The Effects of China’s Energy Security Strategy on US Interests

Erik French, Makoto Saito, and Thomas Hao Sun

1. Maritime Security

• China is concerned about the vulnerability of its sea-borne oil imports

US Interests

• To address this dilemma, China is improving its capacity to project maritime military power

• In the absence of dialogue, this destabilizes regional relations and fuels concern over Chinese intentions

China’s Power Projection Capabilities

• Building a support network– Wooing key states for port access

• Improving military hardware– Aircraft Carrier projects– Nuclear submarines (JIN-class, Type 095)– Airpower and surface combatants

2. Environmental Concerns

China’s Energy Security

• China’s growing demand for energy would lead up to a competition for world’s limited energy resource

• The strategies include bilateral/international cooperation to ensure sustainable development and world energy security

US Interests

• U.S. also need to explore new energy source to ensure energy and national security

• More consumption of fossil fuels could make it harder to address global warming

• Bilateral partnership with China to develop Clean energy has been major efforts

3. Chinese Relationship with “Rogue States”

• To meet its increasing demand, China has been relying on external cheap oil supply, “Rogue States” are among these suppliers

US Interests

• Human Right Protection and Promotion of Democracy (Sudan & Syria )

• Fighting Terrorism, Regional Security and Nuclear Non-proliferation (Sanctions on Iran)

China and “Rogue States”

• Iran: China will support Iran from the concerns of ideology, geopolitical security and energy supply. Trade increase 52% after sanctions in 2010

• Sudan: China has been relying on the oil supply from South Sudan government and projecting soft power

Policy Recommendations: Engagement• Strengthen current dialogue on climate change and

incorporate Japan

• Reform IPR policy to facilitate the transfer of green technology

• Provide incentives for US and Japanese green-tech companies to invest in China

• Promote R&D and tech-transfer for green fuels to reduce China’s dependency on oil for transport fuel

Policy Recommendations: Engagement

• Highlight mutual interests and propose an annual strategic dialogue on maritime security

• Encourage joint naval exercises and military contacts

• Ultimately, work towards a multilateral regional maritime security framework