Pentagon: China Deploys 100+ Nuclear-Capable Missiles That Can Strike U.S. | China in Focus

And welcome to China In Focus, I'm Paul Graney, in for Tiffany Meyer, our top story. The US economy is growing at its fastest pace in two years. At this rate, it would surpass 4% for the year. Meanwhile, a new report shows China's economic growth slowing this year, hovering just above 2%. A new Pentagon report warning that China has likely deployed more than 100 nuclear-capable in silo fields that can strike the US mainland from Beijing. We unpack what's in the report. President Trump unveiling plans to build a new class of battleships as part of a golden fleet is to strengthen the military and deter US adversaries like communist China. And should Linda's son, a former top aide to two New York governors, be convicted of working for Beijing or not? The jury is deadlocked on all 19 counts, leading to a mistrial. We'll break down the situation. And before we begin this show, a quick heads up, China In Focus will not be airing new episodes on Wednesday and Thursday. Now, on to the top story. The US economy grew at an annualized rate of 4.3% in the third quarter. That's the fastest pace in two years. The uptick driven by consumer spending, exports and government spending. It follows a 3.8% expansion in the second quarter. Before the official report, the Atlanta Federal Reserve estimated a 3.5% growth for July to September, much lower than the actual number. Consumer spending rising to 3.5% annual pace last quarter, up from 2.5%. There's also a rush to buy electric vehicles before the September 30th expiration of the tax credits. Exports grew at 8.8%, while imports fell 4.7%, both good for GDP. The new GDP data was delayed by the 43-day government shutdown. And in a social media post, President Trump said the tariffs are responsible for what he called the great numbers, adding quote, they will only get better. A report from Rhodium Group estimate China's actual GDP growth this year is below 3%. Now that's significantly lower than the official target of 5%. Rhodium Group says the slow growth is being driven by a sharp drop in fixed asset investment. Now this refers to spending on long-term physical assets used to produce goods and services like factories, vehicles and infrastructure. New data released Monday shows China's economic growth slowed in November. China's retail sales grew at their slowest pace in three years. Now that signals weak consumer spending and a worsening property market. Also, investment in the country hit a record low. And last week, China's officials say they plan to boost domestic consumption and household income. However, developing high-end technology and advanced manufacturing remains a priority in the country's next five-year plan. The report estimates that China's economy would grow between 1 and 2.5% next year. And the new Pentagon report is raising alarms about China's growing nuclear arsenal and Beijing's lack of interest in arms control talks. Now, the assessment points to a major expansion at new missile silo sites and it's about missiles that can carry nuclear warheads and strike the US mainland. According to the draft report seen by Reuters, China has likely deployed more than 100 intercontinental ballistic missiles across three silo fields near Mongolia. These missiles are China's DF-31 model, which are nuclear capable. The Pentagon had acknowledged the sites in the past, but this is the first time it has estimated how many missiles may already be in place. Beijing's nuclear warhead stockpile is estimated to have stood at around 600 last year. The Bulletin of the Atomic Scientist says China is expanding its nuclear forces faster than any other nuclear-armed nation. That's despite production slowing compared to previous years. The country is aiming to have more than 1,000 nuclear warheads in its arsenal by 2030. China's embassy in Washington pushed back, saying the country maintains a defensive nuclear strategy. However, it did not deny Beijing's missile deployments in the silo fields. Meanwhile, the report is casting doubt on prospects for arms control. Last month, President Trump said that denuclearization talks with China and Russia could be possible, but Pentagon analysts say they see no interest from Beijing in serious negotiations. Now, President Trump unveiling plans to build a new class of battleships on Monday as part of his vision to strengthen the military. The so-called Trump-class ships will be part of a golden fleet aimed at deterring US adversaries like communist China. So ships are, some of them have gotten old and tired and obsolete, and we're going to go the exact opposite direction. It'll help maintain American military supremacy, revive the American shipbuilding industry, and inspire fear in America's enemies all over the world. President Trump made the announcement at his Mar-a-Lago residence in Palm Beach, Florida. He says the new warships will be the largest ever, with 100 times the force. The president is also pushing to speed up ship manufacturing, saying he's planning to meet with major defense contractors next week to hash out the details. In recent years, the US has seen significant slowdowns in shipmaking. President Trump signed an executive order back in April offering a government-wide reform to fast-track production here at home. The US hasn't built any battleships since World War II, with the last American battleship retiring in 1992. And China currently controls half of the world's commercial ship production. Its