North Korea on the table as Jim Mattis, Rex Tillerson host Chinese leaders today

US-CHINA TALKS: At the State Department today, the United States and China begin the first of what is expected to be a regular series of consultations dubbed the “U.S.-China Diplomatic and Security Dialogue.” North Korea is expected to a major topic of discussion at the day-long event hosted by Defense Secretary Jim Mattis and Secretary of State Rex Tillerson, along with discussion of China’s military buildup and territorial claims in the South China Sea. Mattis and Tillerson are hosting Chinese foreign policy chief Yang Jiechi and Gen. Fang Fenghui, chief of the People’s Liberation Army’s joint staff department

“This discussion elevates the level of dialogue with the Chinese in a way that in our view will enable in-depth consideration in areas of cooperation,” said David Helvey, acting assistant secretary of defense for Asian and Pacific security affairs at a briefing for reporters at the Foreign Press Center yesterday. In addition, it will allow for exchanges on “ways to manage and narrow the differences between the United States and China on a range of strategic issues that affect both the diplomatic and the defense spheres,” Helvey said.

Afterward, Mattis and Tillerson hold a rare joint news conference at the State Department at 3 p.m.. The briefing will be streamed live on www.defense.gov/live.

HEY, IT WAS WORTH A SHOT: President Trump sent out a tweet yesterday that appeared to suggest he was no longer counting on China to help resolve the crisis with North Korea, although as is typical with the president’s penchant for making major policy pronouncements in 140 characters, it wasn’t entirely clear what he meant. “While I greatly appreciate the efforts of President Xi & China to help with North Korea, it has not worked out. At least I know China tried!”

The tweet came two hours after Trump condemned the brutality of the North Korean regime along with a link to his comments about Otto Warmbier, the American student held by North Korea for 17 months who died shortly after being returned to the U.S. in a coma. So it may be that Trump was referring to the effort to win Warmbier’s release, rather than efforts to curb North Korea’s nuclear ambitions.

On MSNBC, Democratic Sen. Al Franken was asked to react to the president’s tweet. “I don’t know, certainly in terms of this young man, if Xi did anything,” Franken said, adding, “May I say, the president might be gullible when it comes to China.”

At the White House, press secretary Sean Spicer told reporters the administration has had “positive movement” with China over the last five months. “We’ll continue to work with them and others to put the appropriate pressure on North Korea to change this behavior and this regime,” Spicer said.

SURE, GO TO NORTH KOREA: Sen. John McCain says Americans who are “stupid” enough to travel to North Korea ought to be required to sign a waiver absolving the U.S. government from blame if they suffer harm while there. “There should at least be a form for them to fill out that says, ‘If I go to North Korea, I understand I am taking a great risk, and I do not hold the American government responsible,” McCain said, according to the Associated Press. McCain also added that, “If people are that stupid [and] they still want to go to that country, then at least they assume the responsibility for their welfare.”

TAKE THAT: Two U.S. B-1B bombers conducted two joint drills with the Japanese and South Korean air forces, which were meant to show solidarity among the three countries to “defend against provocative and destabilizing actions in the Pacific theater,” the Air Force said in a statement yesterday. The heavy bombers flew over the Korean Peninsula in another show of force that appears to leave little impression on the North.

At the Pentagon, spokesman Navy Capt. Jeff Davis said the “bomber assurance missions” are done regularly to ensure the U.S. has interoperability with regional allies. “We can launch and operate long range bombers over the Korean Peninsula on very short notice,” Davis said, “but we hope not to have to do that.”

Good Wednesday morning and welcome to Jamie McIntyre’s Daily on Defense, compiled by Washington Examiner National Security Senior Writer Jamie McIntyre (@jamiejmcintyre), National Security Writer Travis J. Tritten (@travis_tritten) and Senior Editor David Brown (@dave_brown24). Email us here for tips, suggestions, calendar items and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email and we’ll add you to our list. And be sure to follow us on Twitter @dailyondefense.

12-CARRIER FLEET: The House Armed Services Committee is busy this week writing its version of the National Defense Authorization Act, but staff confirmed Tuesday that it will call for a boost in the Navy’s aircraft carrier fleet. The service would be able to buy a ship every three years instead of one every five, and permanently increase its carrier fleet from 11 to 12 in 2023 under an early subcommittee draft of the legislation. The proposal would be good news for Huntington Ingalls Industries, the nation’s only builder of carriers, and its myriad of subcontractors.

