China will probe for signals from Rumsfeld and DOD [Department of Defense] on the extent to which the U.S. views China as a major regional security threat.

The Aegis-equipped systems certainly have the capability to be upgraded and equipped at some point with theatre missile defense technologies that would provide Taiwan with defense capabilities against Chinese missiles,

So it's seen as a test in many ways of the type of policy the Bush administration will adopt towards China,

Bush mentioned shared strategic interests three times in his speech. The Chinese see this as important because it's high- level recognition from the global superpower of their status as a rising great power.

A nuclear Iran is an even better test than North Korea, because it's out of the region and China doesn't have the same immediate involvement.

Without a doubt, the direction Chinese military modernization has taken in recent years absolutely represents a growing threat to the U.S..