<PAGE> PAGE 1
000 B000000 10/31/96
000 C000000 0000845379
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0.a
000 J000000 A
001 A000000 THE CHINA FUND, INC.
001 B000000 811-6672
001 C000000 2128080500
002 A000000 C/O HSBC JAMES CAPEL INC 250 PARK AVENUE
002 B000000 NEW YORK
002 C000000 NY
002 D010000 10177
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 N
007 B000000 0
007 C010100 1
007 C010200 2
007 C010300 3
007 C010400 4
007 C010500 5
007 C010600 6
007 C010700 7
007 C010800 8
007 C010900 9
007 C011000 10
008 A000001 HSBC ASSET MANAGEMENT HONG KONG LIMITED
008 B000001 A
008 C000001 801-29922
008 D010001 HONG KONG
008 D050001 HONG KONG
008 A000002 HSBC PRIVATE EQUITY MANAGEMENT HONG KONG LTD
008 B000002 A
008 C000002 801-41785
008 D010002 HONG KONG
008 D050002 HONG KONG
010 A000001 STATE STREET BANK AND TRUST COMPANY
010 C010001 BOSTON
010 C020001 MA
010 C030001 02105
012 A000001 STATE STREET BANK AND TRUST COMPANY
012 B000001 84-896
012 C010001 BOSTON
012 C020001 MA
012 C030001 02105
<PAGE> PAGE 2
013 A000001 KPMG PEAT MARWICK LLP
013 B010001 BOSTON
013 B020001 MA
013 B030001 02108
014 A000001 HONG KONG AND SHANGHAI BANKING
014 B000001 8-xxxx
014 A000002 JAMES CAPEL INCORPORATED
014 B000002 8-32121
014 A000003 DELETE
014 A000004 DELETE
015 A000001 STATE STREET BANK AND TRUST COMPANY
015 B000001 C
015 C010001 BOSTON
015 C020001 MA
015 C030001 02105
015 E010001 X
015 A000002 HONGKONG AND SHANGHAI BANKING CORP. LTD.
015 B000002 S
015 C010002 SHENZHEN
015 D010002 CHINA
015 E040002 X
015 A000003 STANDARD CHARTERED BANK, HONG KONG BRANCH
015 B000003 S
015 C010003 HONG KONG
015 D010003 HONG KONG
015 E040003 X
015 A000004 WESTPAC BANKING CORPORATION
015 B000004 S
015 C010004 SYDNEY
015 D010004 AUSTRALIA
015 E040004 X
015 A000005 CANADA TRUSTCO MORTGAGE COMPANY
015 B000005 S
015 C010005 TORONTO
015 D010005 CANADA
015 E040005 X
015 A000006 STANDARD CHARTERED BANK, JAKARTA BRANCH
015 B000006 S
015 C010006 JAKARTA
015 D010006 INDONESIA
015 E040006 X
015 A000007 DAIWA BANK, LTD.
015 B000007 S
015 C010007 TOKYO
015 D010007 JAPAN
015 E040007 X
015 A000008 STANDARD CHARTERED BANK, KUALA LUMPUR BRANCH
015 B000008 S
015 C010008 KUALA LUMPUR
015 D010008 MALAYSIA
015 E040008 X
<PAGE> PAGE 3
015 A000009 STANDARD CHARTERED BANK, MANILA BRANCH
015 B000009 S
015 C010009 MANILA
015 D010009 PHILIPPINES
015 E040009 X
015 A000010 HONG KONG & SHANGHAI BANK.CORP.-TAIPEI BRANCH
015 B000010 S
015 C010010 TAIPEI
015 D010010 TAIWAN
015 E040010 X
015 A000011 STANDARD CHARTERED BANK, BANGKOK BRANCH
015 B000011 S
015 C010011 BANGKOK
015 D010011 THAILAND
015 E040011 X
015 A000012 STATE STREET BANK AND TRUST, LONDON BRANCH
015 B000012 S
015 C010012 LONDON
015 D010012 UNITED KINGDOM
015 E040012 X
015 A000013 STATE STREET LONDON LIMITED
015 B000013 S
015 C010013 LONDON
015 D010013 UNITED KINGDOM
015 E040013 X
015 A000014 DEVELOPMENT BANK OF SINGAPORE LTD.
015 B000014 S
015 C010014 SINGAPORE
015 D010014 SINGAPORE
015 E040014 X
015 A000015 CENTRAL TRUST OF CHINA
015 B000015 S
015 C010015 TAIPEI
015 D010015 TAIWAN
015 E040015 X
015 A000016 HONG KONG SHANGHAI BANK-SHANGHAI BRANCH
015 B000016 S
015 C010016 SHANGHAI
015 D010016 CHINA
015 E040016 X
015 A000017 THE SUMITOMO TRUST AND BANKING CO., LTD.
015 B000017 S
015 C010017 TOKYO
015 D010017 JAPAN
015 E040017 X
018 000000 Y
019 A000000 N
019 B000000 0
020 A000001 PEREGRINE BROKERAGE LTD.
020 C000001 85
020 A000002 CREDIT LYONNAIS ASIA
<PAGE> PAGE 4
020 C000002 64
020 A000003 W.I. CARR. (FAR EAST) LTD.
020 C000003 57
020 A000004 CROSBY SECURITIES HONG KONG
020 C000004 21
020 A000005 HG ASIA SECURITIES LTD.
020 C000005 21