Of course, buying more carriers will still depend on Congress approving the money in the future. The Navy just received its $13 billion Gerald R. Ford, the first in a new class of supercarriers, and the next Ford-class carrier, the John F. Kennedy, is slated to arrive in 2023. The House budget legislation would deliver on Trump’s promise of a 12-carrier fleet. But the proposal must still survive the coming budget process. The Senate is now also working on its version of the NDAA bill, which will set defense policy and priorities in 2018 and beyond.

RETURN OF THE RAPTOR? The Air Force has turned over a classified report to the House Armed Services Committee on what it would take to restart production of the Lockheed Martin F-22 stealth fighter. The committee received the report over the weekend and staff members who are aware of it said Tuesday that they had not yet viewed the findings.

The report, ordered up by the committee last year, could rekindle debate over what some saw as a premature end for one of the military’s most advanced tactical aircraft. Congress voted to end funding of the Raptor in 2009 after 187 were made, far less than the 381 the Air Force said it needed, and now the House Armed Services Committee under Rep. Mac Thornberry wants to know if finally buying those aircraft makes sense. Previous studies have concluded that restarting the production line for the fifth generation aircraft built by Lockheed Martin would not make economic or military sense.

MARKUPS BEGIN: Today, two HASC subcommittees begin marking up the NDAA: Emerging Threats and Capabilities at 2:30 and Tactical Air and Land Forces at 4.

ALSO TODAY: Former Homeland Security Secretary under President Obama, Jeh Johnson appears before the House Intelligence Committee at 10 a.m. to discuss what he knows about the Russian effort to influence the 2016 presidential election. In his prepared testimony, Johnson says, “In 2016 the Russian government, at the direction of Vladimir Putin himself, orchestrated cyberattacks on our nation for the purpose of influencing our election – plain and simple,” according to The Associated Press.

The Senate Intelligence Committee also has a hearing today at 9:30 a.m. featuring current FBI, homeland security and state election officials. The witness list is here.

NOT A FAN OF SHANAHAN: If Trump’s nominee for deputy defense secretary thought he would be walking into an easy confirmation hearing yesterday, he was deeply mistaken. Boeing executive Pat Shanahan faced withering criticism from McCain, who is now threatening to hold up his nomination.

McCain excoriated Shanahan at several points during the committee hearing, saying the nominee was “almost insulting” with his equivocation over providing lethal arms to Ukraine, something McCain has long advocated. McCain zeroed in on Shanahan’s written testimony in which he said he’d have to “look at the issue.” “That’s not good enough, Mr. Shanahan,” McCain said. Given the chance to “amend or abridge” his written statement, Shanahan was browbeaten into saying he did support providing lethal defensive weaponry to Ukraine. “I’m glad to hear you changed your opinion from what was submitted, but it’s still disturbing to me,” McCain said. “Do not do that again, Mr. Shanahan, or I will not take your name up for a vote before this committee. Am I perfectly clear?” Shanahan’s full response: “Very clear.”

McCain, who has also pushed for weapons-buying reforms, also said he was not “overjoyed” by Shanahan’s Boeing resume. “I am concerned that 90 percent of defense spending is in the hands of five corporations of which you represent one,” he said. “I have to have confidence that the fox is not going to be put back into the hen house.” After the hearing, McCain declined to say whether he will block the nomination and said he wants Shanahan to re-submit a series of written responses to Senate Armed Services’ questions. “I told him to look at all his answers,” he said. “I want to give him the chance to respond. We’ll see.”

“DIRTY WINGS” DOOMS DRONE: An Iranian-made Shahed 129 drone was shot down by a U.S. F-15E Strike Eagle near al-Tanf, Syria, where the U.S. is training local fighters to combat the Islamic State, and where the U.S. has already fired on pro-Assad regime military this month and in May. “The F-15 intercepted the armed UAV after it was observed advancing on coalition positions,” Davis said at the Pentagon. “It had dirty wings, meaning it was loaded with ordnance, and the UAV did not make any attempt to divert.”

Davis said the U.S. is not saying who was operating the drone. “This was a Shahed 129. It’s an Iranian drone, a well-known drone that they make. What we don’t know is who was operating it.  We know that they provide them to the regime. We know that they provide them to other groups like Lebanese Hezbollah and other pro-regime forces. So we don’t want to make any conclusions on who it was, but we do know that it was an Iranian-made drone,” Davis said.

