Congressional Research Service

China’s Communist Party dominates state and society in China, is committed to maintaining a permanent monopoly on power, and is intolerant of those who question its right to rule. Nonetheless, analysts consider China’s political system to be neither...

China’s banking system has been gradually transformed from a centralized, government-owned, and government-controlled provider of loans into an increasingly competitive market in which different types of banks, including several U.S. banks, strive...

The United States will host the Asia-Pacific Economic Cooperation’s (APEC’s) 19th Economic Leaders’ Meeting in Honolulu, HI, on November 12 & 13, 2011. APEC was founded in 1989 to facilitate trade and investment liberalization in the Asia-...

U.S.-China economic ties have expanded substantially over the past three decades. Total U.S.-China trade rose from $2 billion in 1979 to $457 billion in 2010. Because U.S. imports from China have risen much more rapidly than U.S. exports to China,...

Given its relatively low savings rate, the U.S. economy depends heavily on foreign capital inflows from countries with high savings rates (such as China) to meet its domestic investment needs and to fund the federal budget deficit. The willingness...

Taiwan today calls itself the sovereign Republic of China (ROC), tracing its political lineage to the ROC set up in 1911 on mainland China and commemorating in 2011 the 100th anniversary of its founding. The ROC government retreated to Taipei in...

The 112th Congress continues to debate whether and how the United States should address climate change. Most often, this debate includes concerns about the effects of U.S. greenhouse gas (GHG) emissions controls if China and other major countries...

The question of how the United States should respond to China’s military modernization effort, including its naval modernization effort, has emerged as a key issue in U.S. defense planning. This issue is of particular importance to the U.S. Navy,...

Support for the democratization of Hong Kong has been an element of U.S. foreign policy for over seventeen years. The democratization of Hong Kong is also enshrined in the Basic Law, Hong Kong’s quasi-constitution that was passed by China’s National...

China’s ruling executive body, the State Council, established the China Investment Corporation (CIC), a sovereign wealth fund, in September 2007 to invest $200 billion of China’s then $1.4 trillion in foreign exchange reserves. As with other...

China’s steel industry has grown significantly since the mid-1990s. China is now the world’s largest steelmaker and steel consumer. The majority of Chinese steel has been used to meet domestic demand in China. However, as its steel production...

China has experienced tremendous economic growth over the last three decades, with an annual average increase in gross domestic product of 9.8 percent during that period. This has led to an increasing demand for energy, spurring China to add an...

The United States suspended military contacts with China and imposed sanctions on arms sales in response to the Tiananmen Crackdown in 1989. In 1993, the Clinton Administration re-engaged with the top PRC leadership, including China's military...

Taiwan, which its government formally calls the Republic of China (ROC), is a success story for U.S. interests in the promotion of universal freedoms and democracy. Taiwan’s people and their leaders transformed politics from rule imposed from the...

There is a large and growing difference between the official trade statistics released by the United States and the People’s Republic of China. According to the United States, the 2009 bilateral trade deficit with China was $226.8 billion. According...

The global financial crisis, the end of the Cold War, the rise of China, globalization, free trade agreements, the war on terror, and an institutional approach to keeping the peace are causing dramatic shifts in relationships among countries in East...

Congress and the Executive Branch have historically identified the Asia Pacific Economic Cooperation forum (APEC) as potentially important in the promotion of liberalized international trade and investment in Asia, and possibly the rest of the world...

The People’s Republic of China (PRC) plays a key role in U.S. policy toward the Democratic People’s Republic of Korea (DPRK or North Korea). The PRC is North Korea’s closest ally, largest provider of food, fuel, and industrial machinery, and...

After the terrorist attacks on September 11, 2001, the United States faced a challenge in enlisting the full support of the People’s Republic of China (PRC) in the counterterrorism fight against Al Qaeda. This effort raised short-term policy issues...

Since the initiation of economic reforms and trade liberalization thirty years ago, China has been one of the world’s fastest-growing economies and has emerged as a major economic and trade power. The combination of large trade surpluses, FDI flows...

