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A Comparative Study on Chinese and American Military Procurement Systems


By Shen Hengchao, Research team on “ Policy Options and Mechanisms for Promoting Innovations in Civil-Military Integration (CMI)”, Department of Techno-Economic Research, DRC

Research Report, Special Issue, No.33, 2016 (Total No. 1508) 2016-7-11

Abstract: American military system puts forward a clear goal of Civil-Military Integration (CMI) that not only meets the requirement for military targets, but also improves the efficiency of military expenditure as well as the national technology advance. America has a scientific policy and regulatory system of military procurement, which provides guarantee for CMI with relevant regulations. It has a coordinating mechanism embracing both political and military circles, and military procurement is under the unified leadership of the Department of Defense and with the joint management by the relevant military and government departments. The American military procurement system gives first priority to the principle of “owned by the people and used by the people”. The framework of China’s military procurement system is similar to that of the U.S., but it is necessary for China to draw experience from the U.S. for improvement in terms of the formulation and implementation of relevant regulations and mechanisms. It is suggested that a comprehensive coordinating mechanism should be established between the central government and relevant departments, and military procurement should be put under the unified leadership of the Central Military Commission, with joint organization and support by the army and relevant governments departments. The goal of CMI should be made clear and policy and regulatory system should be improved; the principle of placing top priority on civil products and civil standards should be followed. In addition, market access system relating to military products should be improved, military standards should be sorted out and streamlined, and the transparency of procurement information should be enhanced.

Key words: military procurement, government procurement, a comparative study on Sino-American military procurement system