China agrees deal to buy six Russian submarines
BEIJING has concluded discussions to buy an additional six submarines from Russia to boost its naval arsenal, according to diplomatic sources.
The Kilo-class attack vessels are in addition to the four that Moscow admitted last month to having sold to the Chinese.
The Beijing sources said the People's Liberation Army (PLA) had also finished preliminary discussions on the purchase later this decade of a further 12 Russian submarines.
Western estimates of the cost of each of the vessels range from US$200 million (HK$1.55 billion) to US$250 million.
According to sources close to the PLA, the Army is likely to get a budgetary increase this year that is 'even better' than the 20 per cent it got in 1994.
The sources pointed out that while the official PLA budget for last year was a mere 52 billion yuan (HK$47.68 billion), money for the procurement of weapons came from 'hidden' subsidies and other unpublicised funds.
A military source said that the Chinese would be getting different models of the Kilo-class submarines, but all had the advantage of being 'quiet and efficient'.
'The Chinese are prepared to buy so many expensive submarines because they are interested in technology transfer,' the source said. 'The Russians will only agree to part with technology upon bulk sales and large profits.' The source added that since the policy-making Central Military Commission (CMC) had yet to make a decision on whether to build an aircraft carrier, the acquisition of sophisticated submarines remained the primary goal of expansion.
At the same time, the Chinese Navy has been building a new generation of submarine-launched ballistic missiles.
It is believed that while naval officers are lobbying the CMC for permission to build an aircraft carrier, other military and civilian units have reservations about it.
Naval engineers have already built elaborate models of the first generation of Chinese-made carriers.
However, Western diplomats have pointed out that despite the difficult political relationship with the United States, military exchanges between the two countries have progressed satisfactorily since Defence Secretary William Perry's visit to China last year.
National Defence University President Zhu Dunfa is currently in the US on a goodwill tour.
It is understood he will finalise details for an American tour by CMC vice-chairman General Liu Huaqing.
The two countries have already agreed to resume naval port calls.
