Tag Archives: defense procurement

Red Lines and Reversed Roles

The South China Sea controversy demonstrates how Beijing’s actions will inevitably draw Washington and New Delhi closer together.

The respective security roles that the United States and India traditionally play in East Asia seemed to switch last week. By deciding not to supply Taiwan with the new fighter aircraft it has requested, the U.S. appeared to defer to China, which had cautioned that the sale was a “red line” that must not be crossed. In contrast, New Delhi’s determined sally into the South China Sea, in defiance of Beijing’s explicit warnings, exemplified the strategic assertion that the Obama administration has been urging on India. The dichotomy offers a glimpse of the shifting power dynamics now underway in Asia and, perhaps, a preview of what the regional security order might look like beyond the horizon.

america20xy.comThe U.S. decision to refurbish Taiwan’s aging F-16 fleet rather than provide it with more sophisticated versions of the aircraft is taken by some in Asia as the latest sign of China’s ascent and America’s subsidence in the western Pacific, an area long thought of as a U.S. lake. The Associated Press reported that Philippine Defense Secretary Voltaire Gazmin sees the decision primarily as a function of Beijing’s growing financial leverage vis-à-vis Washington. “It has a large debt and if China will try to apply pressure, the U.S. can end up in trouble,” he said. “The U.S. has to temper its relations with Taiwan for China.” The report also quoted a South Korean defense analyst as saying that some in that country have reached the conclusion that it would be better to bandwagon with China than continue to adhere to the decades-old security alliance with the United States.

By striking coincidence, a similar storyline was being replicated last week in another part of the world in which Washington has long exercised sway. Treasury Secretary Timothy F. Geithner put in an unprecedented appearance at a gathering of European finance officials called to address the region’s burgeoning debt crisis. His presence was intended to signal U.S. concern about the spillover potential of Europe’s financial woes. But some in the audience did not take kindly to his telling them what to do.  Both the Austrian and Belgian finance ministers tartly questioned how the Americans could presume to dispense advice when their own fiscal house is in such visible disarray. One media commentator observed the proceedings underscore that “in the wake of the debt-ceiling debacle, Geithner has lost a significant amount of international heft.” The Europeans, on the other, are much more interested these days in China’s views. With Beijing sitting on top of the world’s largest pile of foreign exchange, regional leaders have started to look to it as a potential financial savior.

India’s actions last week, in contrast, were the very definition of foreign policy steadfastness. On a visit to Vietnam, Foreign Minister S.M. Krishna announced that the overseas arm of India’s state-owned Oil and Natural Gas Corporation (ONGC) would proceed with hydrocarbon exploration activities in the South China Sea, an energy-rich area that in claimed in almost its entirety by Beijing. China has been increasingly brusque in asserting its claim of “indisputable sovereignty” over the waters, which it last year elevated to a “core national interest.” The marker Krishna laid down comes two months after Beijing warned New Delhi against involving itself in the area and after an unusual incident between the INS Airavat, an amphibious warfare vessel, and the Chinese navy off the coast of Vietnam.

New Delhi’s temerity sparked a passionate reaction in the China Times, a nationalist tabloid affiliated with the Communist Party. It lashed out in a lead editorial that India was engaged in “a serious political provocation” that constitutes a major challenge to China’s national resolve. It urged the Chinese leadership to use “every means possible” to reverse Indian actions. And in what seemed to be a retaliatory move, Beijing quickly announced that it would expand seabed explorations in the southwestern Indian Ocean.

Media commentary in India saw things differently. A Times of India editorial averred that “India has done well to hold its ground” and termed the ONGC move as a befitting response to the infrastructure projects China is conducting in the disputed territory of Kashmir. In a similar vein, Harsh V. Pant, a well-known foreign policy expert, noted that if “China wants to expand its presence in South Asia and the Indian Ocean region, New Delhi’s thinking goes, India can do the same thing in East Asia.” And M.K. Bhadrakumar, a former Indian diplomat, called India’s actions “a historic move,” arguing that “India’s ‘Look East’ policy acquires swagger.  The Sino-Indian geostrategic rivalry is not going to be the same again.”

