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CIA Chief Says China Doesn't Have Invasion Ability

Posted By: SPIES "R" US
Date: Sunday, 5-Mar-2000 19:45:16
www.rumormill.news/1936

In Response To: China Threatens to Nuke America (SPIES "R" US)

Mario's Cyberspace Station http://mprofaca.cro.net/mainmenu.html -__ ___ _ ___ __ ___ _ _ _ __ /'_|'0 \'V'/'\|'|'__|'|'|'/'_| \_'\''_/\'/|'\\'|'_||'V'V'\_'\ |__/_|'.//'|_|\_|___|\_n_/|__/ Thursday, March 02, 2000

CIA Chief Says China Doesn't Have Invasion Ability http://www.insidechina.com/features.php3?id=139797

China, which has stepped up verbal threats against Taiwan, does not have the military capability to sustain an invasion of the island, CIA Director George Tenet said.

"The Chinese cannot take Taiwan militarily," Tenet said in a Reuters interview this week. But he added that China's mobilisation, particularly of short-range ballistic missiles opposite Taiwan, could not be ignored.

China recently issued a policy paper in which it threatened to use force against Taiwan if the island dragged its heels indefinitely on discussing reunification with the mainland.

That statement was viewed by some in Taipei and Washington as an attempt to influence the outcome of Taiwan presidential elections in March.

"There is an inevitable pre-election piece of this. We take it seriously, we watch it carefully, our hope is that after the election this all settles down and that the normal pattern of peaceful dialogue between the two countries resumes," Tenet said.

China does not have the military air and sea capability required to put troops on the ground for an invasion of Taiwan, he said, reiterating comments made last month to Congress.

"If you're going to take an island you have to be able to sustain an invasion and we don't think they can do that," Tenet added.

Taiwan is reportedly seeking to buy more weapons from the United States and Republican leaders in the U.S. Congress have warned China that continued threats to invade Taiwan could scuttle a trade agreement.

China has viewed Taiwan as an estranged province that must eventually be reunified since Nationalists fled into exile on the island after losing a civil war to the Communists in 1949. Taipei espouses eventual reunification, but only after China embraces Western-style democracy.

IRAN "TOO EARLY TO TELL"

On Iran, it was still "too early to tell" what impact the recent election victory by reformers would have on policy, Tenet said.

"The interesting question for us is what will (President Mohammad) Khatami now perceive to be his ability to implement change and how will he do it?

"What will the implications be for Iranian behaviour in areas that have been traditional concerns of the United States?" he said, referring to U.S. charges that Tehran supports guerrilla groups such as Hezbollah in Lebanon and is trying to acquire nuclear, chemical and biological weapons.

"I think his (Khatami's) ability to control the instruments of support for terrorism are quite limited. I think that those relationships are not well formed and I don't think his power extends there," Tenet said.

"I have not seen anything change yet, now the question is will this transition internally lead to a different behaviour? That's not something I can predict," he said.

Tenet would not comment on how close Iran was to achieving nuclear capability, saying only "it's a source of great concern for us."

TAIWAN MONEY RATES END DOWN ON BIG RESERVE EXCESS.

TAIPEI, March 1 (Reuters) - Taiwan's overnight interbank rate ended lower on Wednesday as banks grew wary of swelling accumulated reserve excesses and moved to liquidate their positions as the end of the reserve period draws near.

The overnight interbank rate ended at 4.607 percent compared with Tuesday's 4.626 percent close, though 30-day commercial paper rate was even with Tuesday's finish at 4.725-4.75 percent.

With only three days to the end of the current reserve period, a hefty accumulated reserve excess of T$140.2 billion forced banks to trim their positions and actively buy commercial paper, dealers said.

The banking system's daily reserve excess was T$12.7 billion on Wednesday.

Active bidding in a Wednesday auction of T$20 billion in 91-and 182-day negotiable certificates of deposit showed banks expected rates to edge higher, however.

Winning bids on 91-day NCDs averaged 4.747 percent, unchanged from a February 23 auction, but 182-day bids averaged 4.878 percent against 4.87 in February.

The T$20 billion would be issued on Thursday, while on Wednesday, the central bank issued T$15.72 billion in two tranches of shorter-term CDs and NCDs to adjust banking system liquidity.

As of Wednesday, the central bank's total CDs and NCDs outstanding amounted to T$898.621 billion, excluding T$8.74 billion maturing on Wednesday.

Government bond yields were higher as stop-loss selling in morning trade ignited a further wave of bond sales.

The benchmark seven-year 89/8 bond yield was at 5.7000 percent against Tuesday's close at 5.694 percent, while the ten-year 89/6 bond yield edged up to 6.0050 percent from Tuesday's 5.9885 percent finish. (US$1=T$30.7)

(C)2000 Copyright Reuters Limited. All rights reserved.

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*** NOTICE: In accordance with Title 17 U.S.C. Section 107, this material is distributed without profit to SPYNEWS eGroup members who have expressed a prior interest in receiving the included information for non-profit research and educational purposes only.

For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml

Mario Profaca, SPY NEWS eGroup list owner, editor & moderator mailto:mprofaca@reporters.net

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------------------------------------------------------------------------ *__ ___ _ ___ __ ___ _ _ _ __ /'_|'0 \'V'/'\|'|'__|'|'|'/'_| \_'\''_/\'/|'\\'|'_||'V'V'\_'\ |__/_|'.//'|_|\_|___|\_n_/|__/ http://mprofaca.cro.net/latest.html

INSIDE CHINA



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Articles In This Thread

China Threatens to Nuke America
SPIES "R" US -- Sunday, 5-Mar-2000 19:41:27
CIA Chief Says China Doesn't Have Invasion Ability
SPIES "R" US -- Sunday, 5-Mar-2000 19:45:16

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AN EXPLANATION OF THE FACTIONS