Third Taiwan Strait Crisis
China conducted missile tests and military exercises near Taiwan to intimidate voters ahead of the island's first direct presidential election; the US deployed two aircraft carrier groups to the region, marking the most serious US-China military confrontation since the 1950s.
Background: Lee Teng-hui's Cornell Visit
Taiwan's President Lee Teng-hui received a US visa to visit Cornell University in June 1995 — a significant departure from US policy of unofficial relations with Taiwan. China viewed the visit as a direct challenge to its position that Taiwan is an integral part of China and that the US should not facilitate Taiwan's international presence. Beijing recalled its ambassador to Washington and announced missile tests near Taiwan as a warning.
Military Exercises
Between July 1995 and March 1996, China conducted multiple rounds of ballistic missile tests, firing missiles into waters north and south of Taiwan. As Taiwan's first direct presidential election approached in March 1996, China announced large-scale military exercises that included live-fire drills just 30 miles from Taiwan's major ports, effectively blockading them. The US responded by deploying the USS Independence and USS Nimitz carrier groups to the region — the largest US naval deployment in Asia since the Vietnam War.
Consequences
Lee Teng-hui won re-election with 54% of the vote; the Chinese military pressure appears to have consolidated rather than undermined his support. The crisis led the US to clarify its commitment to Taiwan's security while reaffirming the "One China" policy. For China, the crisis exposed limitations in its power-projection capability and accelerated military modernisation. It also hardened Taiwanese identity and public support for maintaining de facto independence.