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Appendix A<br />

History of Chinese Cruise Missile Institutes/<br />

Defense Management System<br />

China’s cruise missile programs have Russian origins, although China was gradually<br />

able to move beyond licensed production and reverse-engineering to creation of<br />

indigenous variants. Exports began in the early 1980s. China regained access to Russian<br />

platforms and missile technology in the early 1990s. Today some cruise missiles in the<br />

PRC inventory are imported directly from Russia while Chinese factories are producing<br />

increasingly capable systems that often incorporate or benefit from access to foreign<br />

components and technical assistance.<br />

Despite having to face the daunting challenges of rebuilding China in the aftermath<br />

of a devastating civil war (1946–1949) and the Korean War (1950–1953), Chairman<br />

Mao Zedong determined that for national security reasons it was absolutely imperative<br />

to establish and develop a domestic defense industrial base. Both resources and organizational<br />

structure were provided and put into place to guide and organize such efforts. 1<br />

Over the years, the government ministries and agencies as well as key research institutions<br />

that have played a critical role in and continue to manage China’s cruise missiles R&D,<br />

prototype production and testing, and adoption and serial production have undergone<br />

many organizational changes. But the programs themselves have remained surprisingly<br />

intact even during years of political upheaval such as the Cultural Revolution.<br />

China began introducing SAMs and ASCMs in the late 1950s. Following the February<br />

1950 Treaty of Friendship, Alliance, and Mutual Assistance and the first Five-Year<br />

Plan for industrial and agricultural development and production (1953–1958), and soon<br />

after the signing of the 1958 bilateral accord on defense cooperation, the Soviet Union<br />

transferred the 542/KS-1 shore-to-ship and 544/P-15/Styx SS-N-2 antiship missiles and<br />

SA-2 SAMs. 2 Despite the departure of Soviet advisors in September 1960 in the wake<br />

of the Beijing-Moscow fallout, the Chinese persevered against all odds and conducted<br />

their first successful missile test in November 1960. 3 During that year, China started copy<br />

production of the SA-2 under the name Hongqi-1 (Red Flag). The missile’s initial classification<br />

process was completed in December 1964, and in June 1966 copy production work<br />

ended. 4 An air-to-ship missile research department was established in 1966. Hongqi-2 was<br />

“classified” in July 1967 and was first used to shoot down a U-2 reconnaissance aircraft<br />

on September 8, 1967. 5 China began R&D on an improved version of the missile, now<br />

named “Hongqi-61,” according to Chinese historical sources. Design work began in 1970,<br />

99

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