[Congressional Record Volume 143, Number 85 (Wednesday, June 18, 1997)]
[Extensions of Remarks]
[Pages E1245-E1247]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  FORMER MEMBERS OF CONGRESS TO CHINA

                                 ______
                                 

                          HON. LEE H. HAMILTON

                               of indiana

                    in the house of representatives

                        Wednesday, June 18, 1997

  Mr. HAMILTON. Mr. Speaker, a few days from now, Members will be asked 
to vote on one of the toughest issues they will face this year--whether 
to renew China's most-favored-nation trade status.
  I recently had sent to me a copy of a report of a study tour to China 
by a delegation of former Members of Congress.
  I am taking the liberty of reprinting the summary section of this 
report in the Record, in the hope that it may be of some use to Members 
as they consider the issues involved in the MFN debate in the days 
ahead.

                     Report of Study Tour to China

       A delegation of members of the U.S. Association of Former 
     Members of Congress traveled to China during the period 
     September 1-10, 1996 at the invitation of the Foreign Affairs 
     Committee of the National People's Congress. The trip 
     included meetings in Beijing, Xian, Shanghai and Guilin. The 
     delegation was led by the President of the Association, 
     former Representative Louis Frey, Jr. (R-FL) and included: 
     former Senator Daniel B. Brewster (D-MD); former 
     Representatives John N. Erlenborn (R-IL), who is Treasurer of 
     the Association; Beverly B. Byron (D-MD); Lawrence J. Hogan 
     (R-MD); Elizabeth Holtzman (D-NY); John W. Jenrette, Jr. (D-
     SC); Philip E. Ruppe (R-MI); Richard T. Schulze (R-PA); 
     Carlton R. Sickles (D-MD); and the Executive Director of the 
     Association, Linda A. Reed. Also on the trip were: Marcia 
     Frey; Judy Brewster; Kirk Walsh, husband of Beverly B. Bryon; 
     Mary and Elizabeth Ruppe, daughters of Philip E. Ruppe; Nancy 
     Schulze; and H. Thomas Collins, husband of Linda A. Reed. The 
     members of the delegation paid their own international 
     transportation costs; all expenses in China were covered by 
     the Foreign Affairs Committee.
       Prior to the trip, members of the delegation received 
     briefings from personnel in the Office of Chinese and 
     Mongolian Affairs at the Department of State and staff of the 
     House International Relations Committee, and had the 
     opportunity to review hundreds of pages of background 
     material on China prepared by the State Department, the 
     Congressional Research Service and the National Committee on 
     U.S.-China Relations.
       In Beijing, the delegation was given a welcoming banquet by 
     the Foreign Affairs Committee of the National People's 
     Congress,

[[Page E1246]]

