To meet the huge demands of transportation, energy and other infrastructure projects, a large volume of rock tunnelling is being carried out across the country as China embarks on her modernization plan. This paper summaries the geotechnical issues encountered on such projects, including the various modes of rock mass instability and geological hazards. Methods of evaluating rock mass quality and ground conditions as developed in the West are now widely used on tunnelling projects in China. As well Chinese engineers and researchers have also developed geomechanical systems for rock mass classification, failure modes and support requirements. These systems have been proven to be effective in dealing with the complex geologic and tunnelling conditions in China. Also described in the paper are analytical techniques currently used in China for tunnel performance prediction, including canonical analysis, expert systems, block vector analysis and advanced numerical modelling techniques.