Disquiet as China raises military spending to more than $100 billion

Asian neighbours, however, have been nervous about Beijing’s expanding
military, and this latest double-digit rise could reinforce disquiet in
Japan, India, Southeast Asia and self-ruled Taiwan, which China considers
part of its territory.

Mr
Obama
has sought to reassure Asian allies that the United
States
will stay a key player in the area, and the Pentagon has said
it will “rebalance toward the Asia-Pacific region”.

“Eleven per cent, for a Chinese defence budget, is what I would
characterise as a reasonably sizeable increase,” said C Uday Bhaskar, a
former director of India’s Institute for Defence Studies and Analyses in New
Delhi.

“It also, I would say, goes beyond the normal pegging we do for
inflation, and it would be noted with great interest and concern by China’s
principal interlocutors,” he said.

Mr Obama’s proposed budget for the fiscal year of 2013 calls for a Pentagon
base budget of $525.4 billion (£332 billion), about $5.1 billion less than
approved for 2012.

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