China Naval Modernization: Implications for U.S. Navy Capabilities—Background and Issues for Congress

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Introduction

Issue for Congress

This report provides background information and issues for Congress on the naval modernization effort of the People’s Republic of China (PRC, or China) and its implications for U.S. Navy capabilities. China’s military modernization effort, including its naval modernization effort, is the top focus of U.S. defense planning and budgeting.1 The issue for Congress is whether to approve, reject, or modify the Biden Administration’s proposed U.S. Navy plans, budgets, and programs for responding to China’s naval modernization effort. Congress’s decisions on this issue could affect U.S. Navy capabilities and funding requirements, and the U.S. defense industrial base.

Sources and Terminology

This report is based on unclassified open-source information, such as the annual Department of Defense (DOD) report to Congress on military and security developments involving China,2 a 2019 Defense Intelligence Agency (DIA) report on China’s military power,3 a 2015 Office of Naval Intelligence (ONI) report on China’s navy,4 published reference sources such as IHS Jane’s Fighting Ships,5 and press reports.