According to Wen Wei Po, nine naval command bases will be phased out and the fleets will take orders directly from central command.

If the information is reliable, this would be the second major change in the Chinese navy this year after the dismissal of several senior officers following a submarine accident in which 70 sailors perished.

China's air force will also undertake a major reorganization aimed at boosting efficiency, according to the newspaper which first reported on dismissals in the navy this June.

Four out of five air force commands would be abolished also and only the airbourne divisions would give orders.

The changes are part of a wider drive to pull the 2.5 million soldiers of the People's Liberation Army into step with international military developments, said the newpaper drawing on remarks made by military chief and former Chinese leader Jiang Zemin.

Jiang Zemin is still seen as the power behind the thrown since he officially stepped down from his post as the Chinese president and leader of the Communist Party, but remained as head of the military.

"New technology, especially information technology, has undergone a spectacular development, which has driven the evolution of the world's armed forces," the president of the military commission stated last month in front of officers.

"Our armed forces face a formidable challenge but also an opportunity for modernisation and preparation for combat which is not to missed," Jiang said.

WAR.WIRE