Obama Caves to Chinese on Bond Dumping Threat Over Sub Sale
-- An Ekklesia in the Wilderness Investigative Report –

Taiwan Discovers Chinese Submarine in Territorial Waters Near Top Naval Base (A nation under constant threat of Chinese attack)

Taiwan Navy denies newspaper report

1 /31 /2010

TAIPEI (Taiwan News) – A Chinese submarine crossed into territorial waters close to Taiwan’s largest naval base last week, reports said Sunday.

The unidentified vessel was moving just 24 nautical miles southwest from the Tsoying base in Kaohsiung last Wednesday morning as Taiwan’s navy was holding maneuvers close by, the Chinese-language United Evening News reported. A Navy spokesman denied the newspaper story later Sunday.

The submarine first appeared on the sonar of a Taiwanese S-70C anti-submarine helicopter. The Taiwanese frigates on a drill nearby were put on full alert and joined the search. The submarine never responded to requests and left the area shortly later, leading to speculation that it was Chinese, the paper said.

As soon as the news came back to the capital, navy chiefs gathered at secret navy and military war command centers in the Taipei neighborhood of Dazhi to monitor the situation, according to the United Evening News.

The area where the Chinese submarine was found, formed part of a zone frequently covered by the Taiwanese anti-submarine helicopters, the paper said. It was by coincidence that one helicopter found the unidentified vessel.

It was also highly unusual for a foreign submarine to be found inside Taiwan’s territorial waters, the paper said. The navy told the vessel to leave the waters if it was friendly, but no response came. Frigates helping with the search did not find the vessel and continued with maneuvers until January 29, according to the paper.

The alleged Chinese submarine intrusion came as President Ma Ying-jeou was traveling overseas on official visits to Honduras and the Dominican Republic and just before the United States approved the sale of a weapons package to Taiwan, a cause for anger in Beijing.

Despite a warming of trade relations over the past year and a half, China still has more than 1,000 missiles targeted at Taiwan.

Hsia Te-yu, a spokesman for the Navy Command, denied the newspaper story later on Sunday. He said the navy picked up a signal under the water, but determined it was not a submarine.

If it had been, the navy would have dropped deep-sea bombs or forced the submarine into a precise location to force it to the surface, Hsia said. As to what the signal was, he said that even schools of fish or the uneven surface of the sea floor might have been responsible.

We offer three articles that have been written over the last few days – The first is of a sale of old submarine to beef up Taiwan’s defences after Chine had a sub just outside of Taiwan’s most secure naval station.

US Still Assessing Sale of F16 Fighters and Submarines to Taiwan

Central News Agency
01-31 -2010 09:05 PM

Taipei, Jan. 31 (CNA) The government is still negotiating with the United States over the sale of advanced F-16 C/D fighter planes and diesel-electric submarines to Taiwan, Premier Wu Den-yih said Sunday after the two items were left out of an arms package intended for Taiwan.

Washington is still evaluating the sale of the two weapons systems coveted by Taipei, Wu said, a day after the U.S. government did not include them in the US$6.4 billion arms package it approved for sale to Taiwan on Friday.

The package consists of two Osprey Class mine hunting vessels, 60 UH-60M Black Hawk helicopters, 114 Patriot Advanced Capability-3 missile systems, 12 ATM-84L and RTM-84L Harpoon Block II Telemetry missiles and a range of telecommunications equipment.

On whether the price tag of the U.S. package was higher than expected, Wu said the government will calculate the price of each item based on the price list provided by the U.S. and make a purchasing decision only after careful evaluation.

"We have to figure out whether there is a price difference, " Wu added.

Buying weapons at a reasonable price for the country's self-defense is the government's basic guideline, Wu said, noting that the government will handle the deal based on this principle.

The purchase of F-16C/D jets and submarines is still under discussion, and Washington is evaluating the sale, but negotiations on the submarines will be difficult because of their very high price, Wu said.

The premier refused to characterize the announcement of the arms sales as part of an effort to mend fences following a dispute between the two countries over Taiwan's restriction of some U.S. beef imports.

Taiwan and the U.S. have long maintained a strong friendship and share common values and interests, Wu said, and the beef dispute was simply trade friction that would not impact arms sales, relations and the friendship between the two sides.

He stressed that Taiwan's government will work to mend the friction between the two countries with sincerity and concrete action.

Ministry of National Defense spokesman Yu Sy-tue said Tuesday that Taiwan will seek to buy modern weapons, equipment and other supplies for self-defense through various channels.

Yu said he believes the U.S. will evaluate the balance of military power between China and Taiwan, and he hoped that Washington would continue to provide the island with defensive weapons according to the Taiwan Relations Act.

On whether the price tag of the U.S. package is too high, the spokesman said the ministry has not yet received relevant documents from Washington and once they are received, the ministry would carefully assess whether the budget request is fair.

Yu also said the government will do its utmost to negotiate with the U.S. to protect the country's interests.

(By Lee Shu-hua and Y.L. Kao)

The second article in this series is of China’s fury and threats over the US supplying Taiwan 8 old Diesel subs to offer them some defense again Chinese Subs and the Chinese navel buildup that has been going on for the last four years,

China PLA Officers Urge Economic Punch Against US
BEIJING (Reuters) - Senior Chinese military officers have proposed that their country boost defense spending, adjust PLA deployments, and possibly sell some U.S. bonds to punish Washington for its latest round of arms sales to Taiwan.

The calls for broad retaliation over the planned U.S. weapons sales to the disputed island came from officers at China's National Defence University and Academy of Military Sciences, interviewed by Outlook Weekly, a Chinese-language magazine published by the official Xinhua news agency.