Observing the train of events, Time magazine’s “Global Spin” blog asked “Is This How Wars Start?” Of course, a booming bilateral economic relationship gives New Delhi and Beijing strong reason to moderate impulses toward outright military conflict. But as both countries continue simultaneously to rise in power and prestige, dynamics of competition and one-upmanship will inevitability deepen. This pattern is already evident in their Himalayan border area, in Burma and elsewhere in the Indian Ocean region and as far afield as Africa. And as last week’s events demonstrate, the South China Sea is now emerging as a new arena for strategic rivalry.

Pundits in Washington who doubt the prospects for the United States and India conjoining in a coalition directed against China should take note. The meteoric rise of Beijing’s power and the assertiveness in which it is exercised will ineluctably draw Washington and New Delhi even closer together. As a former U.S. official once predicted, “we don’t need to talk about the containment of China. It will take care of itself as India rises.”

Defense Dysfunction

The MMRCA decision illustrates the deep problems besetting the Indian defense establishment.

Much of the commentary about India’s elimination of the Boeing and Lockheed Martin bids from its hotly-contested, highly-lucrative Medium Multirole Combat Aircraft (MMRCA) competition has focused on its meaning for US-India relations.  The air force is the largest beneficiary of the country’s burgeoning military budget and a number of foreign companies were looking to snap up the $11 billion MMRCA contract. The Americans were also expecting that the diplomatic capital they assiduously built up in New Delhi in recent years would turn the decision to their favor. Instead, New Delhi opted to reject the U.S. entrants and shortlist for final selection the Typhoon aircraft produced by the four-nation Eurofighter consortium (composed of British, German, Italian and Spanish defense companies) and the Rafale offered by France’s Dassault Aviation SA.

MMRCA_ImageMany interpret the decision as an emphatic rebuff of Washington’s overtures for closer security links. John Elliott, a long-time observer of the Indian scene, views the move as an effort at “keeping the U.S. firmly in its place.”  Others see it as a sign that lingering doubts still reside in New Delhi about the reliability of the United States as a defense supplier. Bruce Riedel, an informal Obama administration adviser on South Asia, argues that “there is a belief that in a crisis situation, particularly if it was an India-Pakistan crisis, the U.S. could pull the plug on parts, munitions, aircraft – precisely at the moment you need them most. Memories are deep in this part of the world.” Stephen P. Cohen, the dean of U.S. South Asianists, concurs: “India would have given the order to a U.S. firm if it had been assured that the United States would back India politically thereafter.  Since this guarantee was not available, and awarding a U.S. firm the contract would increase Washington’s ability to influence New Delhi, the United States was a not a good choice politically as a supplier.”

According to Ashley J. Tellis, one of the most insightful and well-informed observers of US-India affairs, both perspectives are wrong, however. In a superb review of the decision, he argues that it represents less an omen about bilateral ties than a sui generis episode involving the Indian air force’s rigid application of technical desiderata. The bottom line, Tellis says, is that New Delhi selected the European contestants for no other reason than they were adjudged the better flying machines.

Some Indian commentators are of the view that, with bilateral ties now so multi-dimensional and mature, Washington’s sense of letdown will dissipate quickly. This is likely to prove wishful thinking, given how aggressively the Obama administration lobbied on behalf of the American bids. But Tellis’s account at least reassures that the decision did not entail a repudiation of the US-India strategic partnership.

Less heartening, including to those in Washington who want to see New Delhi become a more capable global power, are the serious problems in the Indian defense establishment that are highlighted by the MMCRA selection process. Aiming to ward off charges of graft and extraneous influence that have plagued big-ticket military contracts in the past – Rajiv Gandhi’s government collapsed in 1989 due to the corruption scandal involving the Bofors heavy artillery pieces – Defense Minister A.K. Antony crafted a selection process that relied solely on narrow technical assessments that reportedly encompassed some 500 criteria. Relevant strategic, political and financial factors were purposively excluded from consideration. Following extensive field trials, the air force concluded that the two European finalists possessed superior aerodynamic capabilities relative to their American competitors.

