Over the past two decades, China's People's Liberation Army has transformed itself from a large but antiquated force into a capable, modern military. Its technology and operational proficiency still lag behind those of the United States, but it has rapidly narrowed the gap. Moreover, China enjoys the advantage of proximity in most plausible conflict scenarios, and geographical advantage would likely neutralize many U.S. military strengths. A sound understanding of regional military issues — including forces, geography, and the evolving balance of power — will be essential for establishing appropriate U.S. political and military policies in Asia. This RAND study analyzes the development of respective Chinese and U.S. military capabilities in ten categories of military operations across two scenarios, one centered on Taiwan and one on the Spratly Islands. The analysis is presented in ten scorecards that assess military capabilities as they have evolved over four snapshot years: 1996, 2003, 2010, and 2017. The results show that China is not close to catching up to the United States in terms of aggregate capabilities, but also that it does not need to catch up to challenge the United States on its immediate periphery. Furthermore, although China's ability to project power to more distant locations remains limited, its reach is growing, and in the future U.S. military dominance is likely to be challenged at greater distances from China's coast. To maintain robust defense and deterrence capabilities in an era of fiscal constraints, the United States will need to ensure that its own operational concepts, procurement, and diplomacy anticipate future developments in Chinese military capabilities.

The research reported here was commissioned by the U.S. Air Force and conducted within the Strategy and Doctrine Program of RAND Project AIR FORCE.

This report is part of the RAND Corporation research report series. RAND reports present research findings and objective analysis that address the challenges facing the public and private sectors. All RAND reports undergo rigorous peer review to ensure high standards for research quality and objectivity.

Permission is given to duplicate this electronic document for personal use only, as long as it is unaltered and complete. Copies may not be duplicated for commercial purposes. Unauthorized posting of RAND PDFs to a non-RAND Web site is prohibited. RAND PDFs are protected under copyright law. For information on reprint and linking permissions, please visit the RAND Permissions page.

The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.