U.S.-China economic ties have expanded substantially over the past three decades. With a huge population and a rapidly expanding economy, China is a potentially huge market for U.S. exporters. However, bilateral economic relations have become strained over a number of issues, which this report discusses at length. The current global economic crisis could further challenge China-U.S. economic ties. Several Members of Congress have urged the Obama Administration to take a more assertive approach in dealing with Chinese economic practices.

This report discusses the “Falun Gong” movement, which led to the largest and most protracted public demonstrations in China since the democracy movement of 1989. The People’s Republic of China (PRC) government, fearful of a political challenge and the spread of social unrest, outlawed Falun Gong in July 1999. Despite a massive government campaign against them and harsh punishments meted out to many followers, Falun Gong members continued to stage demonstrations for over two years.