     hosted by the Chairman, Mr. Zhu Liang. Meetings were held 
     with Mr. Qiao Shi, Chairman of the Standing Committee of the 
     National People's Congress, in the Great Hall of the People, 
     and with Mr. Qian Qichen, Vice Premier and Minister of 
     Foreign Affairs, at the Diaoyutai State Guesthouse. Others 
     with whom discussions were held in Beijing included: Mr. Yang 
     Zhenya, Member of the Standing Committee and Vice Chairman of 
     the Foreign Affairs Committee; Mr. Jiang Shunxue, Member of 
     the Standing Committee and Member of the Foreign Affairs 
     Committee; Ms. Zhao Jie, Deputy Office Director of the 
     Foreign Affairs Committee; Mr. Lin Hu, Deputy to the National 
     People's Congress and Member of the Foreign Affairs 
     Committee; Professor Wang Fosong, Member of the Standing 
     Committee and Vice Chairman of the Chemistry Division of the 
     Chinese Academy of Sciences; Mr. Wang Fe Song, Mr. Zhang 
     Ting, Mr. Lin Shangyuang and Mr. Lin Hu, Members of the 
     Foreign Affairs Committee; Mr. Li Zhong Ying, Advisor to the 
     Foreign Affairs Committee; Mr. Shi Zong Ben, Advisor to the 
     Foreign Affairs Committee who also traveled with the 
     delegation throughout China; Ms. an Xiaoru, Division Chief of 
     the Foreign Affairs Committee; Hon. James R. Sasser, U.S. 
     Ambassador to China; Mr. William C. McCahill, Jr., Deputy 
     Chief of Mission, U.S. Embassy; Mr. William Stanton, 
     Political Counselor, U.S. Embassy; Mr. Robert Goldberg, First 
     Secretary (Economics), U.S. Embassy; and Ms. Sylvia Reed 
     Curran, Second Secretary (Political), U.S. Embassy.
       In each of the provincal capitals visited, the delegation 
     had a welcoming banquet and other meetings. In Xian, Mr. 
     Zhang Boxing, Member of the Central Committee of the CPC, 
     Deputy to the National People's Congress and Chairman of the 
     Standing Committee of the Shaanxi Provincial People's 
     Congress, was host to the delegation along with Mr. Chen 
     Fushen, Secretary-General of the Standing Committee of the 
     Shaanxi Provincial People's Congress. In Shanghai, Mr. Sha 
     Lin, Vice Chairman of the Standing Committee of the Shanghai 
     Municipal People's Congress, was host to the delegation along 
     with Dr. Wang Dao Min, Member of the Standing Committee of 
     the Shanghai Municipal People's Congress and Deputy Director 
     of the Education, Science, Culture and Public Health 
     Committee. In addition, the delegation toured the Jinqiao 
     Export Processing Zone and visited the offices of Rosemount 
     Shanghai Co., Ltd. In Guilin, Mr. Hong Puzhou, Chairman of 
     the Standing Committee of the Guilin Municipal People's 
     Congress, hosted the delegation along with Mr. Zheo Ke, 
     Director of the Foreign Affairs Office of the Guilin 
     Municipal People's Congress.
       It was obvious from the beginning that the Chinese had 
     rolled out the red carpet for the delegation. There was very 
     little sightseeing, with the emphasis being on talks with 
     Chinese officials. There were no ground rules regarding the 
     talks, and issues discussed included such varied topics as 
     human rights, Taiwan, the problems with Pakistan, trade, Hong 
     Kong and how to run a free enterprise system under a 
     communist government.
       Many of the members of the delegation had visited China 
     before and one, Congressman Carlton Sickles, had been 
     stationed there during World War II. All the delegation 
     members were impressed with the enormity of the dramatic 
     changes taking place. The task of increasing the standard of 
     living of a population of over 1.2 billion people is such a 
     large proposition that one would tend to think it impossible 
     to achieve. However, the sights and sounds of a dynamic 
     China, especially in the large cities and along the eastern 
     coast, are convincing proof that this task is being 
     successfully fulfilled in part of the country and that the 
     growth potential for the remaining areas is of staggering 
     proportions. Unfortunately, the positive changes in the 
     cities and coastal areas are in sharp contrast to the rural 
     areas, which are lagging far behind.
       This report includes overall general comments, followed by 
     a more detailed description of the major meetings that took 
     place. The following comments are not in any particular 
     order.
       1. The economy of China is still largely government 
     controlled, although it is moving toward a free-enterprise 
     system. One major problem is that over half of the 
     government-owned industries are losing money. This problem is 
     compounded further by the fact that these industries have 
     borrowed substantial sums from Chinese banks, which adds to 
     the negative effect on China's economy.
       2. The Chinese people are clearly industrious and capable 
     of assimilating knowledge in the new information age. People 
     in the large cities are animated, well-dressed, cheerful, 
     consumer-oriented and constantly in motion. Whether the 
     middle class is 100 million or 300 million, it still 
     represents an enormous and growing market.
       3. The current Chinese leadership appears to have a near 
     fixation about Taiwan and Hong Kong. They consider these 
     territories to be integral parts of China; what happens to 
     them is an internal Chinese matter. The Chinese government 
     was embarrassed by the United States granting a visa to the 
     President of Taiwan to return for his Dartmouth College 
     reunion. The fixation on the return of Hong Kong is 
     exemplified by a large clock in Tiananmen Square, which 
     counts down the days, hours, minutes and seconds until Hong 
     Kong is returned to China.
       4. The Chinese do not understand how the American political 
     system functions. They fail to understand the concept of a 
     loyal opposition in a democratic system and are perplexed 
     over statements issued by Members of Congress which seem 
     counter to the position of the U.S. President and their 
     understanding of U.S. foreign policy. The concept of checks 
     and balances and a separate and independent legislative 
     branch is something they neither understand (nor want to 
     understand) nor probably are capable of comprehending in the 
     immediate future.
       5. The Chinese have been out-lobbied by some other nations. 
     Apparently, they believe they do not need to have paid 
     lobbyists in Washington to represent their views. When asked 
     about setting up an active exchange program between Members 
     of the U.S. Congress and the National People's Congress of 
     China, interest was evident, as long as they are not solely 
     responsible for the finances of the exchange.
       6. The Chinese wish to be recognized as one of the world's 
     great nations. However, at present, they do not feel 
     compelled to play by the same rules. Everything something was 
     mentioned about any subject that was controversial, be it 
     human rights, Taiwan, Hong Kong or Tiananmen Square, their 
     answer was that these are internal matters that are the sole 
     province of the Chinese government. Unfortunately, as a 
     country with a population of over 1.2 billion people, China 
     is going to be scrutinized by other nations and are the world 
     press and can't hide behind the rubric of calling these 
     internal problems. The Chinese either choose not to or fail 
     to recognize this reality.
       7. There is some recent evidence of anti-American feeling 
     exemplified by a book written by a young Chinese whose thesis 
     is that the United States is trying to apply to China the 
     policy that is similar to that which was applied to Russia 
     during the Cold War, i.e., containment. The thinking of some 
     Chinese is that some nations would like to see the present 
     People's Republic of China split into various subdivisions, 
     thus reducing its national power.
       8. China still lacks a free press as Americans know it. The 
     government is able to focus attention in areas that it feels 
     are important and to present a one-sided view of issues. Just 
     after the delegation left China, the government unveiled a 
     major public ethics campaign that seeks to impose sterner 
     controls over the media and culture. The Central Committee 
     issued a statement that said, ``Some government departments 
     and leaders had neglected ethics and ideology while being 
     quite strong in promoting material progress.'' This 
     emphasizes the dilemma of attempting to maintain an 
     authoritarian government while simultaneously developing a 
     free market economy and a more open political system.
       9. Despite recent militant statements by the Chinese 
     government regarding Taiwan, it appears that, in the long 
     run, increasing economic cooperation between the two will 
     ease the problem. The Chinese indicated that they were 
     opening new air and maritime routes and postal service and 
     are encouraging investment and commerce with Taiwan. At 
     present, Taiwanese investments in China exceed those of any 
     other nation. As commerce increases, followed by travel, 
     tensions probably will be reduced.
       10. The Chinese recognize that the world will be watching 
     the transfer of power in Hong Kong. Most people in China and 
     Hong Kong seem to believe that, during the first three or 
     four years, the Chinese will allow ``two systems of 
     government within one country.'' Hong Kong, apparently, will 
     be given more freedom and leeway than exists now on the 
     mainland. It remains a question as to how much freedom will 
     be allowed and how long it will last. If China continues to 
     develop an expanding free-enterprise system, with the 
     inevitable erosion of the central governmental controls, Hong 
     Kong may be able to avoid total control from Beijing.
       11. Great progress has been made in some areas of the 
     infrastructure. For instance, some commercial aircraft are 
     modern, mostly U.S., and many airports have been updated in 
     the major cities. Highways in and around the major cities 
     also have been improved greatly. There are major 
     environmental and power problems, however. Infrastructure in 
     rural areas needs to be improved greatly or rebuilt 
     completely.
       12. It appears, at least on the surface, that the question 
     of succession has been amicably settled. The age and physical 
     condition of Deng are such that, as a practical matter, he 
     rules in spirit only. The public statement of the Chinese 
     leaders is that the succession has taken place and that the 
     policies, especially economic policies, will not change 
     significantly. While it is recognized that China can do a 180 
     degree turn on a moment's notice, e.g., the Cultural 
     Revolution, the development of a free-enterprise system and 
     relative economic prosperity among many Chinese have made 
     such an impact that it would be extremely difficult. It would 
     necessitate the use of military force to return China, i.e., 
     to turn back the clock, to a communist economy.
       13. The Chinese still are a long way from a rule of law and 
     also have major human rights problems. In this regard, they 
     are not unlike many other nations in the world. The United 
     States must decide whether it would be more effective to use 
     the carrot or the stick in its approach to China. It appears 
     obvious that the better the economy, the more foreign 
     investment and trade, the further the free-enterprise system 
     develops, the better the chances are for a rule of law and 
     improvements in human rights. There probably

