This report, issued after the seventh Interkit meeting in Budapest, addresses unsolved socio-economic problems and internal party disputes in China. The new military strategy of the People's Republic as well as its economic development are examined. Beijing's foreign relations with Western countries, especially with the US, are considered to be detrimental to international détente. The attendees condemn China for stockpiling nuclear weapons and missiles in preparation for a military confrontation with the Soviet Union, for extending its influence in developing countries, for strengthening the position of NATO, for interfering with the domestic policies of Vietnam, and for supporting the military junta in Chile.

This study addresses aspects of Chinese domestic and foreign policies after the 9th Congress of the Chinese Communist Party. Internal party disputes and undemocratic structures are said to characterize the Chinese leadership. The document offers an analysis of the socio-political state of affairs in China and states that the delay in economic growth is due to violations of the economic principles of Socialism. As far as its foreign policy is concerned, China is strengthening its military potential; Beijing's intensified relations with Western countries are condemned.

This document examines Chinese attempts to foster Western European integration as a counterbalance to the US. Also discussed is the relationship between NATO countries and China and its impact on Soviet-Sino relations, military cooperation between China and Western Europe, and the relations between China and West Germany.