Tellis agrees that, on the basis of narrow technical assessments, the Typhoon and Rafale represent the best choices and that the selection procedure was free of corruption. But if the process was clean, it was not in his view a rational or even well thought-out one. By making such a major procurement decision without examining other attendant considerations, the defense ministry, in Tellis’s view, runs the risk of misallocating precious resources, thereby undercutting India’s larger national security interests. Giving due weight to important non-technical factors, he contends, would have cast the American entrants, particularly Boeing’s F/A-18 E/F Super Hornet, in a more favorable light. As he sees it, the Super Hornet is a truly cost-effective choice once issues like unit piece, technology transfer, offsets, production lines schemes and possibilities for strategic collaboration are assessed.

This specific judgment might be contested within the Indian air power community, but the post-mortem Tellis provides about this particular acquisition decision has larger institutional implications. He reveals, for instance, that the financial details of the bids were not examined prior to the short-listing. If they had been, evaluators might well have asked whether the marginally superior performance offered by the Typhoon and Rafale are worth their markedly higher price tags ($125 million and $85 million, respectively) compared to the Super Hornet’s $60 million. And even if Indian officials decided they were still getting their money’s worth, it would have behooved them to include the U.S. plane on the shortlist in order to enhance their bargaining leverage vis-à-vis the European companies.

It is also striking that only after the shortlist was announced did the defense ministry turn to consider important questions about technology transfer, offset arrangements and production efficiency. India’s defense industrial sector remains conspicuously immature, certainly in contrast to other world powers. (As Stephen P. Cohen and Sunil Dasgupta maintain in their new book, the well-funded military R&D system is remarkably short of accomplishment.) Yet Tellis points out that the European aircraft selected have a more limited capacity to transform the country’s technology base than their American counterparts. This, too, would seem to be an important matter to assess, yet it was deliberately excluded from consideration.

Geopolitical considerations were similarly absent from the decision, especially the issue of whether New Delhi should leverage the opportunity to enhance military-technological ties with the United States. With President Obama’s personally intervening with Prime Minister Manmohan Singh, the lack of integrated decision-making all but guaranteed negative diplomatic fallout. As Tellis notes:

“In its zeal to treat this competition as just another routine procurement decision falling solely within its own competence, the acquisition wing of the ministry of defense communicated its final choice to the American vendors through the defense attache’s office at the U.S. Embassy in New Delhi without first informing the ministry of external affairs. This action put the latter in the embarrassing position of not knowing about the defense ministry’s decision a priori and, as a result, was unable to forewarn the United States.”


The upshot, according to Tellis, is that the thoughtless manner “in which these results were conveyed did not win New Delhi any friends in Washington, a process that Indian government officials now recognize and ruefully admit was counterproductive.”

New Delhi has now announced that a blue-ribbon commission is being formed to examine the deep problems besetting the defense establishment, including those in the areas of strategic planning, resource allocation and systems acquisition. A good point of departure would be considering the woeful institutional lessons offered by the MMRCA case.

US-India Strategic Partnership will Counter-balance China’s Growing Assertiveness in Asia

The India-China strategic relationship is stable at the strategic level, but it is marked by Chinese aggressiveness at the tactical level. Though the probability of conflict is low at present, it cannot be completely ruled out. Given China’s growing assertiveness in Asia, it has now clearly emerged that its rise is likely to be anything but peaceful. Under the circumstances, the US-India strategic partnership is emerging as a counter weight to China’s assertiveness and as a force for stability in Asia.

China is engaged in the strategic encirclement of India, both from the land and from the sea by way of the string of pearls strategy. The China-Pakistan nuclear, missile and military hardware nexus is a threat-in-being for India. Also, China is making inroads into Pakistan Occupied Kashmir and emphasising economic cooperation to justify building its own rail and road route linking Xingjian with Karachi. China and Pakistan have a cosy arms trade relationship. Their friendship, in President Hu Jin Tao’s words, is “higher than the mountains and deeper than the oceans.” Will they collude with each other in a future conflict with India?   The answer to that question is undoubtedly yes. That is why two of the Indian armed forces Chiefs have said recently that there is a possibility of a two-front war in a future conflict either with Pakistan or with China.