navy has more than 300 warships surpassing America's fleet. And a Brooklyn federal judge declaring a mistrial on Monday in a case alleging that Linda's son atop a former aide to two New York governors used her position to push Beijing's agenda. Now, a mistrial doesn't dismiss the charges. It means the jury couldn't agree on a verdict. Prosecutors accused Linda's son of illegally acting as an agent of the Chinese regime at the highest levels of state government in exchange for millions of dollars. Son's husband, Chris Hu, was accused of laundering millions of dollars from Chinese officials through his export business. The couple was accused of using the money to fund luxury cars, designer handbags, and million-dollar estates. While son's salary never reached more than $145,000, and Hu reported little income from his business. A panel of 20 jurors had sent Judge Brian Kogan several notes last week, saying it couldn't agree on the various felony charges that son and her husband faced. The US attorney's office says that it plans to bring the couple to a trial a second time. Prosecutors can retry a case after a mistrial is declared due to a hung jury as no verdict was ultimately reached. The judge and attorneys are scheduled to meet in about a month to plan out the next steps for the case. And the US said China used unfair trade practices to dominate the semiconductor industry. However, it will not impose more tariffs on Chinese chip imports until mid-2027. That's as both countries are in the middle of a trade truce. The office of the Trade Representative says the rate will be announced at least a month in advance. Such imports currently enjoy zero percent duties. The announcement comes following a Section 301 investigation into Chinese chips launched by the Biden administration. The US Trade Representative concluded in its report that China's targeting of the semiconductor industry for dominance is unreasonable. It says China is increasingly aggressive with non-market policies and practices. The report says that such targeting adds disadvantages to US commerce and thus requires further action. The investigation also found that China could exploit other countries' reliance on its semiconductors, giving Beijing the ability to exert economic pressure. And NVIDIA has told Chinese clients it plans to start shipping its second-most powerful AI chips to China before the Chinese New Year. That's in mid-February. That's according to three people familiar with the matter speaking to Reuters. NVIDIA has reportedly also told Chinese clients that it plans to add new production capacity for the chip, although significant uncertainty remains. Beijing has yet to approve any H200 purchases. And the sources added the timeline could shift depending on government decisions. NVIDIA and China's Ministry of Industry and Information Technology did not immediately respond to requests for comment. The planned shipments would mark the deliveries of H200 chips to China after Donald Trump said this month that Washington would allow such sales with a 25% fee. It comes as China pushes to develop its domestic AI chip industry. Local firms have yet to match the H200's performance, raising concerns that allowing imports could slow domestic progress. Reuters reported this month that Chinese officials held emergency meetings to discuss the matter and are weighing whether to allow shipments. The U.S. Navy right now being put to use in the blockade on sanctioned oil going in and out of Venezuela. China, Iran and Cuba have offered their support to the Venezuelan regime as tensions with the United States escalate in the Caribbean. NTV's Washington correspondent Luis Martinez has more. The United States seized a second oil tanker off of the coast of Venezuela this weekend. The tanker was en route to Asia and its cargo of Venezuelan crude oil had been bought by a The Chinese Communist Party buys roughly 80% of sanctioned Venezuelan oil. And on Sunday, the U.S. pursued a third oil tanker, the Bella One, as it approached Venezuela with no cargo. The tanker is sanctioned and has links to Iran's Shadow Fleet. U.S. interdiction efforts include not only boarding and seizing vessels, but also prohibiting them from making port in Venezuela. President Trump promised to secure our nation from the scourge of narco drug trafficking. The kingpin in our backyard is Maduro in Venezuela. What is President Trump's motivation? These boat strikes were initially justified on the ground that we're fighting against narco trafficking. Then Susie Wiles, the chief of staff, says it's about regime change. That's what this is about. Over the weekend, the Iranian regime confirmed it would increase its support and partnership with Venezuela and denounced U.S. actions against sanctioned vessels. The communist Cuban regime, which relies on subsidized Venezuelan oil, and the Chinese Communist Party have also come out against the U.S. and in support of the regime of Nicolás Maduro. The status quo, that they operate and cooperate with terrorist organizations against the national interest of the United States, not just cooperate, but partner with and participate in activities that threaten the national interest of the United States. So yes, our goal is to change that dynamic. U.S. lawmakers agree that the Maduro regime in Venezuela poses a national security threat for the United States and is at the center of regional instability, but disagree whether the U.S. military should participate in regime change efforts. Do you support regime change in