US Central Intelligence Agency Director Porter Goss believes China's rapidly modernizing military might tilt the balance of power in the Taiwan Strait and increase the threat to US interests in the region.
Delivering the agency's annual assessment of global threats in Washington on Wednesday, Goss warned that China was making determined military and diplomatic efforts to "counter what it sees as US efforts to contain or encircle China".
He expressed concern over the increase in Chinese missiles deployed across the Taiwan Strait as well as the growing improvements in China's nuclear and conventional capabilities.
The report also highlighted the threat Islamic terrorism poses to the US and reiterated Washington's growing concerns over Iran and North Korea.
'But the statement on China indicated the CIA is paying growing attention to what it considers potential military threats amid China's growing economic ties with its neighbours and the US,' said the Financial Times.
'The change in tone was notable given US concerns over Europe's plan to end its embargo on arms sales to China. Experts on China said that, while warnings about China's military capabilities were not new, the CIA had in the past underscored the co-operation between the US and China,' The Times said.
