ABSTRACT
China is a large, slowly developing country, with at least three-quarters of its labour force engaged in agriculture and with a low level of output per capita in industry. China has a long history of arms production, but it was not until the Communist Party came to power in 1949 that attempts were made to develop a national defence industry. Technological weaknesses in the Chinese defence industry are apparent throughout the entire system, from basic research to the maintenance of finished products. The defence industry has been charged with unprecedented research and development and production responsibilities in support of the civilian economy. China has developed a strong and rapidly expanding electronics industry. Perhaps the foremost indicator of the new policy on receiving foreign technical assistance is a new willingness to send thousands of students to the West to study. China is a relatively minor exporter of arms with less than 3 per cent of the world military export market.
