The United States and China have cooperated for over 35 years on science and technology initiatives. In 1979, the two countries signed a bilateral science and technology agreement that has served as an umbrella agreement for subsequent bilateral environment and energy initiatives. In 2008, the countries established the Ten Year Framework for Cooperation on Energy and Environment. This framework was intended to facilitate the exchange of information and best practices to develop solutions to the environment and energy challenges both countries face. The framework includes some action plans related to clean energy, such as plans for clean, efficient, and secure electricity; clean and efficient transportation; and energy efficiency. According to staff from think tanks and business associations and other individuals knowledgeable about U.S.-China clean energy cooperation that we interviewed, U.S. cooperation with China on clean energy could yield benefits such as building trust between the countries, helping both countries advance their efforts to meet environmental challenges, and creating opportunities for U.S. businesses in China. According to these individuals, the sharing of any IP through this cooperation is a potential risk due to possible IP theft. In November 2014, the two countries’ presidents issued a U.S.-China Joint Announcement on Climate Change, which included targets to reduce greenhouse gas emissions in the United States, and for China to intend to reach peak carbon dioxide emissions around 2030 and increase the share of non-fossil fuels in its energy consumption. The announcement also emphasized the countries’ commitment to a successful climate agreement at the United Nations Climate Change Conference in Paris in 2015, and the countries’ presidents reaffirmed this commitment in a U.S.-China Joint Presidential Statement on Climate Change in September 2015. In December 2015, more than 190 member states under the United Nations Framework Convention on Climate Change came together to adopt the Paris Agreement, which aims to hold the increase in the global average temperature to well below 2 degrees Celsius above pre-industrial levels through countries setting their own nonbinding targets for emissions reductions. In Paris, some of the countries that adopted the Paris Agreement also committed to initiatives to substantially increase public and private investment in climate change mitigation and adaptation activities. For example, through the Mission Innovation initiative, 20 countries, including the United States and China, will seek to double their governmental clean energy research and development investment over 5 years to accelerate clean energy innovation and make it widely affordable. In addition to its bilateral cooperation with China, the United States cooperates bilaterally and multilaterally with other countries on initiatives related to climate change and clean energy. For example, the United States has a Clean Energy Dialogue with Canada to encourage the development of clean energy technologies to reduce greenhouse gases and combat climate change. Also, in 2009, the United States launched the Partnership to Advance Clean Energy with India, which is working to accelerate inclusive, low carbon growth by supporting research and deployment of clean energy technologies. Both the United States and China, along with 21 other countries and the European Commission, participate in the Clean Energy Ministerial, a high-level global forum to promote policies and programs that advance clean energy technology, to share lessons learned and best practices, and to encourage the transition to a global clean energy economy. The Clean Energy Ministerial is focused on improving energy efficiency worldwide, enhancing clean energy supply, and expanding clean energy access. As U.S. cooperation with China on science and technology has expanded over time, China’s protection of IP rights has been a persistent concern. Although some IP issues have been addressed through dialogues, such as the U.S.-China Joint Commission on Commerce and Trade, according to a 2016 report by the U.S. Trade Representative, the uncertain IP environment is a leading concern for businesses operating in China. According to the report, the theft of trade secrets remains a particular concern, and conditions are unlikely to improve as long as those committing such theft continue to operate with relative impunity. The report also identified concerns about reports that Chinese government policies may have negative impacts on U.S. investors and their IP rights, including that Chinese regulations, rules, and other measures appear to require foreign companies to transfer or license their IP rights to domestic Chinese entities in order to do business in China. U.S. clean energy companies may face particular IP concerns with regard to doing business in China. China’s 5-year plan for economic and social development initiatives for 2016–2020 includes developing its environmental technology industry as a focus area. The U.S. Trade Representative has expressed concern that China’s innovation-related and other industrial policies may have negative impacts on U.S. exports or IP in particular industries by encouraging actions that pressure foreign IP rights holders to transfer those rights to domestic Chinese entities. U.S. agencies obligated about $97 million for clean energy cooperation with China over the 8-year period of fiscal years 2008 through 2015. More than 90 percent of this money was obligated by three agencies: DOE, USTDA, and State. Two-thirds of the overall funding went to three key programs, which are the largest U.S.