In relation to the 'principled security network' in Asia proposed by US Defense Secretary Ashton Carter during the Shangri-La Dialogue, the research team at ANBOUND Consulting is of the view that there are few major obstacles to this proposal.

Firstly, in light of the economic and trade ties between China and the East Asian countries, these countries have to weigh between economy and security.

Secondly, it remains to be observed whether the new president of the United States will make any concrete political commitment to its allies at East Asia.

Thirdly, the proposal requires a lot of money and resources.

Fourthly, the United States and its allies need to have a systematic planning on the military arrangement from military strategies to logistics arrangement as well as military training.

In order to deal with ‘Asian Nato’, China should tackle the US strategy from various fonts including diplomacy, military and cultural aspects.

China should accelerate its reform, stabilize the fundamentals of its economy and increase its attractiveness to the foreign investments