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Clued-in | U.S. can't account for $1.2 bln spent on anti-China projects

(People's Daily Online) 14:41, August 05, 2026

A recent report released by the U.S. Government Accountability Office (GAO) has identified a series of problems regarding the $1.2 billion spent on anti-China projects between fiscal years 2020 and 2023.

Among the findings, the Department of State and USAID could not explain where exactly the funds went or what results they produced.

Some U.S. internet users have ridiculed the two agencies as makeshift, amateurish outfits, while others have questioned whether the money ended up lining individuals' pockets.

The GAO report also disclosed details of how the Department of State and USAID have carried out their efforts to contain China, including their priorities, targets, funding sources and operational mechanisms.

According to the report, Washington's efforts in this regard fall broadly into two categories: non-security-related and security-related initiatives.

A screenshot from a report titled "Countering China: Agencies Provided Over $1 Billion but Have Not Assessed Overall Results of Projects," which was released by the U.S. Government Accountability Office (GAO).

Non-security-related programs are primarily aimed at limiting China's role in international organizations, curbing its global economic sway, and challenging the international recognition of China's development model and governance system.

Security-related programs, meanwhile, target China's nuclear energy development, arms sales and military exports, as well as advances in military technology.

Funding for these programs mainly comes from five congressional accounts.

Funds from the Economic Support Fund and Development Assistance accounts are primarily used to limit China's role in international organizations and international activities, including overseas investment, international supply chain development, and science and technology exchanges.

Funding from the International Narcotics Control and Law Enforcement account and the Nonproliferation, Anti-terrorism, De-mining, and Related Programs account is used for programs aimed at countering China in areas such as overseas infrastructure and nuclear energy.

The Foreign Military Financing account, in particular, supports projects targeting China's military development.

A screenshot from a report titled "Countering China: Agencies Provided Over $1 Billion but Have Not Assessed Overall Results of Projects," which was released by the U.S. Government Accountability Office (GAO).

The Department of State and USAID encourage their subordinate branches to participate actively in these anti-China projects through a process similar to open bidding. Each fiscal year, they formulate more specific guidance plans around the broad anti-China direction, then have their subordinate branches submit detailed work proposals. An interagency working group recommends suitable projects, which are reviewed by senior officials. The working group then confirms the projects to be funded, and finally completes the procedures for the relevant congressional accounts to disburse the appropriations.

A screenshot from a report titled "Countering China: Agencies Provided Over $1 Billion but Have Not Assessed Overall Results of Projects," which was released by the U.S. Government Accountability Office (GAO).

Under this mechanism, between 2020 and 2023, various units within the State Department and USAID submitted as many as 1,400 proposals. Ultimately, 430 proposals were approved, covering 470 projects.

Notably, according to the report, the 470 projects were concentrated primarily in East Asia and the Pacific, followed by Sub-Saharan Africa and the Western Hemisphere. Other major regions included South Asia and Central Asia, Europe and Eurasia and the Near East. This indicates that the funding was mainly directed toward regions around China and many countries in the Global South.

As previous media reports have noted, the chaotic and bureaucratic management of these programs, along with the lack of effective mechanisms to assess their results, reveals a deeper problem: faced with the growing global appeal of China's governance approaches and cooperation models, the U.S. is increasingly struggling to keep up.

A screenshot from a report titled "Countering China: Agencies Provided Over $1 Billion but Have Not Assessed Overall Results of Projects," which was released by the U.S. Government Accountability Office (GAO).

An increasing number of international polls also show that China's influence and favorability among the public are steadily rising in Global South countries across Asia, Africa and the Western Hemisphere, while U.S. influence and favorability continue to decline.

As some U.S. internet users have pointed out, rather than allowing such vast sums of money to be spent with little transparency or visible results, perhaps those funds could have been better used to improve Americans' livelihoods.

(Web editor: Hongyu, Liang Jun)

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