NO WIDER WAR IN SYRIA: The Pentagon is downplaying the rising tensions between the U.S.-led coalition and the Russian-led pro-government forces in Syria, by suggesting that Moscow’s angry public statements are more for show than evidence of a serious split. “Public statement aside, we have not seen the Russians do any actions that cause us concern,” Davis said. Despite the Russian Defense Ministry’s public threat to track U.S. planes operating west of the Euphrates River in Syria with anti-aircraft missile radar, Pentagon officials said the U.S. continues to fly in the airspace. They point out that Iranian-made drone was shot down west of the Euphrates Monday night, with no Russian interference.

While the U.S. says it has made prudent adjustments to its air operations over Syrian to minimize any potential threat, the Russians have not taken any provocative actions, such as illuminating U.S. or coalition aircraft with target acquisition radars. The Pentagon also strongly suggested that Russia is still using the de-confliction hotline that the Kremlin said was suspended after a U.S. F-15 shot down a Syrian Su-22 fighter Sunday after the jet dropped bombs near U.S.-backed fighters.

CLOSE, BUT NOT THAT CLOSE: Pentagon officials were disputing a Fox news report that a Russian fighter jet flew within five feet of a U.S. Air Force RC-135 reconnaissance aircraft over the Baltic Sea Monday. The Russian Su-27, armed with air-to-air missiles, did conduct an “unprofessional intercept,” according to the U.S., but the operational reports said it came within about 30 feet, not five feet of the U.S. plane. “I wasn’t there, and we don’t have a tape measure,” said one official who said the reports of five feet were not supported.

Davis said what made the encounter troublesome was not so much the proximity but the performance of the Russian pilot. “Due to the high rate of speed, the poor control that the Russian pilot had of his aircraft during the intercept, the aircraft commander of the RC-135 determined it to be unsafe,” Davis said. “I wouldn’t get stuck on distance alone. It’s distance, it’s relative speed, it’s altitude, it’s visibility. It’s a whole host of factors that led the aircraft commander to determine whether or not it was an unsafe event.” Davis noted the vast majority of interceptions by the Russians are safe. “This is an exception, not a norm,” he said.

SAUDI SHAKEUP: While you were sleeping, Saudi Arabia’s King Salman appointed his 31-year-old son Mohammed bin Salman as crown prince, placing him first in the royal line of succession, the state news agency reported. The newly announced Crown Prince Salman will continue in his role as minister of defense, according to the royal decree cited by state media. He has been seen as a rising star in Saudi Arabia, leading a campaign to transition Saudi Arabia from its reliance on oil revenue to a new economic strategy called Vision 2030 announced last year. More here.

STATE REBUKES SAUDI ARABIA: Meanwhile, Tillerson’s team is accusing Saudi Arabia of trying to settle a score with a neighbor under the guise of fighting terrorism, Joel Gehrke writes. Saudi Arabia led a bloc of Arab states in cutting diplomatic ties and imposing an economic blockade on Qatar, which has long been suspected of providing support for terrorism and cozying up to Iran. That move seemed likely to put the United States in an uncomfortable position, because it has major military operations in both Saudi Arabia and Qatar, but Trump nevertheless praised the Saudis for the move.

But yesterday, the administration sounded a sharply different note, accusing the Saudis of operating in bad faith. “Now that it has been more than two weeks since the embargo started, we are mystified that the Gulf states have not released to the public nor to the Qataris the details about the claims that they are making towards Qatar,” State Department spokeswoman Heather Nauert told reporters. “The more that time goes by, the more doubt is raised about the actions taken by Saudi Arabia. … At this point we are left with one simple question: Were the actions really about their concerns regarding Qatar’s alleged support for terrorism, or were they about the long-simmering grievances between and among the GCC countries?”

RUSSIA SANCTIONS: Trump’s team on Tuesday imposed sanctions on a pair of Russian government officials and several Russian-backed separatists over the conflict in eastern Ukraine, a move designed to needle Putin’s regime, Joel Gehrke writes. “These designations will maintain pressure on Russia to work toward a diplomatic solution,” Treasury Secretary Steven Mnuchin said Tuesday. “This administration is committed to a diplomatic process that guarantees Ukrainian sovereignty, and there should be no sanctions relief until Russia meets its obligations under the Minsk agreements.”

