The objective of this thesis is to analyse European Union security policy in Asia Pacific region, arms embargo, arms sell, and arms proliferation, with main attention to the situation between People''s Republic of China and Republic of China (Taiwan). For the larger context, the thesis focuses on China''s proliferation of arms, its military build-up and its claims and threats in the Asia-Pacific. Methodology of the thesis is based on critical analysis, comparative interpretation, and chronological principle in combination with topical. Primary and secondary sources include documents provided by governments, agencies, United Nations, European Union, Government of People''s Republic of China, Republic of China, United States, member countries of European Union (United Kingdom, Germany and France) and NATO. Statistics (EUROSTAT and other) have been used as well. In the conclusion, the author suggests that the European Union has a potential to play much more important role in the preservation of security in the Taiwan Strait. The predominant role of the United States should be balanced and complemented by the role of the European Union. The author suggests that the Far East states, such as Taiwan, should cooperate more actively and more flexibly with the European Union; and vice versa, the European Union should be more involved, particularly at the diplomatic level, e.g. as a mediator, in the security preservation in the Far East area , mainly in the Taiwan Strait. In present globalization of the World, the security is also a global issue.