China’s far from peaceful rise is marked by the fact that there is not a single bordering country with which China has not fought a war: the erstwhile Soviet Union, Vietnam, India, and Korea.  They have shot down their own satellite in space. They have been firing missiles across the Taiwan Strait. They have begun to physically occupy some of the disputed Spratly and Paracel Islands. Due to internal contradictions there is a probability that some time in the future China may implode. There is also a possibility that China may behave irresponsibly towards its neighbours. China has been modernising its military at a very rapid rate. Its defence budget has been growing at 12-16% per annum in real terms. Therefore, 15-20 years down the line, when China has completed its military modernisation and resolved the dispute with Taiwan, it may turn its gaze southwards towards India. China will then be in the position of military strength and India will be in a position of relative military weakness. China will be able to dictate terms to India in the resolution of territorial dispute. The real driving force behind India’s strategic partnership with the U.S. is to counter China’s diplomatic aggression and military assertiveness.  If China implodes or if China behaves irresponsibly, India would need a strong friend, if not an ally, and no one could be better than the US.

India should upgrade its military strategy against China from that of dissuasion to deterrence in terms of both conventional deterrence as well as nuclear deterrence. The army in particular lacks the ability to deliver a strong offensive punch across the high Himalayan mountains on to the Tibetan Plateau. Genuine deterrence comes only from the capability to launch major offensive operations to threaten the key objectives of the adversary. If the Chinese are convinced that India will launch major offensive operations across the Himalayas in retaliation for Chinese aggression, they will be deterred from waging a war.  Local border incidents can, of course, never be ruled out. The strength of the Indian Air Force has gone down from 39 Squadrons to 32 ½ Squadrons. That should be unacceptable to India’s strategic planners. The Indian Navy needs greater support by way of budgetary allocations, capabilities for tri-Service amphibious operations and offensive air support in order to make it a genuinely blue water navy. The one weakness that China has is that its oil tankers and its trade pass through the northern Indian Ocean Region (IOR). If the Chinese decide to mess with India on the high Himalayas, they can be squeezed in the IOR.

Managing National Security: Structural Flaws

Despite complex external and internal security threats, unresolved territorial disputes, the rising tide of left wing extremism (LWE) and urban terrorism, India’s national security continues to be sub-optimally managed.

In 1999, the Kargil Review Committee headed by the late Mr. K Subrahmanyam had made far reaching recommendations on the development of India’s nuclear deterrence, higher defence organisations, intelligence reforms, border management, the defence budget, the use of air power, counter-insurgency operations, integrated manpower policy, defence research and development, and media relations. The Cabinet Committee on Security appointed a Group of Ministers (GoM) to study the Kargil Review Committee report and recommend measures for implementation. The GoM was headed by Home Minister L K Advani and, in turn, set up four task forces on intelligence reforms, internal security, border management and defence management to undertake in-depth analysis of various facets of the management of national security.

The GoM recommended sweeping reforms to the existing national security management system. On May 11, 2001, the CCS accepted all its recommendations, including one for the establishment of the post of the Chief of Defence Staff (CDS) – which has still not been implemented. A tri-Service Andaman and Nicobar Command and a Strategic Forces Command were established. Other salient measures included the establishment of HQ Integrated Defence Staff (IDS); the Defence Intelligence Agency (DIA); the establishment of a Defence Acquisition Council (DAC) headed by the Defence Minister with two wings: the Defence Procurement Board and the Defence Technology Board; and, the setting up of the National Technical Research Organisation (NTRO). The CCS also issued a directive that India’s borders with different countries be managed by a single agency – “one border, one force” – and nominated the CRPF as India’s primary force for counter-insurgency operations.

Ten years later, many lacunae still remain in the management of national security. In order to review the progress of implementation of the proposals approved by the CCS in 2001, the government has now appointed a Task Force on National Security and given it six months to submit its report. The task force must review the performance of the National Security Council (NSC), which is responsible for long-term threat assessment and the formulation of comprehensive perspective plans designed to upgrade the capabilities of the security forces to meet future threats and challenges. The task force must also consider whether the NSA should continue to remain only an advisor or he should be given limited executive functions, particularly for counter-terrorism operations, including covert cross-border operations, and intelligence coordination and assessment. Cyber security and offensive cyberwar operations also require apex level policy guidance and oversight.

