Israel's third largest trading partner globally and largest trading partner in East Asia. Trade volume increased from $50 million in 1992 to over $10 billion in 2013. Shared commonalities and similarities between the cultures and values of the two nations with ancient roots dating back thousands of years as well as convergence of interests have made the two countries natural partners. In addition, China is one of the few countries in the world to concurrently maintain warm relations with Israel, the Palestinians, and the Muslim world at large. China's status as a potential world power has prompted Israel to maintain closer ties with China by integrating China's global influence with Israel's pragmatic economic management, political stability and its regional strategic importance in the Middle East. Beijing has appreciated Israel's political stability and diplomatic ingenuity and sees the Jewish state as one of the regional pillars for securing China's influence in the Middle East and the entire world. China and Israel have developed close strategic military links with each other. Bilateral military relations have evolved from an initial Chinese policy of secret non-official ties to a close strategic partnership with the modern and militarily powerful Israel. Israel and China began extensive military cooperation as early as the 1980s, even though no formal diplomatic relations existed. Israel has provided China with military assistance, expertise and technology. According to a report from the United States-China Economic and Security Review Commission, "Israel ranks second only to Russia as a weapons system provider to China and as a conduit for sophisticated cutting-edge military technology, followed by France and Germany." Israel was ready to sell China the Phalcon, an Israeli airborne early-warning radar system (AWACS), until the United States forced it to cancel the deal. Some estimate that Israel sold arms worth US$4 billion to China in this period. China has looked to Israel for the arms and military technology it cannot acquire from the United States and Russia. Israel is now China's second-largest foreign supplier of arms after Russia. China has purchased a wide array of military equipment and technology, including communications satellites. China is a vital market for Israel's aerospace and defense industry. Due to Israel's recognition of China, Israel has also limited its cooperation with Taiwan in order to foster closer ties with Mainland China. Since the establishment of diplomatic relations, cultural exchange has been a major component of bilateral relations, as both