Panetta Calls for Expanded Military Ties with China

I think this was the point of the visit and the call for expanded ties:

“With respect to these current tensions, we are urging calm and restraint by all sides, and encourage them to maintain open channels of communication in order to resolve these disputes diplomatically and peacefully," he [Panetta] said. "It’s in no country’s interest for this situation to escalate into conflict which would undermine peace and stability in this very important region.”