Venezuela? Well, I would tell you the Venezuelan people do. They voted against Maduro in the last election. But do you support the United States pushing for regime change? I would tell you the United States position for now, six years, I believe, has been that he is not the recognized leader of Venezuela. It's important to note that the shadow fleet of oil tankers that Venezuela, Iran and Russia used to sell its sanctioned oil is composed of over a thousand oil tankers, most of which end up in China. The Chinese Communist Party benefits from discounted oil prices from authoritarian regimes that in turn are the main promoters of terrorism in their respective regions. Reporting from Washington, D.C., Luis Eduardo Martinez, NTD News. And still to come, exit bans, supply chain risks and tougher trade policies are driving companies out of China. An expert weighs in on what China's role in the global landscape could look like in the coming years. More on that after the break here on China In Focus. Welcome back to China In Focus. I'm Paul Grainy. Exit bans, supply chain risks and tougher trade policies are pushing Western companies to rethink China. Now, to better understand the situation on the ground, NTD's Tiffany Meyers spoke with Paul Johnstone. He's a former federal agent with the Australian Federal Police and a regional security advisor at Defensive Measures International. Johnstone said the COVID pandemic exposed Beijing's true nature. He also warns the tensions in the Indo-Pacific, they're rising and shares his perspective on what the next few years could bring for the global landscape. Let's take a look. And lately, we've seen all these cases of exit bans in China. There was the Wells Fargo employees, someone related or in the U.S. Patent Office and even a child who was not allowed to leave, right? So it does seem there's more and more cases of that. You have CEOs, you know, investors saying that maybe the China market is getting a bit too risky to invest in. But on the other hand, you do have a lot being like, oh, no, I'm doubling down when it comes to China, still chasing that golden goose for that, you know, as you were saying, if you could get $1 from everyone in Chinese, all would be rich. There is still also that sentiment playing out. But with the different kind of environment, if you will, that we're seeing, you know, you have like President Trump really trying to reshore or friendshore or bring back manufacturing. You're seeing some countries doing that as well, like the European Union, for example, where they're calling out China's dumping practices, especially when it comes to EVs or cars that no one's buying inside the European Union. So you have a bit of that as well. When it comes to looking out, though, five, 10 years, where do you see all of this going? Are countries maybe pulling back or is it still more of a globalization sphere? How are you seeing that play out? My views are that more and more companies now are starting to see how things really are in China. And a lot of companies are definitely pulling out, moving out and moving into places like Vietnam or India or Cambodia. I think COVID actually had a lot to do with that. You know, during COVID, when you saw what the Chinese Communist Party was doing and getting their people from all around the world to basically go and buy all the PPE that was out there and take it away from the local people and, you know, store that and send it back to China, just the way they did things back in during the COVID period, that really showed their true nature. Their true nature was not about the world. It was purely about them. And sure, obviously, you know, all countries are looking after their own citizens. But I think the way they went about it was very, very uncomfortable for a lot of people because they could see what was happening. And I think people are starting to wake up to the fact that, you know what? This country is not as friendly as we think it is. And when I say the country, not the people, but the government. And, you know, talking to a lot of my colleagues in China and a lot of my friends, you know, always give them my opinions about different things and say to them, you don't have to reply because obviously I don't want them to be in trouble. But a lot of my friends there, when we talk on different apps, as secure as we can, there's a lot of disharmony in the people in China. And I really do feel that in the next five to 10 years. I hope that the government's overthrown. I really do. I hope that the people can rise up and finally have their freedom. I think we will have, and I hope I'm wrong, but I do think we will have conflict. And in Southeast Asia, I still think, you know, in the Pacific, and I think there's a lot of flashpoints in the Pacific, I think that the PLA and the government, they will continue to try to, you know, buy small countries, especially in the Asia-Pacific region. And I certainly see a lot more bullying tactics. And I really do believe they're going to increase that. You've only got to look at what they've done to some of the Australian Navy and the Air Force, you know, the flares sent to Canadians and that. There's been a lot of, some of the dangerous activities that they've carried out. That's their way of showing that, you know, that basically we're the sheriff and we own this area. Their industrial espionage is going to increase. So if they can continue to steal any type of military secrets, economic secrets, agricultural secrets, I think they'll continue to try to buy