Creating an air defence zone would require aircraft to identify themselves in parts of the South China Sea claimed by Beijing.
Financial Review: China threatens air defence zone in South China Sea
In a highly provocative move China has asserted its right to control airspace over the South China Sea after an international court repudiated Beijing's claim to much of the disputed territory.
The country's vice foreign minister, Liu Zhenmin, said any decision to set up an Air Defence Identification Zone (ADIZ) would depend on "the level of threats faced" by China.
"If our security is threatened of course we have the right," he said on Wednesday in the country's first major response to the unexpectedly strong rejection of the country's maritime boundary claims. "It is our hope other countries don't take the opportunity to threaten China."
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Update: Beijing mulls setting up air defense zone in S. China Sea, gets new guided-missile destroyer (RT)
WNU Editor: This will make everyone in Asia upset .... but the Chinese do not care.