Some Members of Congress charge that China’s policy of accumulating foreign reserves (especially U.S. dollars) to influence the value of its currency constitutes a form of currency manipulation intended to make its exports cheaper and imports into...

In recent years, the People’s Republic of China (PRC) has bolstered its diplomatic presence and garnered international goodwill in the developing world through financing infrastructure and natural resource development projects, assisting in the...

The bilateral relationship between the U.S. and the People’s Republic of China (PRC) is vitally important, touching on a wide range of areas including, among others, economic policy, security, foreign relations, and human rights. U.S. interests with...

The automobile industry, a key sector in China’s industrialization and modernization efforts, has been developing rapidly since the 1990s. In recent years, China has become the world’s fastest growing automotive producer. Annual vehicle output has...

Financial authorities in East Asia have adopted a variety of foreign exchange rate policies, ranging from Hong Kong’s currency board system which links the Hong Kong dollar to the U.S. dollar, to the “independently floating” exchange rates of Japan...

Human rights has been a principal area of U.S. concern in its relations with the People’s Republic of China (PRC), particularly since the violent government crackdown on the Tiananmen democracy movement in 1989. Some policy makers contend that the U...

In 1979, official U.S. relations with Taiwan (the Republic of China) became a casualty of the American decision to recognize the government of the People’s Republic of China (PRC) as China’s sole legitimate government. Since then, U.S. unofficial...

Over the past several years, China has enjoyed one of the world’s fastest growing economies and has been a major contributor to world economic growth. However, the current global financial crisis threatens to significantly slow China’s economy...

U.S. government support of rule of law and civil society programs in the People’s Republic of China constitutes a key component of its efforts to promote democratic change in China. Other related U.S. activities include participation in official...

Policy toward and support for Taiwan are a key element in U.S. relations with the People’s Republic of China (PRC) and an important component of U.S. policy in Asia. Recently, pessimistic observers see growing PRC-Taiwan ties eroding U.S. influence...

Congress and the Executive Branch have historically identified the Asia Pacific Economic Cooperation (APEC) as an important organization to help promote the U.S. goal of liberalizing international trade and investment in Asia, and possibly the rest...

U.S. policy on Tibet is governed by the Tibetan Policy Act of 2002 (TPA), enacted as part of the Foreign Relations Authorization Act of FY2003 (P.L. 107-228). In addition to establishing a number of U.S. principles with respect to human rights,...

In the past several years, the People’s Republic of China (PRC) has bolstered its diplomatic presence and garnered international goodwill through its financing of infrastructure and natural resource development projects, assistance in the carrying...

U.S.-Taiwan relations have undergone important changes, sparked in part by the increasing complexity of Taiwan’s democratic political environment and the continued insistence of Beijing that the separately ruled Taiwan is a part of the People’s...

After a period of diplomatic rancor earlier this decade, Japan and China have demonstrably improved their bilateral relationship. The emerging detente includes breakthrough agreements on territorial disputes, various high-level exchanges, and...

Since the war on terrorism began in 2001 and the Millennium Challenge Account (MCA) and Global HIV/AIDS Initiative (GHAI) were launched in 2004, the United States has increased foreign aid spending dramatically in some regions, including East and...

U.S. officials saw relations with Taiwan as especially troubled during the 109th Congress in 2005-2006, beset by the increasing complexity and unpredictability of Taiwan’s democratic political environment as well as by PRC actions underscoring...

In a large turnout on March 22, 2008, voters in Taiwan elected as president Mr. Ma Ying-jeou of the Nationalist (KMT) Party. Mr. Ma out-polled rival candidate Frank Hsieh, of the pro-independence Democratic Progressive Party (DPP), by a 2.2 million...

China has experienced a sharp rise in the inflow of so-called “hot money,” foreign capital entering the country supposedly seeking short-term profits, especially in 2008. Chinese estimates of the amount of “hot money” in China vary from $500 billion...

On March 10, 2008, a series of demonstrations began in Lhasa and other Tibetan regions of China to mark the 49th anniversary of an unsuccessful Tibetan uprising against Chinese rule in 1959. The demonstrations appeared to begin peacefully with small...