The Minsk agreements, named for the city in which they were signed, are a pair of ceasefire deals designed to strike a balance between the Ukrainian government’s desire to regain control of its territory and Putin’s desire to have greater influence over parts of Ukraine that are populated by ethnic Russians. Mnuchin’s announcement, which coincided with a visit to the White House by Ukrainian President Petro Poroshenko, also reiterated the Trump administration’s refusal to recognize the annexation of Crimea, a strategically-significant Ukrainian peninsula that Putin seized in 2014.

NOT SO FAST: A senior House Republican on Tuesday put the onus on Senate lawmakers to fix “a constitutional violation” that is delaying Congress from final passage of a sanctions bill targeting Iran and Russia. A veto-proof majority of senators voted in favor of a far-reaching sanctions package, following a flurry of negotiations over the details pertaining to Russia. But Rep. Kevin Brady, who chairs the House Ways and Means Committee, said the last-minute talks resulted in the inclusion of provisions that raise revenue for the United States and thus violate a constitutional requirement that revenue bills originate in the House.

“The Constitution is pretty clear: Revenue measures have to start in the House,” the Texas Republican told reporters on Tuesday. “I think the Senate can move pretty quickly to correct that provision and send it back to us. That’d be my preference.”

THE DONALD’S “THE UKRAINE” FAUX PAS: Just like Trump is no longer called “The Donald,” the former Soviet state Ukraine is no longer called “The Ukraine.” But that’s what the  president called the independent country in his brief remarks with the Ukrainian leader yesterday. “It’s a great honor to be with President Poroshenko of the Ukraine,” Trump said, “a place that we’ve all been very much involved in, and you’ve been seeing it, and everybody’s been reading about it.” Poroshenko did not correct his U.S. counterpart.

THE RUNDOWN

Reuters: Senators want Congress to OK military action in Syria

Washington Post: Trump signals shifting approach to North Korea after death of U.S. student

Defense Tech: Could this next-gen cockpit system end hypoxia-like incidents?

Military Times: Lawmakers want more troops, new criminal penalties in defense budget proposal

Defense One: European allies want used F-16s, but are there enough to go around?

Fox News: Ukrainian president compares Trump to Reagan ending Cold War

New York Times: Inside an Iraqi Major’s Battle Against ISIS

Defense News: Navy might get to skip Ford shock trials ahead of first deployment

Foreign Policy: Trump’s renewed Russia sanctions look a lot like Obama’s

Reuters: Rebels say Syrian army, Iranian-backed militias launch offensive in eastern desert

War on the Rocks: Five myths about a controversial nuclear weapon

Stars and Stripes: Patriot batteries are Tokyo’s last line of defense against North Korean missiles

USNI News: Russian military industrial complex struggling to develop new technology

Calendar

WEDNESDAY | JUNE 21

8 a.m. 2101 Wilson Blvd. Insider threat workshop. ndia.org

8:30 a.m. 1300 Pennsylvania Ave. NW. Day 1 of a forum on the United States and Russia in the Arctic. wilsoncenter.org

9 a.m. Russell 232-A. Navy shipbuilding programs. armed-services.senate.gov

10 a.m. Hart 216. Russian Interference in the 2016 U.S. elections. intelligence.senate.gov

10 a.m. House Visitor Center 210. Russia Investigative Task Force hearing with former Secretary of Homeland Security Jeh Johnson. intelligence.house.gov

10:30 a.m. Dirksen 192. Review of the 2018 budget request for the Air Force with Secretary Heather Wilson and Gen. David Goldfein, chief of staff. appropriations.senate.gov

10:30 a.m. Dirksen 342. Cybersecurity regulation harmonization. hsgac.senate.gov

2:30 p.m. Dirksen 124. Review of the 2018 budget request for the U.S. Department of Veterans Affairs with Secretary David Shulkin. appropriations.senate.gov

2:30 p.m. Rayburn 2212. Subcommittee on Emerging Threats and Capabilities budget markup. Armedservices.house.gov

3 p.m. The State Department. Defense Secretary Jim Mattis and Secretary of State Rex Tillerson brief the press on the the U.S.-China Diplomatic and Security Dialogue, Livestreamed at  www.defense.gov/live.

