China’s massive Pacific air force drill just the start of even bigger shows of might against US, experts predict

https://i1.wp.com/cdn1.i-scmp.com/sites/default/files/styles/980x551/public/images/methode/2016/09/28/350bcb84-84ad-11e6-8fff-f52227c06034_1280x720.jpg

A state media photo shows a Chinese Su-30 fighter (right) flying with a H-6K bomber as they take part in a drill near the East China Sea on Sunday. Photo: Xinhua

 

Long-range drills and patrols the Chinese military held in the Western Pacific on Sunday demonstrated the nation’s ability to counter US interference in the South China Sea issues, Chinese military experts have said.

The unprecedented exercise involved more than 40 aircraft from different aviation teams, indicating the air force would join with the navy, rocket forces or other military arms to conduct additional large joint operational exercises in the region in the future, they added.

Air force spokesman Shen Jinke said H-6K bombers, Su-30 fighters and air tankers conducted reconnaissance and early warning drills, simulated attacks on sea targets, and carried out in-flight refuelling. Continue reading

Russia’s Newest Nuclear Submarine Arrives in Pacific Ocean

Now the Russian Pacific Fleet has announced the arrival of its latest nuclear submarine, Vladimir Monomakh, to its new permanent deployment base in the far-eastern Kamchatka Peninsula. The peninsula has access to the Sea of Okhotsk, shared between Russia and Japan and the Bering Sea, shared by U.S. and Russia. Continue reading

China, Cuba agree to deepen ties during PM Li’s Havana visit

HAVANA (Reuters) – Chinese Prime Minister Li Keqiang met with Cuban President Raul Castro on Saturday during a two-day trip to Havana, and the two leaders oversaw the signing of around 30 agreements on economic cooperation in various sectors, Cuban state media reported.

Li is the first Chinese premier to visit Cuba since the two countries established diplomatic relations 56 years ago, although President Xi Jinping visited in 2014. Continue reading

China flies military planes over strait near Japan

Beijing (AFP) – China has sent fighter planes for the first time over a strait near Japan, the two governments said Monday, after Tokyo announced it may patrol alongside the US in the disputed South China Sea.

More than 40 Chinese military aircraft on Sunday traversed the Miyako Strait between Japan’s Miyako and Okinawa Islands, to carry out training in the West Pacific, according to a statement on China’s defence ministry website.

The Sukhoi Su-30 fighters, bombers and refuelling aircraft did not violate Japanese airspace. Continue reading

Sea Change In The Middle East

America’s view of the Middle East today is shaped by our wars in Iraq and Afghanistan, the rise and reach of ISIS, a grinding conflict in Syria, the region as a source of wider ranging terrorism and staggering outflows of refugees that are changing the political calculus in Europe. The images that characterize and shape American involvement there are of arid landscapes and rubble from wanton destruction, our soldiers and marines in desert camouflage and videos of surgical airstrikes.  However, the image of the beginning of our involvement in the Middle East is a rarely viewed February 1945 photo of President Franklin Roosevelt meeting with Saudi King Abdul Aziz aboard the USS Quincy in the Suez Canal.  As our strategic role in the Middle East began with a meeting on the water so, too, are consequential changes there taking place at sea – the domain in which the U.S. has enjoyed unfettered access and dominance for over seventy years.   Assuming continued uncontested American maritime dominance in that vital region is a grave strategic misstep – key Asian powers have turned to the sea, they understand fully what is at stake, and they have come to play.

Continue reading

China facing full-blown banking crisis, world’s top financial watchdog warns

China has failed to curb excesses in its credit system and faces mounting risks of a full-blown banking crisis, according to early warning indicators released by the world’s top financial watchdog.

A key gauge of credit vulnerability is now three times over the danger threshold and has continued to deteriorate, despite pledges by Chinese premier Li Keqiang to wean the economy off debt-driven growth before it is too late.

Continue reading

Japan steps up activity in disputed South China Sea region

JAPAN has announced its intention to step up its activity in the disputed South China Sea region.

Japanese Defense Minister Tomoomi Inada said the country will conduct joint training patrols with the United States and bilateral and multilateral exercises with regional navies, Reuters reports.

