[Congressional Record Volume 143, Number 27 (Wednesday, March 5, 1997)]
[Extensions of Remarks]
[Page E385]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                      INTRODUCTION OF LEGISLATION

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                          HON. THOMAS W. EWING

                              of illinois

                    in the house of representatives

                        Wednesday, March 5, 1997

  Mr. EWING. Mr. Speaker, I have introduced a bill that would grant 
permanent most-favored-nation status to the People's Republic of China 
upon its entry into the World Trade Organization. Under the rules of 
the WTO, each member country must grant permanent MFN to all other 
member countries. As the administration moves forward in its WTO talks 
with the Chinese, it is imperative that commercially viable terms of 
entry are negotiated. The WTO is America's best weapon against the 
forces protectionism and predatory mercantilism. China's entry into the 
WTO is in America's national interest. First, entry into the WTO will 
require China to further liberalize its trade regime by lowering 
tariffs and eliminating many nontariff barriers that American goods 
face. Second, the WTO provides a more useful forum for resolution of 
trade disputes than the bilateral approach now in place with China. It 
is important to note that WTO membership is not a gift to China. The 
administration is negotiating tough commercial terms upon which China 
will enter and these terms will define United States-China trade in the 
future.
  Perhaps the most important reason that we should be pushing for 
China's accession to the WTO is the level playing field that this 
membership would provide for United States exporters. Currently, 
exporting to China can be a very costly and timeconsuming endeavor for 
American producers. There are many nontariff barriers that, 
intentionally or not, impede market access. There is a certain amount 
of discriminatory treatment of products that will be difficult for the 
Chinese to continue when under the jurisdiction of the WTO. 
Transparency is also a big problem in China. It is difficult to find 
out which laws and regulations apply to which products and when do they 
apply. As a WTO member China's import policies will have to become more 
transparent and more defined. This will allow American exporters to 
conduct business in China by following internationally recognized trade 
practices. China's trade regime will have to conform to these 
international principles.
  The United States exports less, as a percentage of GDP, than any 
other industrialized nation. Enhancing and increasing U.S. export 
performance will be essential as we search for ways to improve and 
increase economic growth in the U.S. economy. China's vast market 
potential, combined with the discipline of market forces and 
liberalized trade policies, are a positive step toward increasing 
market access for American exports.

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