In the October 1949 chart of the People's Republic of China, there is a Mars/Pluto conjunction in the 7th house, the area that describes relations with other countries. Mars/Pluto in this position suggests a belligerent, aggressive, and suspicious quality in China's relationships. This tone is set by China but also perceived by it as coming from abroad. Furthermore, Mars and Pluto are co-rulers of the Scorpio Midheaven of the Chinese chart. The all-important Midheaven and the planet(s) that rule it describe the government of a nation and the reputation of that nation in the world. With a Mars/Pluto conjunction ruling the Scorpio Midheaven from the 7th house, we see a government defined by suspicion (Pluto) of enemies (7th house) which it aggressively seeks to combat (Mars). These qualities are in evidence in China's relationship to its own population in its aggressive suppression of all perceived opposition (Tiananmen Square and Falung Gong, for example) as well as in its generally bellicose and distrustful attitude to other nations.
The recent escalation of tension between the United States and China may be understood in light of the activation of both Pluto and Mars simultaneously in the Chinese chart. The Chinese converse progressed Sun is currently conjunct natal Pluto. The power of this significant progression has been waxing in strength for several months and will peak around the beginning of June, thereafter waning in strength. The Sun's progression to Pluto here suggests an increase in the power struggles within the government, as well as an increase in the manipulative and suspicious tendencies of the government toward any perceived opposition.
The Mars half of the natal Mars/Pluto conjunction in the Chinese chart is presently being activated by the transit of Pluto trine natal Mars. This came into effect in January 2001 just as a new, hard-line conservative administration with its own bellicose rhetoric took control in Washington. Although this is a trine aspect, it is nonetheless inflammatory due to the natal conjunction of Mars and Pluto that lends Mars a particular sensitivity to any activation from Pluto. This transit activates the innate tendency for strained relations with a foreign country and increases martial rhetoric. The retrograde movement of Pluto across the exact aspect is at its most intense from the end of March through April 25, which exactly coincides with the crisis of the American crew held hostage in China and the rather tense aftermath of that situation. It may further be activated to a lesser extent by the Jupiter/Pluto opposition in the first week of May (14 Gemini/Sagittarius39) which falls about 14 minutes past the exact trine to Mars (14Leo53).
We can infer from the above that the activation of both Mars and Pluto simultaneously in the natal Chinese chart is likely to increase suspicions, anger, and aggressive rhetoric and action. These qualities are most intense from late March through April 25, 2001, with some possibility of reemerging during the first half of May with the Jupiter/Pluto opposition. As we move into June, the power of the converse progressed Sun conjunct Pluto begins to wane as does that of the Pluto transit, and we may expect some decrease in the general tenor of suspicion and need to control on the part of the Chinese, at least in the immediate future.