020 A000006 YAMAICHI INTERNATIONAL
020 C000006 17
020 A000007 ING BARING SECURITIES INTERNATIONAL
020 C000007 16
020 A000008 MERRILL LYNCH
020 C000008 15
020 A000009 MORGAN STANLEY & COMPANY
020 C000009 15
020 A000010 SCHROEDER ASIA HONG KONG
020 C000010 14
021 000000 427
022 A000001 STATE STREET BANK AND TRUST CO.
022 C000001 82077
022 D000001 0
022 A000002 LEHMAN BROTHERS
022 C000002 28342
022 D000002 5093
022 A000003 NAT WEST CAPITAL MARKETS LTD.
022 C000003 11206
022 D000003 4403
022 A000004 HSBC
022 C000004 10347
022 D000004 4194
022 A000005 GOLDMAN SACHS
022 C000005 6090
022 D000005 2657
022 A000006 JARED MULCAY & COMPANY
022 C000006 0
022 D000006 4146
022 A000007 MORGAN STANLEY HONG KONG SECURITIES
022 C000007 2094
022 D000007 1964
022 A000008 INTEGRATED FINANCIAL SECURITIES
022 C000008 399
022 D000008 1894
022 A000009 SMITH BARNEY INC.
022 C000009 973
022 D000009 973
022 A000010 BANK OF NEW YORK
022 C000010 1815
022 D000010 129
023 C000000 148899
023 D000000 28777
024 000000 N
<PAGE> PAGE 5
025 D000001 0
025 D000002 0
025 D000003 0
025 D000004 0
025 D000005 0
025 D000006 0
025 D000007 0
025 D000008 0
026 A000000 N
026 B000000 Y
026 C000000 N
026 D000000 Y
026 E000000 N
026 F000000 N
026 G010000 N
026 G020000 N
026 H000000 Y
027 000000 N
028 A010000 0
028 A020000 0
028 A030000 0
028 A040000 0
028 B010000 0
028 B020000 0
028 B030000 0
028 B040000 0
028 C010000 0
028 C020000 0
028 C030000 0
028 C040000 0
028 D010000 0
028 D020000 0
028 D030000 0
028 D040000 0
028 E010000 0
028 E020000 0
028 E030000 0
028 E040000 0
028 F010000 0
028 F020000 0
028 F030000 0
028 F040000 0
028 G010000 0
028 G020000 0
028 G030000 0
028 G040000 0
028 H000000 0
030 A000000 0
030 B000000 0.00
030 C000000 0.00
031 A000000 0
<PAGE> PAGE 6
031 B000000 0
032 000000 0
033 000000 0
035 000000 0
036 B000000 0
038 000000 0
042 A000000 0
042 B000000 0
042 C000000 0
042 D000000 0
042 E000000 0
042 F000000 0
042 G000000 0
042 H000000 0
043 000000 0
044 000000 0
045 000000 Y
046 000000 N
047 000000 Y
048 000000 1.500
048 A010000 0
048 A020000 0.000
048 B010000 0
048 B020000 0.000
048 C010000 0
048 C020000 0.000
048 D010000 0
048 D020000 0.000
048 E010000 0
048 E020000 0.000
048 F010000 0
048 F020000 0.000
048 G010000 0
048 G020000 0.000
048 H010000 0
048 H020000 0.000
048 I010000 0
048 I020000 0.000
048 J010000 0
048 J020000 0.000
048 K010000 0
048 K020000 0.000
049 000000 N
050 000000 N
051 000000 N
052 000000 N
053 A000000 N
054 A000000 Y
054 B000000 Y
054 C000000 N
054 D000000 N
<PAGE> PAGE 7
054 E000000 N
054 F000000 N
054 G000000 N
054 H000000 Y
054 I000000 N
054 J000000 Y
054 K000000 N
054 L000000 N
054 M000000 Y
054 N000000 N
054 O000000 Y
055 A000000 N
055 B000000 N
056 000000 Y
057 000000 N
058 A000000 N
058 B000000 N
058 C000000 N
058 D000000 N
058 E000000 N
059 000000 Y
060 A000000 N
060 B000000 N
061 000000 0
062 A000000 N
062 B000000 0.0
062 C000000 0.0
062 D000000 0.0
062 E000000 0.0
062 F000000 0.0
062 G000000 0.0
062 H000000 0.0
062 I000000 0.0
062 J000000 0.0
062 K000000 0.0
062 L000000 0.0
062 M000000 0.0
062 N000000 0.0
062 O000000 0.0
062 P000000 0.0
062 Q000000 0.0
062 R000000 0.0
063 A000000 0
063 B000000 0.0
066 A000000 Y
066 B000000 N
066 C000000 Y
066 D000000 N
066 E000000 N
066 F000000 N
066 G000000 N
<PAGE> PAGE 8
067 000000 N
068 A000000 N
068 B000000 Y
069 000000 N
070 A010000 Y
070 A020000 Y
070 B010000 Y
070 B020000 N
070 C010000 Y
070 C020000 N
070 D010000 Y
070 D020000 N
070 E010000 Y
070 E020000 N
070 F010000 Y
070 F020000 N
070 G010000 Y
070 G020000 N
070 H010000 Y
070 H020000 N
070 I010000 N
070 I020000 N
070 J010000 Y
