[Congressional Record Volume 145, Number 110 (Friday, July 30, 1999)]
[Extensions of Remarks]
[Page E1699]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 DISAPPROVING EXTENSION OF NONDISCRIMINATORY TREATMENT TO PRODUCTS OF 
                       PEOPLE'S REPUBLIC OF CHINA

                                 ______
                                 

                               speech of

                         HON. NANCY L. JOHNSON

                             of connecticut

                    in the house of representatives

                         Tuesday, July 27, 1999

  Mrs. JOHNSON of Connecticut. Mr. Speaker, I rise in strong opposition 
to this resolution. Denying NTR to China will undermine United States 
economic interests. It is our twelfth largest market and China 
increased imports from the United States 11 percent last year, all 
products made by highly skilled workers earning high wages.
  Connecticut exports to China in 1998 totaled more than 301 million 
ranking it tenth in the Nation. Connecticut businesses and its workers 
have a direct interest in maintaining normal trading relations with 
China and with further opening China's markets. With a quarter of the 
world's population and the third largest economy, China's buying power 
will grow tremendously in the years ahead. If we do not engage this 
emerging major market, other nations will replace U.S. companies and 
through the significant resulting profits gain a competitive advantage 
over us. That has already happened in the helicopter market through 
shortsighted American policy.
  Mr. Speaker, it is just a fact that China is making quiet but 
significant progress in many areas. Unlike Russia, China has recognized 
the need to recapitalize their state-owned businesses and has gradually 
sold many to foreign companies. They are modernizing their economy 
without the level of unemployment, crime, and turmoil that has plagued 
other communist nations faced with this challenge.
  Furthermore, western companies have brought management practices to 
China that develop individual initiative and respect workers' ideas. 
They have brought more stringent health safety and environmental 
standards accomplishing goals like reducing industrial waste 35 percent 
and harmful air emissions 36 percent, as did Carrier since 1995.
  And western companies have brought more opportunity to workers 
through benefits like Otis Elevator's home ownership program.
  In addition, China has had direct elections in half its villages, 
gaining experience with secret ballots and multicandidate elections. In 
some provinces, 40 percent of the candidates are young entrepreneurs 
and not Communist Party members. In 1997, as part of the rule of law 
initiative the training of legal aid lawyers began.
  In sum, China is modernizing its economy and governance through a 
process that is harmonious with her long history and cultural 
traditions, but that should not obscure the growth of values in common 
with people in the west. It should certainly not obscure our common 
interest in the growth of trade between our nations based on the 
principles that undergird the WTO relationships. By renewing NTR and 
working with China to enter WTO we can help China adopt free and fair 
trade policies. Lower tariffs make our goods more affordable. 
Distribution rights under WTO will provide access to customers. Good 
for China, good for us.
  I urge renewal of the normal trade relations with China and 
opposition to this resolution of disapproval.

                          ____________________