[Congressional Record Volume 142, Number 38 (Tuesday, March 19, 1996)]
[House]
[Page H2324]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  UNITED STATES-TAIWAN-CHINA RELATIONS

  The SPEAKER pro tempore. Under the Speaker's announced policy of May 
12, 1995, the gentleman from Guam [Mr. Underwood] is recognized during 
morning business for 5 minutes.
  Mr. UNDERWOOD. Mr. Speaker, today the House will take up later on 
House Concurrent Resolution 148, a concurrent resolution expressing the 
sense of Congress that the United States is committed to the military 
stability of the Taiwan Straits and to the defense of Taiwan against 
invasion, missile attacks, or blockade by the People's Republic of 
China. The House's consideration of this resolution is timely. It 
coincides with meetings today between United States and Taiwanese 
officials to discuss Taiwan's defense needs and possible United States 
weapons sales in a regularly scheduled annual consultation.
  Consideration of this resolution also comes at a time of increased 
military maneuvers by the People's Republic. Over the past few months, 
China has conducted missile tests off the coast of Taiwan, including 
missile firings which have landed adjacent to Taiwanese major ports and 
live ammunition fire operations in the Straits.
  Yesterday China upped the ante by declaring that they will go forward 
with planned war games around islands it controls and ordered residents 
to evacuate. The PRC also announced a new series of exercises in a 
large part of the Taiwan Straits and has warned international shipping 
and aviation to stay away from the region.
  The reason for the PRC's escalation is clear: It is an orchestrated 
campaign to intimidate Taiwanese voters and to influence the outcome of 
Taiwan's first direct Presidential elections this coming Saturday. The 
resolution under consideration today rejects this type of coercion and 
supports the historic democratic election in Taiwan this weekend. It 
reinforces the Clinton administration's support for democracy and 
stability in the region and peaceful resolution of the current dispute.
  As the Member of Congress whose district is closest to this conflict 
and directly impacted by the outcome, I am mindful of its implications 
for Guam. While some have argued that my islands could benefit by some 
of this instability, I reject this line of thinking. Even though some 
short-term economic gain may result from capital diverted from the 
region to Guam, our long-term economic growth will suffer without 
economic prosperity in Pacific Rim and Pacific Basin nations and 
territories.
  Guam's economy is tourist driven, roughly 1 million of whom arrive 
from the Asia Pacific region. Tourist arrivals have increased over 180 
percent in 10 years, with Korea and Taiwan recently leading the way as 
the fastest growing visitor markets. Increasingly our economy also 
depends on investment from Japan, Taiwan, the Philippines and South 
Korea. A blockade, invasion or missile attack on Taiwan would not only 
affect Taiwan, but also the United States and the rest of the region.
  Economic growth throughout the United States would be jeopardized if 
the flow of exports to the region is disrupted in any way. Over 40 
percent of all United States trade involves the Asia-Pacific region. 
U.S. trade in the region now exceeds $370 billion, which is 76 percent 
greater than U.S. trade with Europe. An estimated 2.6 million American 
jobs depend on United States exports to Asia.
  Taiwan has become a major trading partner of the United States and 
all the major economies in the region. Taiwanese two-way trade with the 
United States is roughly $43 billion. Furthermore, United States, 
Japan, and Hong Kong account for more than 60 percent of Taiwanese 
exports. We can only imagine what would happen if the 19th largest 
economy in the world was cut off from the rest of the world by an 
invasion, blockade or missile attack. When the peso collapsed in Mexico 
last year, shock waves went throughout economies and stock markets as 
far away as Asia. A disruption of trade in and out of Taiwan could have 
even greater consequences.
  Over the past 50 years, U.S. engagement in Asia and the Pacific has 
ensured a stable political and military environment and made possible 
the tremendous economic growth in the Pacific region. We should welcome 
the Clinton administration's dispatch of the Nimitz and the 
Independence. It sends Beijing a strong signal that the United States 
is committed to regional stability and economic growth. The resolution 
before the House only strengthens this commitment.
  It is my hope that when the current dispute is resolved, Congress and 
the administration and the American people will wake up to a very new 
geopolitical reality. The Asia-Pacific region has become the most 
dynamic region in the world, and all major indicators point to the 
Asia-Pacific region as the most vibrant region in the next century. The 
region is home to the seven largest armies in the world, the largest 
population, and the greatest volume of trade.
  Let us not turn our back on Taiwan. Let us support them, and let us 
support the resolution.

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