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Background The Paracel Islands are surrounded by productive fishing grounds and by potential oil and gas reserves. In 1932, French Indochina annexed the islands and set up a weather station on Pattle Island; maintenance was continued by its successor, Vietnam. China has occupied the Paracel Islands since 1974, when its troops seized a South Vietnamese garrison occupying the western islands. China built a military installation on Mischief Reef in 1999. The islands are claimed by Taiwan and Vietnam. Population no indigenous inhabitants Government type Administrative divisions Independence International organization participation Economy - overview Market value of publicly traded shares Agriculture - products Industries Industrial production growth rate Electricity - production Internet country code