Looks like the PRC will be using military contractors heavily in its attempt to modernize its military structure. A lot of this is being driven by Chinese studies of the Iraq war and how the US military fights. It's interesting to see what lessons they are drawing from our experiences.
They've apparently decided that logistics in particular can be farmed out to contractors. Now, that's an interesting decision. I understand the reasoning, but it will be interesting to see how it stands up if China finds itself engaged in a real fight at some point. One of the groups you definitely want to have subject to military discipline, I would think, is the group providing for the logistical needs of your fighters.
Of course, in China, the justice system works somewhat differently than ours (to say the least that might be said!). So it could be that this will be less of a problem under their system than ours.
Xinhua - English
China Chooses Contractors:
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