Taiwan Relations Act

The Taiwan Relations Act is an act of the United States Congress passed in 1979 after the breaking of relations between the United States and the Republic of China on Taiwan and the establishment of relations with the People's Republic of China by President Jimmy Carter.

The act authorizes quasi-diplomatic relations with the ROC government by establishing the American Institute in Taiwan. Although the institute is formally a private organization it is financed by the U.S. federal government staffed by persons on leave from the United States Department of State during which time they continue to accrue seniority and retirement benefits. The Institute is also authorized to issue visa and perform the functions of an embassy without being called one.

The act also states that military action against Taiwan by the People's Republic of China would be considered a "grave threat to peace and security in the Western Pacific." The act however doesn't require the United States to take any action against the PRC in the event of an attack.

See also: Political status of Taiwan, Foreign relations of Taiwan