up property throughout the world, especially in America and Australia, especially farmland, these types of things. Airstrips, you know, they're looking at the big picture. And unfortunately, while the West is focused more on woke type stuff, the Chinese are focused more on how are we going to dominate the world? How are we going to, you know, people say to me all the time, oh, you're an alarmist, you're this, you're that. No, I'm a realist. I see it from all different perspectives. And having been to China many times, having lectured at conferences who, you know, and I've got people there from the PLA or from the PSB, you see what's happening and you see the mindset of these people. So to answer your question, I think there's a lot darker days to come than what we realise. And as I said, I hope I'm wrong, but you've only got to look at a lot of senior military people out there from the US, you know, talking about the threat. And I think that they are fully aware of what we are looking at facing in the next 24 to 48 months. And right now, militarily, we're seeing tensions bubbling, if you will, whether that's China, Japan, the Philippines, around Taiwan. I'd be curious to see how Australia is viewing all of this, though, because here in America, we have a giant body of water between us and what's happening over there. And I think what's happening now with Australia in particular is that we're playing catch up because we weren't looking in our own backyard, but the Chinese Communist Party were looking in our backyard. And they were watching us put all our time and effort into Afghanistan, Iraq, Syria. And they saw that we were leaving our backyards open, especially the Pacific Islands and Southeast Asia and stuff. So they've moved in, very, very covertly moved in. And obviously, you know, economic, financial gain to corrupt parties and stuff like that. But I think Australia now realises that we are playing a game of catch up. And if you look at the history of warfare over the last 100 years, you know, in all the major conflicts that the US has been in, and we do for a small country punch away by their weight. And I think that's a positive because we can take all that experience that we've gained and take that to countries like the Philippines, who traditionally have been focusing on, you know, insurgency, you know, with their own internal problems. And I think now over the last several years, they see that there is a major threat from China. And it's pleasing to see countries like, Japan, Australia, America, signing these treaties. And you've got countries, even European countries, coming out and doing joint patrols, Canadians. There's more and more of these countries coming to do these joint training exercises. And I think what's that doing is it's making the Chinese wary that the Philippine military, although small, is getting very, very well experienced. It's getting a lot of high tech equipment. It's getting current training. It's getting skills and knowledge that you require for any conflict with China. And although China's got all the hardware, they've got all the equipment, they've got some of the state-of-the-art equipment, but they haven't been tested in battle. And this is, I think, the biggest problem that they have is that since 1979, you know, when they invaded Vietnam, and I've always said, you know, that they weren't expecting a bloody nose from the Vietnamese. So since 79, they've not really been combat tested. If there was a conflict over Taiwan, I do feel that China's very, very wary of the fact that countries, like-minded countries like, you know, America, Australia, South Korea, Japan, and a lot of the European countries will be there to help the Taiwanese or help the Philippines if there's any type of conflict in the Philippines. But going back to your point about Australia, we are increasing our spending, but it's not enough. And as I said to me, I think we really need to start focusing on taking this threat much more seriously than what we do. And I think that the Australian government is skating on thin ice. And I think they're trying to play both sides. They're trying to play the Chinese from an economic point of view because I think it was 2023, 2024, 26% of our trade and goods and services were to China. And you compare that at the same time to the UK, I think it was 3% to 4% their goods and services. So we have a, you know, But at the same time, you know, I'm fully aware that the Australian government's also concerned about the threat of China and in the Philippines and in Taiwan. Because, you know, if they do that, then we're, there's possibly a blockade of Australia too. Because, you know, if they control the oceans around that area there, then it's going to have an impact on more countries. But I think there's a lot more to be done. We need to do a lot more. And I think we need to hurry up and we can't wait until 2030 for the submarines. We need to start looking at other strategies, other systems that we can use now in the next 12 to 24 months, not another decade. So I think there's a lot of dark clouds still, you know, coming. And I think that we need to be prepared for that. And so I know that we are preparing and we're doing a lot of joint exercises and we're doing a lot of treaties with Japan and America and, you know, and the Philippines. But there's a lot more to do, a lot more. And that's all for today's China in Focus. I'm Paul Graney. Thanks for tuning in. From all of us here at NTD, we wish you and your loved ones a happy holiday.