070 J020000 Y
070 K010000 Y
070 K020000 N
070 L010000 Y
070 L020000 Y
070 M010000 Y
070 M020000 Y
070 N010000 Y
070 N020000 N
070 O010000 Y
070 O020000 N
070 P010000 N
070 P020000 N
070 Q010000 N
070 Q020000 N
070 R010000 N
070 R020000 N
071 A000000 60440
071 B000000 56643
071 C000000 136986
071 D000000 41
072 A000000 12
072 B000000 309
072 C000000 3989
072 D000000 0
072 E000000 0
072 F000000 2111
072 G000000 123
<PAGE> PAGE 9
072 H000000 0
072 I000000 18
072 J000000 390
072 K000000 35
072 L000000 36
072 M000000 260
072 N000000 0
072 O000000 0
072 P000000 0
072 Q000000 0
072 R000000 40
072 S000000 195
072 T000000 0
072 U000000 30
072 V000000 174
072 W000000 200
072 X000000 3612
072 Y000000 0
072 Z000000 686
072AA000000 324
072BB000000 0
072CC010000 4021
072CC020000 0
072DD010000 987
072DD020000 0
072EE000000 0
073 A010000 0.0910
073 A020000 0.0000
073 B000000 0.0000
073 C000000 0.0000
074 A000000 1007
074 B000000 0
074 C000000 487
074 D000000 3394
074 E000000 0
074 F000000 139368
074 G000000 0
074 H000000 0
074 I000000 0
074 J000000 0
074 K000000 0
074 L000000 546
074 M000000 91
074 N000000 144893
074 O000000 736
074 P000000 0
074 Q000000 0
074 R010000 0
074 R020000 0
074 R030000 0
074 R040000 558
<PAGE> PAGE 10
074 S000000 0
074 T000000 143599
074 U010000 10845
074 U020000 0
074 V010000 13.24
074 V020000 0.00
074 W000000 0.0000
074 X000000 998
074 Y000000 0
075 A000000 0
075 B000000 141093
076 000000 11.75
077 A000000 Y
077 B000000 Y
077 Q010000 N
077 Q020000 Y
078 000000 N
080 A000000 NATIONAL UNION FIRE INS. CO OF PITTS., PA
080 C000000 600
081 A000000 N
081 B000000 0
082 A000000 N
082 B000000 0
083 A000000 N
083 B000000 0
084 A000000 N
084 B000000 0
085 A000000 Y
085 B000000 N
086 A010000 3
086 A020000 42
086 B010000 0
086 B020000 0
086 C010000 0
086 C020000 0
086 D010000 0
086 D020000 0
086 E010000 0
086 E020000 0
086 F010000 0
086 F020000 0
087 A010000 COMMON STOCK
087 A020000 169373107
087 A030000 CHN
088 A000000 N
088 B000000 N
088 C000000 N
088 D000000 N
SIGNATURE DENNIS WONG
TITLE COMP. ADMINISTRAOTR
<TABLE> <S> <C>
<ARTICLE> 6
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> OCT-31-1996
<PERIOD-END> OCT-31-1996
<INVESTMENTS-AT-COST> 134,114,902
<INVESTMENTS-AT-VALUE> 143,248,843
<RECEIVABLES> 546,246
<ASSETS-OTHER> 1,097,390
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 144,892,479
<PAYABLE-FOR-SECURITIES> 736,399
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 557,363
<TOTAL-LIABILITIES> 1,293,762
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 145,934,823
<SHARES-COMMON-STOCK> 10,844,937
<SHARES-COMMON-PRIOR> 10,842,082
<ACCUMULATED-NII-CURRENT> 633,085
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (12,103,182)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 9,133,991
<NET-ASSETS> 143,598,717
<DIVIDEND-INCOME> 3,988,868
<INTEREST-INCOME> 309,284
<OTHER-INCOME> 0
<EXPENSES-NET> 3,612,296
<NET-INVESTMENT-INCOME> 685,856
<REALIZED-GAINS-CURRENT> 323,589
<APPREC-INCREASE-CURRENT> 4,020,517
<NET-CHANGE-FROM-OPS> 5,029,962
<EQUALIZATION> 42,382
<DISTRIBUTIONS-OF-INCOME> (986,629)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 0
<SHARES-REINVESTED> 2,855
<NET-CHANGE-IN-ASSETS> 4,085,715
<ACCUMULATED-NII-PRIOR> 982,389
<ACCUMULATED-GAINS-PRIOR> (12,475,279)
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 2,111,245
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 3,612,296
<AVERAGE-NET-ASSETS> 140,904,383
<PER-SHARE-NAV-BEGIN> 12.87
<PER-SHARE-NII> 0.06
<PER-SHARE-GAIN-APPREC> 0.40
<PER-SHARE-DIVIDEND> (0.09)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 13.24
<EXPENSE-RATIO> 2.56
