China - Introduction 2012
top of pageBackground: For centuries China stood as a leading civilization outpacing the rest of the world in the arts and sciences but in the 19th and early 20th centuries the country was beset by civil unrest major famines military defeats and foreign occupation. After World War II the Communists under MAO Zedong established an autocratic socialist system that while ensuring China's sovereignty imposed strict controls over everyday life and cost the lives of tens of millions of people. After 1978 MAO's successor DENG Xiaoping and other leaders focused on market-oriented economic development and by 2000 output had quadrupled. For much of the population living standards have improved dramatically and the room for personal choice has expanded yet political controls remain tight. China since the early 1990s has increased its global outreach and participation in international organizations.
Climate: extremely diverse; tropical in south to subarctic in north
Terrain: mostly mountains high plateaus deserts in west; plains deltas and hills in east
Natural resources: coal iron ore petroleum natural gas mercury tin tungsten antimony manganese molybdenum vanadium magnetite aluminum lead zinc rare earth elements uranium hydropower potential (world's largest)
Natural hazards: frequent typhoons (about five per year along southern and eastern coasts); damaging floods; tsunamis; earthquakes; droughts; land subsidence
GeographyNote: world's fourth largest country (after Russia Canada and US); Mount Everest on the border with Nepal is the world's tallest peak
top of pageEthnic groups: Han Chinese 91.5% Zhuang Manchu Hui Miao Uighur Tujia Yi Mongol Tibetan Buyi Dong Yao Korean and other nationalities 8.5% (2000 census)
Languages: Standard Chinese or Mandarin (Putonghua based on the Beijing dialect) Yue (Cantonese) Wu (Shanghainese) Minbei (Fuzhou) Minnan (Hokkien-Taiwanese) Xiang Gan Hakka dialects minority languages (see Ethnic groups entry)
Religions: Daoist (Taoist) Buddhist Christian 3%-4% Muslim 1%-2%
EnvironmentCurrent issues: air pollution (greenhouse gases sulfur dioxide particulates) from reliance on coal produces acid rain; water shortages particularly in the north; water pollution from untreated wastes; deforestation; estimated loss of one-fifth of agricultural land since 1949 to soil erosion and economic development; desertification; trade in endangered species
top of pageAdministrative divisions: 23 provinces (sheng singular and plural) 5 autonomous regions (zizhiqu singular and plural) and 4 municipalities (shi singular and plural)
Independence: 1 October 1949 (People's Republic of China established); notable earlier dates: 221 BC (unification under the Qin Dynasty); 1 January 1912 (Qing Dynasty replaced by the Republic of China)
National holiday: Anniversary of the founding of the People's Republic of China 1 October (1949)
Constitution: most recent promulgation 4 December 1982; amended several times
Legal system: civil law influenced by Soviet and continental European civil law systems; legislature retains power to interpret statutes; note - criminal procedure law revised in early 2012
Legislative branch: unicameral National People's Congress or Quanguo Renmin Daibiao Dahui (2,987 seats; members elected by municipal regional and provincial people's congresses and People's Liberation Army to serve five-year terms)
Judicial branch: Supreme People's Court (judges appointed by the National People's Congress); Local People's Courts (comprise higher intermediate and basic courts); Special People's Courts (primarily military maritime railway transportation and forestry courts)
Political parties and leaders: Chinese Communist Party or CCP [XI Jinping]; eight nominally independent small parties ultimately controlled by the CCP
International organization participation: ADB AfDB (nonregional member) APEC ARF ASEAN (dialogue partner) BIS CDB CICA EAS FAO FATF G-20 G-24 (observer) G-77 IADB IAEA IBRD ICAO ICC (national committees) ICRM IDA IFAD IFC IFRCS IHO ILO IMF IMO IMSO Interpol IOC IOM (observer) IPU ISO ITSO ITU LAIA (observer) MIGA MINURSO MONUSCO NAM (observer) NSG OAS (observer) OPCW PCA PIF (partner) SAARC (observer) SCO SICA (observer) UN UNAMID UNCTAD UNESCO UNFICYP UNHCR UNIDO UNIFIL UNISFA UNMIL UNMISS UNMIT UNOCI UNSC (permanent) UNTSO UNWTO UPU WCO WHO WIPO WMO WTO ZC
Flag description: red with a large yellow five-pointed star and four smaller yellow five-pointed stars (arranged in a vertical arc toward the middle of the flag) in the upper hoist-side corner; the color red represents revolution while the stars symbolize the four social classes - the working class the peasantry the urban petty bourgeoisie and the national bourgeoisie (capitalists) - united under the Communist Party of China
top of pageEconomy overview: Since the late 1970s China has moved from a closed centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture and expanded to include the gradual liberalization of prices fiscal decentralization increased autonomy for state enterprises creation of a diversified banking system development of stock markets rapid growth of the private sector and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years China has renewed its support for state-owned enterprises in sectors it considers important to 'economic security' explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20% but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010 when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences China in 2012 stood as the second-largest economy in the world after the US having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still per capita income is below the world average. The Chinese government faces numerous economic challenges including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution soil erosion and the steady fall of the water table especially in the North - is another long-term problem. China continues to lose arable land: because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil focusing on nuclear and alternative energy development. In 2010-11 China faced high inflation resulting largely from its credit-fueled stimulus program. Some tightening measures appear to have controlled inflation but GDP growth consequently slowed to under 8% for 2012. An economic slowdown in Europe contributed to China's and is expected to further drag Chinese growth in 2013. Debt overhang from the stimulus program particularly among local governments and a property price bubble challenge policy makers currently. The government's 12th Five-Year Plan adopted in March 2011 emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent on exports in the future. However China has made only marginal progress toward these rebalancing goals.