The interviews with Major Generals Zhu Chenghu and Luo Yuan and Senior Colonel Ke Chunqiao appeared in the issue published on Monday.

The People's Liberation Army (PLA) plays no role in setting policy for China's foreign exchange holdings. Officials in charge of that area have given no sign of any moves to sell U.S. Treasury bonds over the weapons sales, a move that could alarm markets and damage the value of China's own holdings.

While far from representing fixed government policy, the open demands for retaliation by the PLA officers underscored the domestic pressures on Beijing to deliver on its threats to punish the Obama administration over the arms sales.

"Our retaliation should not be restricted to merely military matters, and we should adopt a strategic package of counter-punches covering politics, military affairs, diplomacy and economics to treat both the symptoms and root cause of this disease," said Luo Yuan, a researcher at the Academy of Military Sciences.

"Just like two people rowing a boat, if the United States first throws the strokes into chaos, then so must we."

Luo said Beijing could "attack by oblique means and stealthy feints" to make its point in Washington.

"For example, we could sanction them using economic means, such as dumping some U.S. government bonds," Luo said.

The warnings from the PLA come after weeks of strains between Washington and Beijing, who have also been at odds over Internet controls and hacking, trade and currency quarrels, and President Barack Obama's planned meeting with the Dalai Lama, the exiled Tibetan leader reviled by China as a "separatist."

MILITARY SPENDING BOOST

Chinese has blasted the United States over the planned $6.4 billion arms package for Taiwan unveiled in late January, saying it will sanction U.S. firms that sell weapons to the self-ruled island that Beijing considers a breakaway province of China.

China is likely to unveil its official military budget for 2010 next month, when the Communist Party-controlled national parliament meets for its annual session.

The PLA officers suggested that budget should mirror China's ire toward Washington.

"Clearly propose that due to the threat in the Taiwan Sea, we are increasing military spending," said Luo.

Last year, the government set the official military budget at 480.7 billion yuan ($70.4 billion), a 14.9 percent rise on the one in 2008, continuing a nearly unbroken succession of double-digit increases over more than two decades.

The fresh U.S. arms sales threatened Chinese military installations on the mainland coast facing Taiwan, and "this gives us no choice but to increase defense spending and adjust (military) deployments," said Zhu Chenghu, a major general at China's National Defence University in Beijing.

In 2005, Zhu stirred controversy by suggesting China could use nuclear weapons if the United States intervened militarily in a conflict over Taiwan.

The United States switched official recognition from Taiwan to China in 1979. But the Taiwan Relations Act, passed the same year, guarantees Taiwan a continued supply of defensive weapons.

China has the world's biggest pile of foreign currency reserves, much of it held in U.S. treasury debt. China held $798.9 billion in U.S. Treasuries at end-October.

But any attempt to use that stake against Washington would probably maul the value of China's own dollar-denominated assets.

China has condemned previous arms sales, but has taken little action in response to them. But Luo said the country's growing strength meant that time has passed.

"China's attitude and actions over U.S. weapons sales to Taiwan will be increasingly tough," the magazine cited him as saying. "That is inevitable with rising national strength."

Here now is the third article that says Taiwan for no reason suddenly decides to withdraw their request for subs to defend their nation with. – This sudden change of heart has only occurred for one reason OBAMA Blinked , OBAMA CAVED, OBAMA THREW TAIWAN UNDER THE BUS, OBAMA HAS BETRAYED ONE OF AMERICA”S STAUNCEST ALLIES, OBAMA SURRENDERED.

Taiwan drops request for U.S. military subs: source

TAIPEI (Reuters) - Taiwan has effectively dropped a request for U.S. submarines to help shore up the balance of power with political rival China, a military source said on Tuesday, dissolving what could be a new rift in tense Sino-U.S. ties.

Tue Feb 9, 2010

Defense officials on the island that has fallen behind in the military balance of power with China had agreed with Washington in 2008 to a study on upgrading Taiwan's aging submarine fleet but will stop pushing the item to keep peace with Beijing, said a source close to the Defense ministry in Taipei.

"Taiwan isn't asking for the submarines anymore," the source told Reuters. "The biggest consideration was the warming of relations with mainland China."

China has blasted the United States over a planned $6.4-billion arms package for Taiwan, saying it would place sanctions on U.S. firms that sell weapons to the island.

The package would include Patriot missiles and Black Hawk transport helicopters, also part of the 2008 agreement.

Taiwan still hopes to get advanced U.S.-made F-16 jets though, to boost its existing fleet to deal with China's growing numbers of Russian-designed Su-30 and Su-27 fighters.

A submarine sale would further ignite Beijing's anger toward Washington and could turn it against Taiwan, which has avoided China's wrath over the recent arms proposal.

Taiwan has sought peace with China since Beijing-friendly island President Ma Ying-jeou took office in 2008, brokering a series of trade and tourism deals.

China has claimed sovereignty over self-ruled Taiwan since 1949, when Mao Zedong's forces won the Chinese civil war and Chiang Kai-shek's Nationalists fled to the island. Beijing has threatened to attack if Taiwan declares formal independence.

Taiwan's navy includes four submarines, two of which date from World War Two and are now used only for training, according to GlobalSecurity.org.

China has more than 60 submarines, some capable of carrying nuclear ballistic missiles.

"My guess is that the submarine issue is sunk, never to surface again," said Ralph Cossa, president of the U.S. think tank Pacific Forum CSIS.

Case and point here ` ` ` ` ` ` ` ` ` ` ` ` ` ` ` ` ` ` ` `with Taiwan, Israel, South Korea, North Korea, Iran and all the eastern European Nations that flanks Russia