This study gives an account on the domestic and foreign policies of China after the death of Mao Zedong. The first part of the document is dedicated to the domestic policies of the Chinese government. It analyzes the ideological backgrounds of the new leadership as well as the economic situation, while emphasizing unsolved problems in industry and agriculture. A closer look at Beijing's defense spending leads the authors to the conclusion that China is enhancing its military potential and preparing for war.

Contributor Rakhmanin discusses the domestic situation in China, current issues between China and the Soviet Union, and Franz-Josef Strauss' visit to China.

Rakhmanin reports on the state of China in relation to various countries such as the U.S. and Japan (with whom he worries a "triangle" of power is forming), Romania, Korea and Albania.

Discusses the cancellation of the alliance treaty between China and the Soviet Union, and the impact this will have on the Mongolian People’s Republic. They are urged not to hurry the cancellation of the treaty, however, because China has not yet explicitly asked for it. They also note that there are anti-Soviet propaganda items being spread in Korea, and the growing role the U.S. is playing in Chinese affairs.

Discusses the joint efforts by Chinese and American leaders to promote a better relationship between these two countries, at the expense of the Soviet Union and of communism. The U.S. seems to be trying to capitalize on a growing “internal stability” in China, and the U.S. is even now selling equipment to China. The Soviet Union does not believe that this alliance will prove powerful enough to significantly impair other Socialist countries, but their alliance should also not be ignored.

A note on the development of Chinese Anti-Sovietism and militarization.