The Conservative MP told Sky News that the conflict will be fought with cyber weapons rather than military power. Mr Ellwood added that the UK needs to join forces with other nations to show unity and strength in order to deter China from escalating the tensions.
Mr Ellwood said: “I actually believe that we have now entered a new cold war but it won’t be fought like the last one against the Soviets.
“There will not be a build-up of military power on both sides.
“This time it will firstly be about nations being forced to take sides
“China is currently winning that battle, it neutralises countries by ensnaring them into long term debt, controlling countries by owning their data and paralysing countries the international apparatus such as the UN itself by removing global security.
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“On the other side this bypasses military operations using cyber weapons to hit society directly as every aspect of our life goes online.”
He added: “China exploits division and weakness and actually respects unity and strength, we are not showing that right now.”
Last month George Osborne warned that tensions between China and the West could spell “unthinkable tragedy”.
The former Chancellor told Amol Rajan’s ‘Rethink: The Edge of Change’ that Western countries and America must decide whether to implement a containment policy against China or give them the seat at the world table their status deserves.
“You call them out when they are wrong such as on Hong Kong but also understand their legitimate desire and right for a place at the world table that reflects their size and importance in the world.
“That cooperation strategy seems to be the best way to deal with this rising power.
“The alternative is really unthinkable.
“Arguably with all these challenges we have got about, coronavirus, climate change, if we are heading into another Cold War between the United States and China that is going to dominate our lives and make solutions to these other problems simply impossible.”