1.1 Territory

China’s territory covers an area of 9.6 million kilometers, making it the third-largest country in the world after Russia and Canada. It makes up some one-fifteenth of the world’s total land area and is about the size of Europe. China is located at the eastern end of the Asian continent and on the western shore of the Pacific Ocean. Such a geographical position has made it easy to develop relations with numerous neighboring countries as well as with various other countries. The humid air from the sea brings plentiful rainfall, which is the major source of China’s freshwater resources and the essential condition for the development of agricultural production.

China has a vast stretch of territory. From north to south it measures about 5,500 kilometers, sprawling across 50 degrees of latitude, with the northernmost boundary being marked by the principal channel of navigation in the middle of the Heilongjiang River (near 53 degrees north latitude), to the north of a town named Mohe, and the extreme southern boundary being a group of submerged coral islands known as Zengmu (four degrees north latitude). From east to west, China stretches for more than 5,000 kilometers, straddling 62 degrees of longitude, with the eastern end located where the principal channels of navigation on the Heilongjiang River and the Ussuri River meet (135 degrees east longitude), and the western end on the Pamir Plateau in Xinjiang (73 degrees east longitude). China borders Korea in the east, Russia in the northeast, Mongolia in the north, Russia and Kazakhstan in the northwest, Kirghizstan, Tadzhikistan, Afghanistan and Pakistan in the west, India, Nepal, Sikkim and Bhutan in the southwest, and Myanmar, Laos and Vietnam in the south. China has a variety of landforms, with mountainous areas making up two-thirds of the total area. From a bird’s eye view, the country looks like a series of descending terraces, trending downwards from the west to the east.

As China is situated in the Northern Hemisphere, and the Tropic of Cancer runs through its southern part, the major part of the country is in the north temperate zone, while the remaining small part is in the tropics. Its latitudinal position provides adequate sunshine and heat, and the large span from north to south is conducive to the growth of a large variety of animals and plants. Because of different distances from the sea, varying topography and varying trends of mountains, China has a marked monsoonal climate characterized by great variety. It is hot and rainy in summer and cold and dry in winter. The rainy season coincides with the hot season.

1.2 Natural Resources

China’s land resources have a large absolute figure but a small per-capita share. They are diversified in variety, but cultivated land makes up just a small proportion. Utilization of land is complex and the differences in the level of the productive forces between regions are obvious. The distribution of land resources is unbalanced between regions. The problem of protection and development are outstanding. Rivers and lakes are the major freshwater resources. The per capita amount of runoff in China is 2,200 cubic meters, 24.7 percent of the world’s per capita amount of runoff. The distribution of water resources is unbalanced — more in the south and less in the north — while the distribution of cultivated land is just the opposite. Such a bad match between the water and farmland resources has intensified the shortage of water in the northern areas of the country. China has reserves of 680 million kilowatts of water energy resources, ranking first in the world. Such resources on the upper reaches of the Yangtze, Yellow and Pearl rivers have been well developed and utilized. China is also one of the countries with the greatest diversities of plants and animals.

China is rich in mineral resources. About 140 types of minerals have been proven to be of industrial mining value. China’s proven reserves of tungsten, antimony, rare earth, molybdenum, vanadium and titanium are the largest in the world. China also leads the world in reserves of coal, iron, lead, zinc, copper, silver, mercury, tin, nickel, appetite and asbestos. But the distribution of these resources is unbalanced.

1.3 Administrative Divisions

China’s Constitution provides that the administrative units are currently based on a three-level system, dividing the nation into provinces (including autonomous regions and municipalities directly under the Central Government), counties (including autonomous counties) and townships. A township is the grass-roots administrative unit. Currently, China is divided into 23 provinces, five autonomous regions, four municipalities directly under the Central Government, and two special administrative regions (Hong Kong and Macao). Beijing is the capital of China.

1.4 Population

China has the largest population in the world. A sample survey done by the National Bureau of Statistics shows that by the end of 1997, the total population of China had reached 1.23626 billion, or 1.243 billion when Hong Kong is included. The urban population stood at 369.89 million, accounting for 29.9 percent, while the rural population stood at 866.37 million, making up 70.1 percent. The national birth rate was 16.57 per thousand, the death rate 6.51 per thousand, and the natural growth rate of the population was 10.06 per thousand. The distribution of the Chinese population features great density in the eastern areas and a scanty population in the west. With such a large population, China’s resources are relatively insufficient. Moreover, development in different regions is not even, and the productive forces are underdeveloped.

China is a unified, multi-national country, with 56 ethnic groups. The Han people make up more than 90 percent of the total population, while the other 55 ethnic groups have sparse populations, and are therefore customarily referred to as the national minorities. The distribution of these ethnic groups is characterized by both living in exclusive compact communities and living together. China currently has five autonomous regions, 30 autonomous prefectures and 120 autonomous counties (in some cases they are known as banners). All these places have a total population of 164.08 million, accounting for 13.6 percent of the national total. Of this figure, 74.51 million are members of ethnic minorities, making up 45.4 percent. These places cover a total area of 6.137 million square kilometers, accounting for 63.9 percent of the national territory. Where national minorities live in compact communities, autonomous organs of self-government are established for the local people to exercise autonomous rights. All ethnic peoples have the freedom of using and developing their own spoken and written languages and the freedom of preserving or reforming their own traditions and customs.

