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Updated April 29, 2024

Taiwan: Background and U.S. Relations

Introduct on
Taiwan, which also calls itself the Republic of China
(ROC), is a self-governing democracy of 23.5 million
people located across the Taiwan Strait from mainland
China. The United States terminated diplomatic relations
with the ROC on January 1, 1979, in order to establish
diplomatic relations with the People's Republic of China
(PRC), which claims sovereignty over Taiwan. U.S.
relations with Taiwan have been unofficial since that date.
In establishing relations with the PRC, the U.S. government
agreed to withdraw U.S. military personnel from Taiwan
and terminate the U.S.-ROC Mutual Defense Treaty, as of
January 1, 1980. The 1979 Taiwan Relations Act (TRA,
P.L. 96-8; 22 U.S.C. §§3301 et seq.) provides a legal basis
for unofficial relations.
In its most recent fact sheet on U.S. relations with Taiwan,
issued in May 2022, the U.S. State Department refers to the
United States and Taiwan as enjoying a robust unofficial
relationship. The fact sheet describes Taiwan as a key
U.S. partner in the Indo-Pacific, and states that the United
States and Taiwan share similar values, deep commercial
and economic links, and strong people-to-people ties.

Figure I. Taiwan

Source: Graphic by CRS.
Modern History
Taiwan was a colony of Japan from 1895 to 1945. The
government of the ROC, then based on mainland China,
assumed control of Taiwan in 1945, after Japan's defeat in
World War II. In 1949, after the forces of the Communist
Party of China (CPC) wrested control of mainland China
from ROC forces in a civil war, the Kuomintang (KMT)-led
ROC government retreated to Taiwan, and the CPC
established the PRC on mainland China. The United States
continued to recognize the ROC government on Taiwan as

the government of all China. In 1971, U.N. General
Assembly (UNGA) Resolution 2758 recognized the PRC's
representatives as the only legitimate representatives of
China to the United Nations, and expelled the
representatives of Chiang Kai-shek, the ROC's then-
leader. In a December 1978 U.S.-PRC joint communiqu6,
the United States, too, recognized the PRC as the sole
legal Government of China, and stated that it would
henceforth maintain unofficial relations with Taiwan.
The KMT maintained martial law on Taiwan until 1987,
when it yielded to public pressure for political
liberalization. Taiwan held its first direct election for the
legislature, the Legislative Yuan (LY), in 1992, and its first
direct election for president in 1996.
2024 Political Trans ton
Taiwan held presidential and legislative elections on
January 13, 2024. Term limits made President Tsai Ing-wen
of the Democratic Progressive Party (DPP) ineligible to run
again. The DPP's presidential candidate was Lai Ching-te
(William Lai), Tsai's Vice President. He won with 40.05%
of the vote in a three-way race. The DPP is the first party to
win a third consecutive presidential term by direct election.
In the 113-seat LY, the DPP lost its majority. No party won
a majority, the first such outcome since 2004. The KMT,
now Taiwan's leading opposition party and supportive of
greater engagement with the PRC, won 52 seats, to the
DPP's 51. KMT-aligned independents won 2 seats. The
Taiwan People's Party (TPP), founded in 2019 with the
goal of challenging the dominance of the DPP and KMT,
won 8 seats, meaning it holds the balance of power in the
LY. The new LY took office on February 1 and elected Han
Kuo-yu of the KMT as its new president, or speaker.
Lai and Vice-President-elect Hsiao Bi-khim are scheduled
to be inaugurated on May 20. Lai's announced cabinet
appointments include familiar figures from the Tsai
Administration in key national security roles. Current
Presidential Secretary General Lin Chia-lung is to be
Foreign Minister, succeeding Joseph Wu, who is to lead the
National Security Council, replacing Wellington Koo, who
is to be Defense Minister. On the campaign trail, Lai
pledged continuity with President Tsai's policies, including
four commitments on cross-Strait relations that she first
articulated in 2021. They are commitments (1) to a free
and democratic constitutional system, (2) to the principle
that the Republic of China and the People's Republic of
China should not be subordinate to each other, (3) to
resist annexation or encroachment upon our sovereignty,
and (4) to the principle that the future of the Republic of
China (Taiwan) must be decided in accordance with the
will of the Taiwanese people. The PRC has assailed the
second item, in particular, for implying that the cross-Strait
relationship is akin to two separate states. Pre-election, the
PRC's Taiwan Affairs Office urged Taiwan voters to reject

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