ABSTRACT
This chapter explores the strategic rationale and budgetary arguments that justify the on-going modernisation and expansion of the South Korean, Vietnamese, and Australian navies. It turns out it would be wrong to portray China as the single factor at play in each of the countries because their geostrategic situation is different, in turn this determines threat perceptions, which drive investment decisions. The maritime balance of power in East Asia began to change about 16 years ago when China had the political motivation and the economic resources to address what has been a historic strategic weakness its vulnerability to military intervention from the sea. By moving its defences far to sea, it is making the security situation of the countries like South Korea, Japan and Vietnam that live in the shadow of China worse. It is creating what political scientists call a 'security dilemma' one country's defence becomes so effective its neighbours fear for their own security.
