The Poison Frog Strategy

To explore potential policy and strategy options to prevent such a calamity, the Gaming Lab at CNAS wargamed this scenario with Taiwanese, American, and regional experts. Worryingly, the game found few credible options for pushing China to abandon Dongsha and return to the status quo. However, the game found numerous areas where preparation and multilateral coordination—particularly in concert with Japan—could deter limited Chinese aggression against Taiwan.

During the game, the teams representing the United States and Taiwan struggled to compel a Chinese withdrawal from Dongsha without escalating the crisis. The team representing China avoided further escalation given its first-mover advantage, constrained territorial gains, and geographic proximity. In contrast, the U.S. team had to push its forces far forward in ways that were risky and would be difficult to sustain.¹ Punitive non-military options, such as economic sanctions or information campaigns, took too long to produce effects and appeared too weak to compel China to abandon its gains.² More aggressive military responses risked escalation to war, which both the U.S. and Taiwan teams wished to avoid. With few viable coercive options and the onus of escalation falling on the U.S. and Taiwan teams, the game reaffirmed the difficulty of rolling back territorial aggression of this kind.

Indeed, discouraging China from seizing Taiwanese territory before it happens is the most salient lesson of the game. The United States and Taiwan must begin coordinating today to build a credible deterrent against limited Chinese aggression or coercion toward Taiwan.³ Doing so will help identify ways to make a territorial fait accompli by China—such as the seizure of Dongsha—too unpalatable to consider, while also communicating the U.S. commitment to defending Taiwan. This strategy will require advance planning and communication of joint responses and defenses against coercion and territorial aggression. Rather than scrambling to respond to a fait accompli, as occurred in this game, the United States and Taiwan should prepare to implement coordinated, whole-of-government deterrent measures quickly and ensure immediate consequences for Chinese coercion or aggression short of war.

Japan’s cooperation is essential in this type of scenario because it could change China’s calculations of the military and diplomatic risks of coercion or aggression. A joint statement from Japanese Prime Minister Yoshihide Suga and U.S. President Joseph R. Biden in April 2021 referenced “peace and stability across the Taiwan Strait” and encouraged “the peaceful resolution of cross-Strait issues.”⁴ The United States would rely heavily on Japan for basing infrastructure to conduct military operations to support Taiwan.⁵ And, although the statement did not elaborate further, unambiguous Japanese support will be necessary to create a regional, as opposed to bilateral U.S.-Taiwan, response to Chinese coercion or aggression. Specifically, Japan’s involvement could enable coordination with India and Australia via the Quad relationships.⁶ It could also create opportunities to work with other states facing Chinese coercion and territorial aggression, such as Vietnam and the Philippines.

Wargames are not predictive, but they are useful tools for exploring decision-making and identifying vulnerabilities. As China’s assertiveness rises, failure to prepare for the threat of an incursion against Taiwanese territory presents grave risks to Indo-Pacific security. The United States, Taiwan, and regional allies and partners can better understand how to build an effective deterrence strategy to discourage Chinese aggression or coercion through multilateral gaming, to include crisis simulations and exercises.