The report examines five categories of China’s advanced weapons systems (counter-space, unmanned systems, maneuverable reentry vehicles, directed energy and electromagnetic railguns) and artificial intelligence applications for national defense. The report also assesses the implications of China’s advanced weapons programs for the United States and its allies and provides recommendations.

As space becomes more “congested, contested, and competitive,” as termed in the 2011 U.S. National Security Space Strategy, efforts by spacefaring nations to establish norms of behavior in space have become increasingly important. This issue brief examines China’s views on the Code of Conduct for Outer Space Activities proposed by the European Union, finding that Beijing instead continues to support a binding treaty that would ban the deployment of weapons in space, which it has jointly proposed with Russia. This treaty would significantly limit U.S. activities in space while doing little to reduce actual threats to space assets. China’s actions in regards to codes of conduct in other areas indicate it sometimes uses negotiations to prolong the status quo, and does not always adhere to its agreements. Should China continue to place a high value on developing military counterspace capabilities, its position should be expected to remain unchanged.

In July 2016, the United States and South Korea announced the alliance decision to deploy a U.S. Terminal High Altitude Area Defense (THAAD) antimissile battery in South Korea to defend against the increasing North Korean missile threat. The move has angered Beijing, which perceives THAAD as mostly directed at China and a regional security concern, according to its official statements. In response, Beijing has used economic coercion, among other levers, to try to compel Seoul to abandon the THAAD deployment, but these efforts have proven unsuccessful. This report includes an overview of the THAAD system and its deployment, China’s stated concerns about THAAD, and China’s array of pressure directed against South Korea. It also examines the implications of China’s forceful response to the deployment for the United States and the geopolitical landscape in the Asia Pacific.

In December 2016, Sao Tome and Principe—a country consisting of a group of islands and islets off the western coast of central Africa—broke diplomatic relations with Taiwan, and re-established diplomatic relations with China. The issue brief describes what happened, what it means for Taiwan, and how it fits into a series of measures that Beijing has taken to pressure Taiwan since the election of Taiwan’s President Tsai Ing-wen. •This is the second time since President Tsai’s election that Beijing has re-established diplomatic relations with one of Taipei’s former diplomatic partners—of which it now has only 21—marking a change in Beijing’s behavior. In 2008, Taipei and Beijing reached a tacit understanding to stop competing for recognition from each other’s diplomatic partners—a “diplomatic truce.” During the period that followed, Beijing also rejected overtures from several of Taiwan’s diplomatic partners to establish diplomatic relations with China. •Taiwan’s diplomatic relationships are significant for symbolic and practical reasons. Although, Taiwan almost certainly gains more from its unofficial relations with countries that have extensive international influence, such as the United States, diplomatic relations are an important component of Taiwan’s toolbox for maintaining a presence on the international stage. •Despite President Tsai’s pragmatic approach to cross-Strait relations and attempts to compromise, Beijing views her with suspicion due to her unwillingness to endorse the “one China” framework for cross-Strait relations. Other measures that Beijing has taken to pressure Taipei since President Tsai’s election include suspending official and semiofficial cross-Strait communication and meetings and excluding Taiwan from meetings of international organizations, among others.