"It (Chinese actions) is having the effect of causing others in the region both to increase their own maritime defence activities, and to align them with the United States. Old allies, like Japan, South Korea, Australia and the Philippines, and then new partners, like Vietnam and India, that are working with us increasingly," Carter said during a Congressional hearing.
Responding to a question, Carter acknowledged that China is placing great importance to developing a blue water navy.
"There was a time when the Chinese military was largely a land-based military. It was a military focused on defence of its own territory. Now, it clearly has the aspiration to extend its sway in the Pacific. And the United States policy there is, as it has been for 70 years, to remain the pivotal military power in the Asia-Pacific," he said.
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"The thing that is new is the Chinese -- and of course, there are some other countries that do some of this, but nothing on the scale of China -- exactly as you say, dredging and putting military equipment on," he said.
"We call that anti-access, aerial-denial capabilities. So, their developments in anti-ship capability, anti-aircraft capability, and then their blue-water navy are clearly intended to limit our ability. And that is why, in this particular budget, we have focused on capability development that allows us to maintain a competitive advantage versus China," he said.
"It's equally clear to me that on the trajectory that China is on today, were we to not maintain an investment profile, as outlined in the current budget, we would lose our competitive advantage over time, and find ourselves unable to adequately advance our interests in the Pacific," Dunford warned.