4 p.m. Rayburn 2118. Subcommittee on Tactical Air and Land Forces budget markup. armedservices.house.gov

THURSDAY | JUNE 22

8:30 a.m. 1300 Pennsylvania Ave. NW. Day 2 of a forum on the United States and Russia in the Arctic. wilsoncenter.org

8:45 a.m. Rayburn 2212. Subcommittee on Readiness budget markup. armedservices.house.gov

9:30 a.m. Dirksen G-50. Nomination of Richard V. Spencer to be Navy secretary. armed-services.senate.gov

9:30 a.m. 1501 Lee Highway. State of electronic warfare in the DOD with William Conley, deputy director of electronic warfare, office of the under secretary of defense. mitchellaerospacepower.org

10:30 a.m. Rayburn 2118. Subcommittee on Strategic Forces budget markup. armedservices.house.gov

11 a.m. Senate Visitor Center 217. Closed hearing on recent developments in North Korea with Joseph Yun, special representative for North Korea policy and deputy assistant secretary of state for Korea And Japan. foreign.senate.gov

11:30 a.m. Rayburn 2212. Subcommittee on Military Personnel budget markup. armedservices.house.gov

12:30 p.m. Rayburn 2118. Subcommittee on Seapower and Projection Forces budget markup. armedservices.house.gov

1 p.m. 1300 Pennsylvania Ave. NW. A conversation with Vice President Mike Pence. wilsoncenter.org

FRIDAY | JUNE 23

11 a.m. 214 Massachusetts Ave. NE. Opportunities and challenges of a nuclear posture review. heritage.org

1:30 p.m. 1030 15th St. NW. Poland’s new defense concept with State Undersecretary H.E. Tomasz Szatkowski, of Poland’s Ministry of National Defense. atlanticcouncil.org

MONDAY | JUNE 26

12:30 p.m. 1030 15th St. NW. Rising Chinese FDI in Latin America and the implications for the United States. atlanticcouncil.org

2 p.m. 1300 Pennsylvania Ave. NW. The Korean War, the “forgotten war,” remembered. wilsoncenter.org

4 p.m. Russell 232-A. Closed hearing by Subcommittee on Airland to markup the National Defense Authorization Act. armed-services.senate.gov

5:30 p.m. 1775 Massachusetts Ave. N.W. Foreign Service: Five decades on the frontlines of American diplomacy. brookings.edu

TUESDAY | JUNE 27

8 a.m. 1616 Rhode Island Ave. NW. Integrating Strike and Defense with Lt. Gen. Henry “Trey” Obering, director of the Missile Defense Agency, and former Rep. Randy Forbes. csis.org

8:30 a.m. 1030 15th St. NW. Big data and the Twenty-first Century arms race. atlanticcouncil.org

9 a.m. Russell 232-A. Closed hearing by Subcommittee on Readiness to markup the National Defense Authorization Act. armed-services.senate.gov

11 a.m. Russell 232-A. Closed hearing by Subcommittee on Cybersecurity to markup the National Defense Authorization Act. armed-services.senate.gov

12:30 p.m. 529 14th St. NW. Luncheon with Army Chief of Staff Gen. Mark Milley. press.org

1 p.m. 214 Massachusetts Ave. NE. The future of Mosul and Iraq after the ISIS flag falls with Rep. Adam Kinzinger. heritage.org

2 p.m. Dirksen G-50. Closed hearing by Subcommittee on Personnel to markup the National Defense Authorization Act. armed-services.senate.gov

3:30 p.m. Russell 232-A. Closed hearing by Subcommittee on Seapower to markup the National Defense Authorization Act. armed-services.senate.gov

3:30 p.m. 1300 Pennsylvania Ave. NW. Book launch for Water, Security and U.S. Foreign Policy. wilsoncenter.org

4:30 p.m. Dirksen G-50. Closed hearing by Subcommittee on Emerging Threats to markup the National Defense Authorization Act. armed-services.senate.gov

5:30 p.m. Russell 232-A. Closed hearing by Subcommittee on Strategic Forces to markup the National Defense Authorization Act. armed-services.senate.gov

WEDNESDAY | JUNE 28

8 a.m. 1201 M St. SE. Systems engineering division meeting. ndia.org

9:30 a.m. 1127 Connecticut Ave. NW. 2017 Annual Conference: Navigating the Divide. cnas.org

9:30 a.m. Russell 222. Full committee markup of the National Defense Authorization Act. armed-services.senate.gov

10 a.m. 214 Massachusetts Ave. NE. Strategic cyber deterrence: The active cyber defense option with author Scott Jasper. heritage.org

11:30 a.m. 1030 15th St. NW. Rebalancing U.S. force posture in Europe and beyond. atlanticcouncil.org

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