According to the U.S. Treasury Department, as of January 2023, the United States had $11.3 billion in Chinese bonds.
This is a relatively small amount of money compared to the total amount of U.S. debt held by foreign countries, which is over $7 trillion. Japan is the largest foreign holder of U.S. debt, with over $1.1 trillion in holdings. China is the second largest foreign holder of U.S. debt, with over $859 billion in holdings.
The United States invests in Chinese bonds for a number of reasons. One reason is to diversify its investment portfolio. By investing in Chinese bonds, the United States is reducing its risk of being exposed to a downturn in the U.S. economy.
Another reason why the United States invests in Chinese bonds is to support the global economy. China is the world's second largest economy, and its economy is growing rapidly. By investing in Chinese bonds, the United States is helping to fuel China's economic growth. This, in turn, benefits the global economy as a whole.
Finally, the United States invests in Chinese bonds to maintain a good relationship with China. China is a major player in the global economy, and the United States wants to have a close relationship with China. By investing in Chinese bonds, the United States is showing its commitment to the relationship.