-China clean energy cooperative programs at each of these agencies. Almost half of the funding went to research and development, and the overall funding went to a variety of types of clean energy, with the majority for energy efficiency, clean coal, and clean vehicles. In total over the period encompassing fiscal years 2008 through 2015, U.S. agencies obligated about $96.9 million for U.S. agencies, other public entities, and private sector participants to cooperate with Chinese entities related to clean energy. DOE obligated the majority of this funding (71 percent). USTDA and State obligated another 13 percent and 11 percent, respectively. Two-thirds of the overall funding went to the largest related programs at each of these agencies (see fig. 1), which are the three key programs we focused on: DOE’s CERC program: Through CERC, DOE obligated $47.5 million for teams of U.S. scientists and engineers to perform research and development with China on clean energy technologies. This collaboration is being pursued for reasons beyond attempting to address climate change, including to improve air quality, to lower energy costs, and to promote energy security. The work through fiscal year 2015 was separated into three tracks focused on clean coal, clean vehicles, and energy efficiency in buildings. DOE funds U.S. researchers in each of the tracks, while the Chinese government funds the Chinese researchers, with the intention that U.S. and Chinese researchers will be working together and learning from each other on all projects. USTDA’s East Asia Program: Through its East Asia Program, USTDA obligated $12.5 million for U.S. companies to engage in various types of clean energy projects with China, such as feasibility studies, trade missions, and technical assistance. These projects have focused on a wide range of clean energy technologies related to smart grids, clean coal, and shale gas, among others. State’s CCWG program: Through CCWG, State obligated $5.8 million for U.S. participation in cooperation and dialogue with China on clean energy. Through fiscal year 2015, CCWG’s clean energy cooperation has occurred through groups of projects bundled into six initiatives: (1) heavy-duty and other vehicles; (2) smart grids; (3) carbon capture, utilization, and storage; (4) energy efficiency in buildings and industry; (5) climate-smart and low-carbon cities; and (6) industrial boilers efficiency and fuel switching. In addition to the U.S. federal funding obligated to these key programs, U.S. private sector participants also cover a share of the costs of some projects. For CERC and USTDA’s East Asia Program, such cost-share increases the overall U.S. funding spent on these projects by approximately double. Agency officials have pointed out that cost-share from private companies shows the companies’ confidence in the programs’ ability to achieve results. Seven other agencies also engaged in clean energy cooperation with China during this period. The U.S. Agency for International Development obligated $5.5 million for two technical assistance programs in China, one focused on energy efficiency in buildings and another focused on various forms of clean energy development, such as financing clean energy projects. The Departments of Commerce and Transportation and the Federal Energy Regulatory Commission each obligated between $1,800 and $32,000 for clean energy cooperation with China during this period, mostly for travel expenses to attend events or consultations in China for regulatory cooperation. The Departments of Agriculture and the Interior and the Environmental Protection Agency participated in clean energy cooperation with China using funding provided by DOE or State. In addition, some agencies provided funding for their own travel expenses to attend related events or to organize some related activities but were unable to identify the amounts of such funding specifically related to clean energy cooperation. Annual U.S. obligations for U.S.-China clean energy cooperation varied in fiscal years 2008 through 2015. As figure 2 shows, large increases in annual obligations occurred in fiscal years 2010 and 2014, which were within the years following the launches of the CERC and CCWG programs, respectively. As seen in figure 3, U.S. government funding provided to clean energy cooperation with China supported numerous types of activities. Research and development: Almost half the funding was obligated by DOE for research and development to promote clean energy innovations, with most of that funding for CERC. According to DOE officials and CERC participants, through research and development under CERC in particular, U.S. participants gain important benefits, such as the ability to speed progress in their research through collaboration with other U.S. researchers and leading Chinese scientists and engineers and access to unique experimental platforms unavailable in the United States. In addition, U.S. companies obtain the opportunity to demonstrate the viability of their products in China’s large market. Information exchange: Another 26 percent of the funding supported different types of information exchange, including forums for technical discussion and regulatory cooperation.