales are ticklish every year, but never more so than now, when a new Administration wants to underscore its distance from China and an independence-minded Taiwan is bidding for the Navy's most advanced antimissile radar system...
China adamantly opposes letting Taiwan buy four guided-missile destroyers equipped with Aegis radar that can sound an alarm the millisecond a Chinese M-9 missile is fired from the mainland, 160 km away. Beijing fears the new systems would give the island a military edge, whereas Taiwan says the Aegis would merely even the score against the 300 mainland missiles aimed at it. Beijing is also worried that the radar could eventually allow Taiwan to link up with Washington's regional defense shield. "Of all the arms the U.S. could sell, Aegis is the worst," says China's chief...
China's leaders are vulnerable at a number of pressure points. They are trying to persuade Washington to spurn Taiwan's requests for an advanced antimissile radar system and are desperately trying to win this July's vote by the International Olympic Committee for China to be host to the 2008 Summer Games. Gao's lawyer, Jerome Cohen, therefore holds out hope. "When a dispute gets to that level, intelligent leaders won't want to damage themselves over a nothing case," he says. China may also be particularly sensitive now, as news broke last week of the defection in December...
...sure to roil already turbulent relations with the U.S., but could actually work to China's advantage: Beijing might be able to use the academics as bargaining chips in its dealings with Washington. The Bush administration will likely decide this month whether to sell an advanced early-warning radar system to Taiwan. China also needs U.S. support for its final push to join the World Trade Organization, and the International Olympic Committee will vote in July on Beijing's bid to host the 2008 Summer Games. China has a history of timing the release of prominent prisoners to the political...
...Japan is suddenly registering on Washington's radar screen again, it's because a Japan in free fall coupled with a U.S. slowdown could imperil the world's economy. A deflated yen, already at 20-month lows, could tilt the trade imbalance further in Japan's favor. And the noise of a bursting stock-market bubble heard across the U.S. last week sounded eerily similar to what Japan experienced a decade ago. "It wasn't a miracle for Japan in the 1980s," says Tadashi Nakamae, an economist who co-authored the alarmist tome Wake Up, Japan! "And it wasn...