The integration of the armed forces HQ with the MoD continues to remain cosmetic and needs to be revisited. An issue that needs no further debate is the appointment of a Chief of Defence Staff as the principal military advisor to the government. It is an idea whose time has come. However, the appointment of a CDS should be followed by the establishment of tri-Service integrated theatre commands for greater synergy in the planning and execution of military operations and aid to civil authority. Another key requirement is for the immediate raising of an integrated cyber, aerospace and Special Forces command.

The task force must also consider whether it is necessary to appoint a constitutionally mandated National Security Commission to oversee the day-to-day management of national security in this era of strategic uncertainty and threats and challenges that are continuously evolving and morphing into new forms.

China is Preparing Tibet as a Future War Zone

China’s massive infrastructure build-up in Tibet far in excess of genuine civilian requirements is causing concern to the government of India. Defence minister A K Antony has spoken in parliament of the rapid development of rail, road, airfield and telecom infrastructure and military camps being undertaken by the Chinese authorities in Tibet. He assured the MPs that ‘necessary steps’ were being taken to counter these developments.

Antony acknowledged that a road network stretching across 58,000 km has been constructed and five operational airfields have come up at Gongar, Pangta, Linchi, Hoping and Gar Gunsa in Tibet. Extension of the Qinghai Tibet Railway (QTR) line to Xigaze and another line from Kashgar to Hotan in the Xinjiang Uighur Autonomous Region is also in progress.

Control over Tibet forms part of the larger concept of Chinese national integration under President Hu Jintao’s dictum of ‘going down the road of development with Chinese characteristics and a Tibetan flavour.’ In the wake of ethnic violence in Tibet in 2008, increased force levels of the paramilitary people’s armed police, Chinese frontier guards and the garrison duty forces have been stationed in the region.

China has chosen to upgrade the infrastructure and logistics system in Tibet to enhance the ability of the People’s Liberation Army (PLA) to become a more mobile and better-equipped fighting force that can be deployed faster and sustained over a longer period of time. The concentrated expansion of infrastructure in Tibet has improved the PLA’s capability to rapidly induct integrated forces.

The QTR railway line is being further extending westwards from Lhasa to Xigaze. Along with the rapid development of the lateral road network in Tibet, a large number of axial roads leading to passes bordering India are being constructed. The roads are being constructed to military specifications in order to be turned over to the PLA in the event of war or an internal disorder. The logistics build-up opposite India’s eastern theatre is a cause for concern since it augments the PLA’s ability to deploy rapidly from the mainland.

Construction of new airfields and the upgradation of advanced landing grounds (ALGs) and helipads in and around the TAR, coupled with the acquisition of new transport aircraft, will enhance China’s strategic airlift capability resulting in faster induction and concentration of field formations in comparatively shorter time-frames and, consequently, over shorter warning periods. It also boosts the striking range of PLA Air Force fighter aircraft and provides the ability to strike and engage targets in India on a broad front and in depth.

Another major infrastructure development is the construction of new missile bases in Tibet. China has placed advanced Dong Feng-21 medium-range ballistic missiles along the borders it shares with India. During a future conflict with India, the PLA could easily move 500 to 600 mobile ballistic missile launchers to bases close to the Indian border from their current deployment areas opposite Taiwan.

Complexities of the Tibetan terrain, vagaries of climate, and sustenance capacities of the thrust lines chosen, are all factors that influence the depth of operations that are planned to be undertaken. To address this aspect, the PLA is reportedly constructing Hyperbaric Chambers to facilitate the rapid acclimatisation of troops brought in from lower altitudes. It is also building the first batch of oxygen-enriched barracks using plants for troops in the TAR at the Nagchu Military Sub-Command at an altitude of 4,500 metres.

It is in the Indian interest to upgrade the logistics infrastructure in the states bordering Tibet so as to facilitate the rapid reinforcement of sectors threatened by the Chinese during any future conflict. Simultaneously, India should enhance its intelligence, surveillance and reconnaissance (ISR) capabilities to maintain all round vigil on the border. The army and the air force must also upgrade their firepower capabilities by an order of magnitude so as to engage and destroy PLA forces at a distance.