China has a determined, yet still modest, program of civilian space activities planned for the next decade. The potential for U.S.-China cooperation in space—an issue of interest to Congress—has become more controversial since the January 2007...

Taiwan’s presidential election of March 22, 2008 indicates a reduction in future cross-strait tension, as winner Ma Ying-jeou is less provocative toward Beijing than Chen Shui-bian has been. The near-term outlook for Taiwan’s future is positive for...

In a large turnout on March 22, 2008, voters in Taiwan elected as president Mr. Ma Ying-jeou of the Nationalist (KMT) Party. Mr. Ma out-polled rival candidate Frank Hsieh, of the pro-independence Democratic Progressive Party (DPP), by a 2.2 million...

China’s rapid economic growth since 1979 has transformed it into a major economic power. Over the past few years, many analysts have contended that China could soon overtake the United States to become the world’s largest economy, based on estimates...

On January 12, 2008, Taiwan’s ruling party, the Democratic Progressive Party (DPP), suffered a crushing defeat in elections for the Legislative Yuan, the national legislature. The DPP won only twenty-seven seats in the new 113-member body, while the...

The prospects for democratization in Hong Kong became clearer following a decision of the Standing Committee of China’s National People’s Congress (NPCSC) on December 29, 2007. The NPCSC’s decision effectively set the year 2017 as the earliest date...

On January 11, 2007, the People’s Republic of China (PRC) conducted its first successful direct-ascent anti-satellite (ASAT) weapons test in destroying one of its own satellites in space. The test raised international concerns about more space...

The U.S. policy framework for Taiwan was laid down in 1979 when Washington severed official relations with the Republic of China (ROC) on Taiwan and instead recognized the People’s Republic of China (PRC) as the legitimate Chinese government. The...

The rise of China from a poor, stagnant country to a major economic power within a time span of only twenty-eight years is often described by analysts as one of the greatest economic success stories in modern times. From 1979 (when economic reforms...

As imports from the People’s Republic of China (PRC) have surged in recent years, posing a threat to some U.S. industries and manufacturing employment, Congress has begun to focus on not only access to the Chinese market and intellectual property...

The U.S. policy framework for Taiwan was laid down in 1979 when Washington severed official relations with the Republic of China (ROC) on Taiwan and instead recognized the People’s Republic of China (PRC) as the legitimate Chinese government. The...

The economic rise of China and the growing network of trade and investment relations in northeast Asia are causing major changes in human, economic, political, and military interaction among countries in the region. This is affecting U.S. relations...

Fundamental shifts underway in Asia could constrain the U.S. role in the multilateral affairs of Asia. The centrality of the United States is now being challenged by renewed regionalism in Asia and by China’s rising influence. While the United...

Many are concerned that China’s currency is undervalued and that this injures the U.S. economy. The Chinese authorities say they are not manipulating their currency and they want to move as soon as possible to a market-based yuan. A new exchange...

Since its founding in 1949, the People’s Republic of China (PRC) has often been accused of manipulating the flow of information and prohibiting the dissemination of viewpoints that criticize the government or stray from the official Communist party...

The Hong Kong Special Administrative Region (HKSAR) has recently recovered from an economic downturn and the SARS virus outbreak of 2002-2003 which crippled trade and tourism. There has also been a major change in top government personnel, with the...

Over the past year, increasing attention has focused on China’s growing interest in Latin America. Most analysts appear to agree that China’s primary interest in the region is to gain greater access to needed resources—such as oil, copper, and iron—...

The European Union (EU) is considering lifting its arms embargo on China, which was imposed in response to the June 1989 Tiananmen Crackdown. France, Germany, and other EU members claim that the embargo hinders the development of a “strategic...

In recent months, discussions have been held within the European Union (EU) on the question of lifting the embargo on arms exports to the People’s Republic of China that was imposed on China on June 27, 1989. The prospect that the EU would lift its...

During the George W. Bush Administration, U.S. and People’s Republic of China (PRC) foreign policy calculations have undergone several changes. The Bush Administration assumed office in January 2001 viewing China as a U.S. ”strategic competitor.”...