Outgoing CIA director Leon Panetta, US President Barack Obama’s pick for US secretary of defense, said China was preparing for “potential contingencies” involving Taiwan, which could include potential military clashes.

In written answers to questions posed by the US Senate Armed Services Committee, Panetta said China’s military expansion was geared toward building the capability “to fight and win short-duration, high-intensity conflicts” close to home.

He was almost certain to be questioned further on the issue at his senate confirmation hearings in Washington yesterday.