Inada justified the decision by saying Japan shared similar concerns with the US about China’s rise to power and aggressive pursuit of territorial claims. Continue reading

Chinese Air Force announces ‘regular’ exercises flying through key entryway into western Pacific

A Chinese H-6K bomber patrols islands and reefs in the South China Sea in this undated photo. | XINHUA NEWS AGENCY / AP

 

China’s People’s Liberation Army Air Force has announced that it will be organizing “regular” exercises that fly past the so-called first island chain — a key entryway into the western Pacific that includes Japan’s Ryukyu Islands and Taiwan.

In the latest exercise, air force spokesman Shen Jinke said China had sent a fleet of aircraft that included H-6K bombers, Su-30 fighters and air tankers over the Bashi Strait and into the western Pacific for a “routine” combat simulation drill Monday, state media reported. Continue reading

Russia and China Taunt NATO with Show of Friendship in the South China Sea

https://i2.wp.com/moneymorning.com/wp-content/blogs.dir/1/files/2016/07/south-china-sea-graphic.jpg

 

Russia and China are preparing for joint sea naval drills this weekend (Sept. 9-11).

The military exercises between the two countries are somewhat routine – there have been five since 2012.

However, this time will be the first joint exercises between these particular allies conducted in the fiercely disputed South China Sea. Continue reading

The Coming Dollar Rally – Chaos in Europe

 

Margaret Thatcher was spot on when she warned that Britain would not join the Euro for the covert maneuvers behind the scenes was to create the federalization of Europe – their real dream to be the United States of Europe. Thatcher was betrayed by her own cabinet because some members also were dreaming to federalize Europe. Continue reading

EU’s ZOMBIE banks: ECB is destroying Europe’s finance hubs, warns leading investment bank

EUROPEAN banks are slipping into a terrifying zombie state of decline thanks to the European Central Bank (ECB), a leading investment bank has warned.

Financial firms on the continent are falling victim to a scourge already seen in Japan where firms are considered to be the undead of the world, according to JP Morgan.

Ultra low interest rates inflicted by the ECB have lowered business lending. Continue reading

Japan to grant patrol boats to Malaysia to counter China

VIENTIANE — Japanese Prime Minister Shinzo Abe will promise to give Malaysia patrol boats during Wednesday’s leaders summit between Japan and the Association of Southeast Asian Nations in Laos.

The Southeast Asian nation is locked in a territorial dispute with China over waters in the South China Sea. Tokyo and the Malaysian government are negotiating a pact in which Japan will transfer military hardware and provide technical support. Continue reading

Springboard into the Pacific Region

BERLIN/CANBERRA (Own report) – To reinforce its position in the Pacific region, Berlin is initiating a regular dialogue with Australia at foreign and defense ministerial levels. Defense Minister Ursula von der Leyen and Foreign Minister Frank-Walter Steinmeier are participating in the first “German-Australian 2+2 Dialogue” held today in Berlin. The meeting, which will be repeated at regular intervals, is one of the measures initiated in early 2013 to enhance cooperation between Berlin and Canberra, in light of the shift of global policy priority from the Atlantic to the Pacific. In view of its growing economic and political importance, Washington considers China to be its main rival of the future. Therefore US President George W. Bush (2002) and US Foreign Minister Hillary Clinton (2011) explicitly declared this to be “America’s Pacific Century,” and Washington has begun redeploying its military forces closer to the People’s Republic of China. Explicitly claiming to “help shape the global order,” Berlin also feels obliged to reinforce its position in that region.

Continue reading

IMF Concedes Central Banks Are Doomed

 

The International Monetary Fund (IMF) has warned at the G20 summit in Hangzhou, China, that in the face of crises, the refusal to reform how things are functioning will lead to economic weakness in the global economy. “The latest data show subdued activity, less growth in trade and a very low inflation, suggesting an even weaker global economic growth this year,” the IMF told G20 leaders.

Indeed, we are looking at 2016 coming in as the fifth consecutive year in which global growth will be below the average of 3.7% which prevailed between 1990 and 2007. The IMF said: “Without strong political countermeasures the world could suffer a disappointing growth” for several years to come. Christine Lagarde told world leaders: “Even in the longer term the outlook remains disappointing.” Continue reading

Japan’s military seeks record spending to counter N Korea, China moves

Japan’s defense ministry on Wednesday asked for a hike in spending to record levels, as it juggles its responses to a growing ballistic missile threat from North Korea and China’s assertive moves in the East China Sea.

If approved, the hike of 2.3% will take the defense budget to 5.17 trillion yen ($51.47 billion) in the year starting April 1, for a fifth consecutive increase as Prime Minister Shinzo Abe bolsters Japan’s military. Continue reading