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Confronting China’s Dominance in the Shipbuilding Industry

China has become the dominant player in global shipbuilding, constructing both commercial ships and military warships. The country’s “military-civil fusion” strategy enhances its naval capabilities, facilitated by foreign companies’ investments and technology transfers. U.S. policymakers are urged to collaborate with allies to counter these threats and bolster domestic shipbuilding capacity.

China has rapidly emerged as the leading power in global shipbuilding, overshadowing the United States and its allies. The nation not only constructs a vast number of commercial vessels but also produces military warships for its expanding navy. Through its “military-civil fusion” strategy, China effectively utilizes resources from its commercial shipbuilding sector to advance its naval modernization efforts. Unfortunately, foreign firms inadvertently contribute to this enhancement by purchasing Chinese vessels and sharing dual-use technology with local shipyards.

In response to these developments, U.S. policymakers must urgently collaborate with allied nations to mitigate the economic and national security risks presented by China’s shipbuilding capabilities. The report outlines a comprehensive policy roadmap that will enable the U.S. to disrupt China’s military-civil fusion strategy. Furthermore, it seeks to weaken China’s dominance in the shipbuilding market while simultaneously boosting shipbuilding capabilities in the United States and its key partner nations.

In summary, China has solidified its position as a leader in shipbuilding, combining its commercial and military capabilities through an effective strategy. The U.S. and its allies must unite and develop a strategic response to safeguard their economic interests and national security against this growing challenge. Proactive measures to diminish China’s market control and increase domestic capacity are essential in this regard.

Original Source: www.csis.org

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