Dozens of non-governmental organizations in China, focused on monitoring dissent, human, and labor rights, have laid off staff due to a freeze on funding by U.S. President Donald Trump, according to monitors.
These groups play a crucial role in documenting President Xi Jinping's long-standing crackdown on minorities, rights advocates, and lawyers. Last year, the EU raised concerns about the "very serious" human rights situation in China, particularly in Xinjiang, Tibet, and Hong Kong.
Maya Wang, associate China director at Human Rights Watch, noted that the impacted NGOs were caught off guard and expected their China programs to continue despite cuts due to U.S.-China competition. The suspension of U.S. funding will significantly impact global civil society.
Among the affected organizations is Freedom House, which had to halt its China Dissent Monitor project, leading to a suspension of all research activities. The group heavily relies on U.S. government grants, with $80 million in funding received in 2024, making up 88% of its yearly revenue.
The freeze has affected numerous China-focused groups, as NGOs and grassroots organizations work on projects funded by the same grants. Wang estimates that dozens of similar organizations have been impacted due to this.
Various Chinese laws restrict domestic NGOs from receiving foreign funding and impose strict limitations on the operations of foreign NGOs within China. The Chinese government stated to Reuters that the rearrangement of U.S. institutions is an internal matter.
Trump's move to halt most U.S. government-funded aid globally for 90 days and dismantle USAID has caused uncertainty among China-focused groups, prompting them to seek alternative funding sources and reduce reliance on the United States. Li Qiang, founder of New York-based China Labor Watch, expressed regret for not diversifying funding sources earlier, as the group now faces financial challenges due to heavy dependence on U.S. funding.