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
[DESCRIPTION]
The China Fund, Inc.
Registration # 811- 6672
CIK # 0000845379
N-SAR - October 31, 1996
Sub-item 77Q2
Section 16(a) of the Securities Exchange Act of 1934 requires the
Fund's officers and directors, and persons who own more than ten percent
of a registered class of the Fund's equity securities, to file reports
of ownership and changes in ownership with the Securities and Exchange
Commission and the New York Stock Exchange, Inc. The Fund believes that
its officers and directors have complied with all applicable filing
requirements. Section 30(f) of the Investment Company Act of 1940
extends the reporting requirements under Section 16(a) of the Securities
Exchange Act of 1934 to the investment advisers of the Fund and officers
and directors of such investment advisers. The Form 3 - Initial
Statement of Beneficial Ownership of Securities for Mr. Bernard Asher
was inadvertently filed late by management of the Fund, which had
undertaken to file the forms on his behalf.
[DESCRIPTION]Auditors Report of Internal Control
The Board of Directors
The China Fund, Inc.:
In planning and performing our audit of the financial statements of The
China Fund, Inc. for the year ended October 31, 1996, we considered its
internal control structure, including procedures for safeguarding
securities, in order to determine our auditing procedures for the
purpose of expressing our opinion on the financial statements and to
comply with the requirements of Form N-SAR, not to provide assurance on
the internal control structure.
The management of The China Fund, Inc. is responsible for establishing
and maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgments by management are required to
assess the expected benefit and related costs of internal control
structure policies and procedures. Two of the objectives of an internal
control structure are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from
unauthorized use or disposition and that transactions are executed in
accordance with management's authorization and recorded properly to
permit preparation of financial statements in conformity with generally
accepted accounting principles.
Because of inherent limitations in any internal control structure,
errors or irregularities may occur and not be detected. Also,
projection of any evaluation of the structure to future periods is
subject to the risks that it may become inadequate because of changes in
conditions or that the effectiveness of the design and operation may
deteriorate. Our consideration of the internal control structure would
not necessarily disclose all matters in the internal control structure
that might be material weaknesses under standards established by the
American Institute of Certified Public Accountants. A material weakness
is a condition in which the design or operation of the specific internal
control structure elements does not reduce to a relatively low level the
risk that errors or irregularities in amounts that would be material in
relation to the financial statements being audited may occur and not be
detected within a timely period by employees in the normal course of
performing their assigned functions. However, we noted no matters
involving the internal control structure, including procedures for
safeguarding securities, that we consider to be material weaknesses as
defined above as of October 31, 1996.
This report is intended solely for the information and use of management
and the Securities and Exchange Commission.
KPMG Peat Marwick LLP
December 17, 1996