Agriculture products: world leader in gross value of agricultural output; rice wheat potatoes corn peanuts tea millet barley apples cotton oilseed; pork; fish
Exports: $1.899 trillion (2011 est.)
Rank: 2
Commodities: electrical and other machinery including data processing equipment apparel textiles iron and steel optical and medical equipment
Partners: US 17.1% Hong Kong 14.1% Japan 7.8% South Korea 4.4% Germany 4% (2011)
Imports: $1.74 trillion (2011 est.)
Rank: 3
Commodities: electrical and other machinery oil and mineral fuels optical and medical equipment metal ores plastics organic chemicals
Partners: Japan 11.2% South Korea 9.3% US 6.8% Germany 5.3% Australia 4.6% (2011)
Exchange rates:
Renminbi yuan (RMB) per US dollar -
6.311 (2012 est.)
6.4615 (2011 est.)
6.7703 (2010 est.)
6.8314 (2009)
6.9385 (2008)
top of pageChina - Communication 2012
top of pageBroadcast media: all broadcast media are owned by or affiliated with the Communist Party of China or a government agency; no privately-owned TV or radio stations; state-run Chinese Central TV provincial and municipal stations offer more than 2000 channels; the Central Propaganda Department lists subjects that are off limits to domestic broadcast media with the government maintaining authority to approve all programming; foreign-made TV programs must be approved prior to broadcast (2008)
top of pageMilitary service age and obligation: 18-24 years of age for selective compulsory military service with a 2 year service obligation; no minimum age for voluntary service (all officers are volunteers); 18-19 years of age for women high school graduates who meet requirements for specific military jobs; a recent military decision allows women in combat roles; the first class of women warship commanders was in training in 2011 (2010)
China - Transportation 2012
top of pagePipelines: gas 38,566 km; oil 23,470 km; refined products 13,706 km (2010)
China - Transnational issues 2012
top of pageDisputes international: continuing talks and confidence-building measures work toward reducing tensions over Kashmir that nonetheless remains militarized with portions under the de facto administration of China (Aksai Chin) India (Jammu and Kashmir) and Pakistan (Azad Kashmir and Northern Areas); India does not recognize Pakistan's ceding historic Kashmir lands to China in 1964; China and India continue their security and foreign policy dialogue started in 2005 related to the dispute over most of their rugged militarized boundary regional nuclear proliferation and other matters; China claims most of India's Arunachal Pradesh to the base of the Himalayas; lacking any treaty describing the boundary Bhutan and China continue negotiations to establish a common boundary alignment to resolve territorial disputes arising from substantial cartographic discrepancies the largest of which lie in Bhutan's northwest and along the Chumbi salient; Burmese forces attempting to dig in to the largely autonomous Shan State to rout local militias tied to the drug trade prompts local residents to periodically flee into neighboring Yunnan Province in China; Chinese maps show an international boundary symbol off the coasts of the littoral states of the South China Seas where China has interrupted Vietnamese hydrocarbon exploration; China asserts sovereignty over Scarborough Reef along with the Philippines and Taiwan and over the Spratly Islands together with Malaysia the Philippines Taiwan Vietnam and Brunei; the 2002 Declaration on the Conduct of Parties in the South China Sea eased tensions in the Spratlys but is not the legally binding code of conduct sought by some parties; Vietnam and China continue to expand construction of facilities in the Spratlys and in March 2005 the national oil companies of China the Philippines and Vietnam signed a joint accord on marine seismic activities in the Spratly Islands; China occupies some of the Paracel Islands also claimed by Vietnam and Taiwan; China and Taiwan continue to reject both Japan's claims to the uninhabited islands of Senkaku-shoto (Diaoyu Tai) and Japan's unilaterally declared equidistance line in the East China Sea the site of intensive hydrocarbon exploration and exploitation; certain islands in the Yalu and Tumen rivers are in dispute with North Korea; North Korea and China seek to stem illegal migration to China by North Koreans fleeing privations and oppression by building a fence along portions of the border and imprisoning North Koreans deported by China; China and Russia have demarcated the once disputed islands at the Amur and Ussuri confluence and in the Argun River in accordance with their 2004 Agreement; China and Tajikistan have begun demarcating the revised boundary agreed to in the delimitation of 2002; the decade-long demarcation of the China-Vietnam land boundary was completed in 2009; citing environmental cultural and social concerns China has reconsidered construction of 13 dams on the Salween River but energy-starved Burma with backing from Thailand remains intent on building five hydro-electric dams downstream despite regional and international protests; Chinese and Hong Kong authorities met in March 2008 to resolve ownership and use of lands recovered in Shenzhen River channelization including 96-hectare Lok Ma Chau Loop; Hong Kong developing plans to reduce 2000 out of 2,800 hectares of its restricted Closed Area by 2010
Illicit drugs: major transshipment point for heroin produced in the Golden Triangle region of Southeast Asia; growing domestic consumption of synthetic drugs and heroin from Southeast and Southwest Asia; source country for methamphetamine and heroin chemical precursors despite new regulat
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