1.5 State Organs

The People’s Republic of China practices the people’s congress system. Deputies to the people’s congresses at all levels are elected, and are responsible to and accept supervision by the people. The National People’s Congress (NPC) is the highest organ of State power. It exercises the highest State power in a unitary way. The NPC Standing Committee is the permanent organization of the highest organ of State power.

The people’s courts are judicial organs of the State. China has established the Supreme People’s Court, local people’s court, military courts and other special courts.

China sets up the Supreme People’s Procuratorate.

The Chinese People’s Political Consultative Conference(CPPCC) is a patriotic united front organization of the Chinese people, and an important body of multi-party cooperation and political consultation under the leadership of the Communist Party of China (CPC).

The State Council, the Central People’s Government, is the executive body of the highest organ of State power, and also the supreme State administrative body. It has under it 29 Ministries and Commissions:

Ministry of Foreign Affairs

Ministry of National Defense

State development Planning Commission

State Economic and Trade Commission

Ministry of Education

Ministry of Science and Technology

Commission of Science, Technology and Industry for National Defense

State Ethnic Affairs Commission

Ministry of Public Security

Ministry of State Security

Ministry of Supervision

Ministry of Civil Affairs

Ministry of Justice

Ministry of Finance

Ministry of Personnel

Ministry of Labor and Social Security

Ministry of land and Resources

Ministry of Construction

Ministry of Railways

Ministry of Communications

Ministry of Information Industry

Ministry of Water Resources

Ministry of Agriculture

Ministry of Foreign Trade and Economic Cooperation

Ministry of Culture

Ministry of Health

State Family Planning Commission

People’s Bank of China

National Audit Office

Organizations directly under the State Council include:

General Administration of Customs

State Environmental Protection Administration

State Forestry Administration

State Bureau of Quality and Technical Supervision

State Drug Administration

State Administration of Taxation

General Administration of Civil Aviation of China

State Administration of Radio, Film and Television

State General Administration of Sports

National Bureau of Statistics

State Administration of Industry and Commerce

People’s congresses have been set up in the provinces (autonomous regions and municipalities directly under the Central Government), counties (cities) and townships (towns), and people’s governments have been set up at all levels.

1.6 Forms of Economy

China’s economic status in the world has been greatly raised, with its economic growth rate ranking first and aggregate economic volume rising to seventh in the world. From 1993 to 1997, the economy grew at an average annual rate of 10.9 percent, 7.2 percentage points higher than the world annual economic growth rate — 8.7 percentage points higher than that of the developed countries, and 4.4 percentage points higher than that of other developing countries. Malaysia, Singapore, the Republic of Korea and Indonesia also attained rapid economic development during the same period. But China’s growth rate is still 2.2 to 3.7 percentage points higher than theirs. In 1995, China’s gross domestic product (GDP) overtook those of Canada, Spain and Brazil, to rank seventh in the world, accounting for 2.5 percent of the world’s GDP and the equivalent of 12.9 percent of the GDP of the developing countries. In 1997, China’s GDP registered 7,477.2 billion yuan, maintaining the position of seventh in the world.

China leads the world in the output of major industrial and agricultural products. The production of grain, cotton, rapeseed, meat, coal, cloth, cement and TV sets was first in the world from 1993 to 1996. Electricity generation rose to second from fourth place, sugar production ranked third or fourth, and the output of crude oil stayed in fifth place. In 1996, China’s steel output topped 100 million tons for the first time, to reach 101.24 million tons, rising to first from the second position in the world. The total output value of agriculture, forestry, animal husbandry and fisheries amounted to 245.87 billion yuan in 1997, and the total industrial output value stood at 11,373.27 billion yuan. The steel output in 1997 rose to 108.94 million tons.

With respect to foreign economic relations, as the No. 7 economic power, the most populous country, No. 10 trading nation in the world, and the largest economic power among the developing countries, China has become increasingly more important in the global economy. China has a significant status in the commodity trade, international capital and international tourism markets. In 1997, its total import and export value was US$325 billion, coming 10th in global trade. At the end of 1997, China had foreign exchange reserves of US$143 billion, the second highest in the world. In 1997, foreign funds actually used in China totaled US$62 billion yuan, a 59.14 percent increase over 1993, and its income foreign exchange from tourism reached US$12.074 billion, eighth in the world.

From 1993 to 1997, Chinese residents’ consumption level rose at an average annual growth rate of 7.6 percent. Food made up 48.6 percent and 56.3 percent of urban and rural residents’ living expenditures, respectively. In terms of consumption structure, the Chinese people have began to move from a life of having enough to eat and wear to a comfortable standard of living. In 1996, every 100 urban households had 93.5 color TV sets and every 100 rural households had 88 TV sets, both surpassing the average world level. In terms of housing conditions, the average rural per capita amount of living space was 21.7 square meters and the average urban per capita amount of living space was 8.5 square meters in 1996, equal to the average level of the developing countries.

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