[Congressional Record Volume 140, Number 63 (Thursday, May 19, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: May 19, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
                             CHINA AND MFN

  Mr. SIMON. Mr. President, I have not been here. I understand the 
question of China and MFN has been under consideration. I have been in 
the committee where we are marking up health care reform.
  Yesterday, I sent a letter to President Clinton. I think we are right 
to stick to our traditions of human rights. We also do not want to 
discourage trade with other countries, and I have sent a letter which, 
basically, says we ought to reaffirm the terms of the Executive order 
of last year; we should consider imposing a tariff of up to 50 percent 
on goods from the People's Republic of China; we ought to make clear to 
the Chinese that if, when Hong Kong comes in, there is a fundamental 
change in the freedom for the people of Hong Kong, that is going to 
alter appreciably the economic relationship with the United States; and 
that we move away from this totally inconsistent policy of giving a 
cold shoulder to Taiwan while we seem to quake at whatever the 
Government of the People's Republic of China has to say.
  The reality is the Government of Taiwan has a multiparty system 
today. They have as free a press as exists anywhere in Asia. They have 
moved in the directions that we say we ought to move. They are our 
sixth largest trading partner. We export twice as much to Taiwan as we 
do to the People's Republic of China. Yet, when the President of Taiwan 
has to land in Hawaii to refuel, we say, no, you cannot have anyone go 
out and greet him. The base commander where he landed was not permitted 
to greet the President of Taiwan.
  Here we are cozying up to a dictatorship, and we have a free 
multiparty system in Taiwan to which we are giving the cold shoulder. I 
think that does not make sense.
  I hope that, as the President and the administration consider what 
they are doing, we keep in mind our human rights policy. We are 
inconsistent as we utilize that human rights policy vis-a-vis the 
People's Republic of China and Taiwan.
  Mr. President, I ask unanimous consent to print my letter to 
President Clinton in the Record.
  There being no objection, the letter was ordered to be printed in the 
Record, as follows:

                                                  U.S. Senate,

                                     Washington, DC, May 18, 1994.
     Hon. William J. Clinton,
     The White House, Washington, DC.
       Dear Mr. President: You are approaching decisions on 
     China's MFN status that, if not properly handled, could 
     sacrifice America's values without serving our own interests. 
     ``De-linking'' human rights from trade only accents our 
     vulnerabilities while missing the reality that only accents 
     our vulnerabilities while missing the reality that China's 
     trade surplus with the U.S. is now roughly $25 billion.
       Your extending China's MFN status without counter measures 
     can only mean that we believe China's record on human rights, 
     non-proliferation, trade practices, Tibet, and other issues 
     has shown significant improvement. But the sad fact is that 
     China's record remains deplorable, with the leadership in 
     Beijing doing no more than occasionally dribbling out 
     dissidents from their vast prison network by the ones and 
     twos in these days leading up to MFN renewal.
       It is particularly troubling that our democratic friends in 
     Taiwan, who have an exemplary human rights record and who 
     stand ready to work with us on a host of issues, are shown 
     disrespect and are not treated as the sovereign power they 
     clearly are.
       An implicit acknowledgment from you that the United States, 
     when push comes to shove, does not mean what it says, will 
     further erode our standing in the world and our self-respect 
     at home.
       The Executive Order you signed a year ago represented sound 
     and responsible policy. China has done next to nothing to 
     justify its being removed from the agenda. You are left with 
     a difficult political and diplomatic choice. China's 
     intransigence and divisions in the administration point you 
     toward embracing a policy of doing less--not more--than your 
     predecessors in regard to human rights in China.
       While justified by the facts and consistent with your 
     stated policy, denying MFN benefits is not your only 
     alternative. I suggest instead that you impose meaningful 
     sanctions while extending MFN trade status for the People's 
     Republic. Such measures should include:
       Reaffirming the terms and purposes of your 1993 Executive 
     Order;
       Imposing a tariff increase of perhaps 50 percent on all 
     products from the People's Republic;
       Making clear to the Chinese, following consultations with 
     the British, that fundamental changes in Hong Kong's 
     political and economic arrangements following the transfer of 
     power will have serious consequences for U.S. economic 
     relations with China;
       Taking steps to bring our relationship with Taiwan into 
     harmony with our interests and our ideals. Taiwan is now 
     democratic and prosperous, their human rights situation is 
     excellent, and the Taiwanese are our sixth largest trading 
     partner. U.S. exports to Taiwan are twice the value of our 
     exports to the People's Republic.
       The inconsistency of our position was well illustrated by 
     the cold shoulder we gave President Lee of Taiwan when his 
     plane landed in Hawaii to refuel. Not only did we not give 
     him any of the usual courtesies, we even made sure the base 
     commander did not greet him. We shake at the possibility of 
     disapproval of the dictatorship of China, while we turn a 
     cold shoulder to the freely elected president of a democracy.
       At a minimum, we should institute Cabinet-level exchanges 
     with Taiwan and support its bid to re-enter the United 
     Nations with the understanding that its officials represent 
     the island and not the mainland. We should no longer conduct 
     policy toward Taiwan within the narrow limits of Beijing's 
     tolerance. Taiwan's open economy and democratic system 
     represents a model for the People's Republic.
       Mr. President, there are uncertainties in any course of 
     action. But one thing remains clear: we will not hasten the 
     end of repressive communism in China by rewarding Beijing. 
     And we will not enhance our standing in the world community 
     if we fail to follow through with strong action this year, 
     and fail to live up to our ideals.
           Cordially,
                                                       Paul Simon,
     U.S. Senator.

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