This report is a succinct overview of the U.S.-Taiwan relationship including an analysis of issues. For decades, Taiwan has been of significant security, economic, and political interest to the United States. While the United States does not diplomatically recognize Taiwan, it is a significant autonomous actor in the world.

Tensions in the Taiwan Straits are prompting American policymakers to consider a range of measures that would demonstrate U.S. interests in Taiwan's security. President Clinton has ordered two U.S. carrier battle groups into the South China Sea, and Congress is considering legislation that would more forcefully express U.S. defense commitments to Taiwan.

This report, updated as warranted, discusses U.S. security assistance to Taiwan, or the Republic of China (ROC), including policy issues for Congress and legislation. The Taiwan Relations Act (TRA), P.L. 96-8, has governed U.S. arms sales to Taiwan since 1979 when the United States recognized the People’s Republic of China (PRC) instead of the ROC. Two other relevant parts of the “one China” policy are the August 17, 1982, U.S.-PRC Joint Communique and the “Six Assurances” made to Taiwan. U.S. arms sales to Taiwan have been significant. In addition, the United States has expanded military ties with Taiwan after the PRC’s missile firings in 1995-1996. However, there is no defense treaty or alliance with Taiwan.