This Day in History: USA recognizes PR of China

On 15 December 1978, in one of the most dramatic announcements of the Cold War, US President Jimmy Carter states that as of January 1, 1979, the United States will formally recognize the communist People’s Republic of China (PRC) and sever relations with Taiwan.
The United States had steadfastly refused to recognize the new communist regime following Mao Zedong’s successful revolution in 1949. Instead, it kept its recognition and arms supply to the Nationalist government that had been established by Chiang Kai-shek on the island of Taiwan. In 1950, US and PRC armed forces clashed during the Korean War. During the 1960s, PRC’s support and aid to North Vietnam during the Vietnam War also angered the US.
By the 1970s, however, Washington decided that closer relations with the PRC would bring economic and political benefits. Economically, American businessmen were eager to try and exploit the huge Chinese market. Politically, US policymakers believed that they could play the “China card”– using closer diplomatic relations with the PRC to pressure the Soviets into becoming more malleable on a variety of issues, including arms agreements. Beijing also had come to desire better relations with its old enemy. It sought the large increase in trade with the United States that would result from normalized relations, and particularly looked forward to the technology it might obtain from America, as well as allies. China’s military showdown with its former ally Vietnam was in the making and Vietnam had a mutual support treaty with the Soviets.
Carter’s announcement that diplomatic ties would be severed with Taiwan (which the PRC insisted on) angered many in Congress. The Taiwan Relations Act was quickly passed in retaliation. It gave Taiwan nearly the same status as any other nation recognized by the US and also mandated that arms sales continue to the Nationalist government.