[[Page E1247]]

     is a middle ground where the United States can point out 
     firmly, strongly and, hopefully, politely that problems exist 
     without diluting those principles that underlie our 
     democratic tradition while working with China in a positive 
     manner to bring about economic progress.
       14. The Chinese must understand that when the United States 
     acts, it is acting in its own self-interest, but it is in the 
     United States' best interest to work cooperatively with an 
     economically strong and politically sound China. It would 
     appear that a strong China can bring stability to Asia, help 
     the world with problem nations, e.g., North Korea, contribute 
     to the solution of world ecological problems and present 
     American businesses with new opportunities.
       15. It is the delegation's opinion that there should be 
     increased bilateral meetings and governmental exchange 
     programs. A lack of understanding regarding key issues now 
     exists on both the part of the Chinese and the Americans. The 
     United States has a great opportunity in China. There is no 
     deep feeling of hostility. The Chinese seek respect as a 
     major player in world affairs. They are moving, albeit 
     slowly, in the right direction. It is in our interest to help 
     them continue this forward trend.
       16. It would appear that the Chinese are looking for a 
     statement from the United States as to where the relationship 
     is going. In the past few years, both nations have reacted 
     and, in some cases, over-reacted to problems such as Taiwan, 
     Pakistan and trade issues, including transshipping and 
     violations of copyright laws. Tension between the United 
     States and China has been increased by the debate over the 
     most favored nation status. Statements from various Members 
     of Congress, many of which are aimed more at appeasing their 
     own political constituents rather than for foreign 
     consumption, are upsetting to the Chinese. After the U.S. 
     Presidential election, more U.S. attention should be directed 
     to China, working perhaps toward a summit sometime in late 
     1997 or early 1998.

     

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