[Congressional Record Volume 146, Number 66 (Wednesday, May 24, 2000)]
[House]
[Pages H3711-H3747]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
CALL OF THE HOUSE
Mr. STARK. Mr. Speaker, I move a call of the House.
A call of the House was ordered.
The call was taken by electronic device, and the following Members
responded to their names:
[Roll No. 226]
Abercrombie
Ackerman
Aderholt
Allen
Andrews
Armey
Baca
Bachus
Baird
Baker
Baldacci
Baldwin
Ballenger
Barcia
Barr
Barrett (NE)
Barrett (WI)
Bartlett
Barton
Bass
Bateman
Becerra
Bentsen
Bereuter
Berkley
Berry
Biggert
Bilbray
Bilirakis
Bishop
Blagojevich
Bliley
Blumenauer
Boehlert
Boehner
Bonilla
Bonior
Bono
Borski
Boswell
Boucher
Boyd
Brady (PA)
Brady (TX)
Brown (FL)
Brown (OH)
Bryant
Burr
Burton
Buyer
Callahan
Calvert
Camp
Campbell
Canady
Cannon
Capps
Capuano
Cardin
Carson
Castle
Chabot
Chambliss
Chenoweth-Hage
Clay
Clayton
Clement
Clyburn
Coble
Coburn
Collins
Combest
Condit
Conyers
Cook
Cooksey
Costello
Cox
Coyne
Cramer
Crane
Crowley
Cubin
Cummings
Cunningham
Danner
Davis (FL)
Davis (IL)
Davis (VA)
Deal
DeFazio
DeGette
Delahunt
DeLauro
DeLay
DeMint
Deutsch
Diaz-Balart
Dickey
Dicks
Dingell
Dixon
Doggett
Dooley
Doolittle
Doyle
Dreier
Duncan
Dunn
Edwards
Ehlers
Ehrlich
Emerson
Engel
English
Eshoo
Etheridge
Evans
Everett
Ewing
Farr
Fattah
Filner
Fletcher
Foley
Forbes
Ford
Fossella
Franks (NJ)
Frelinghuysen
Gallegly
Ganske
Gejdenson
Gephardt
Gibbons
Gilchrest
Gillmor
Gilman
Gonzalez
Goode
Goodlatte
Goodling
Gordon
Goss
Graham
Granger
Green (TX)
Green (WI)
Greenwood
Gutierrez
Gutknecht
Hall (OH)
Hall (TX)
Hansen
Hastings (FL)
Hastings (WA)
Hayes
Hayworth
Hefley
Herger
Hill (IN)
Hill (MT)
Hilleary
Hilliard
Hinchey
Hinojosa
Hobson
Hoeffel
Hoekstra
Holden
Holt
Hooley
Horn
Hostettler
Houghton
Hoyer
Hulshof
Hunter
Hutchinson
Hyde
Inslee
Isakson
Jackson (IL)
Jackson-Lee (TX)
Jefferson
Jenkins
John
Johnson (CT)
Johnson, E. B.
Johnson, Sam
Jones (NC)
Jones (OH)
Kanjorski
Kaptur
Kelly
Kennedy
Kildee
Kilpatrick
Kind (WI)
King (NY)
Kingston
Kleczka
Klink
Knollenberg
Kolbe
Kucinich
Kuykendall
LaFalce
LaHood
Lampson
Lantos
Largent
Larson
Latham
LaTourette
Lazio
Leach
Lee
Levin
Lewis (CA)
Lewis (GA)
Lewis (KY)
Linder
Lipinski
LoBiondo
Lofgren
Lowey
Lucas (KY)
Lucas (OK)
Luther
Maloney (CT)
Maloney (NY)
Manzullo
Markey
Martinez
Mascara
Matsui
McCarthy (MO)
McCarthy (NY)
McCollum
McCrery
McDermott
McGovern
McHugh
McInnis
McIntyre
McKeon
McKinney
McNulty
Meehan
Meek (FL)
Meeks (NY)
Menendez
Metcalf
Mica
Millender-McDonald
Miller (FL)
Miller, Gary
Miller, George
Minge
Mink
Moakley
Mollohan
Moore
Moran (KS)
Moran (VA)
Morella
Murtha
Myrick
Nadler
Napolitano
Neal
Nethercutt
Ney
Northup
Norwood
Nussle
Oberstar
Obey
Olver
Ortiz
Ose
Owens
Oxley
Packard
Pallone
Pascrell
Pastor
Paul
Payne
Pease
Pelosi
Peterson (MN)
Peterson (PA)
Petri
Phelps
Pickering
Pickett
Pitts
Pombo
Pomeroy
Porter
Portman
Price (NC)
Pryce (OH)
Quinn
Radanovich
Rahall
Ramstad
Rangel
Regula
Reyes
Reynolds
Riley
Rivers
Rodriguez
Roemer
Rogan
Rogers
Rohrabacher
Ros-Lehtinen
Rothman
Roukema
Roybal-Allard
Royce
Ryan (WI)
Ryun (KS)
Sabo
Salmon
Sanchez
Sanders
Sandlin
Sanford
Sawyer
Saxton
Schaffer
Schakowsky
Scott
Sensenbrenner
Serrano
Sessions
Shadegg
Shaw
Shays
Sherman
Sherwood
Shimkus
Shows
Shuster
Simpson
Sisisky
Skeen
Skelton
Slaughter
Smith (MI)
Smith (NJ)
Smith (TX)
Smith (WA)
Snyder
Souder
Spence
Spratt
Stabenow
Stark
Stenholm
Strickland
Stump
Stupak
Sununu
Sweeney
Talent
Tancredo
Tanner
Tauscher
Tauzin
Taylor (MS)
Taylor (NC)
Terry
Thomas
Thompson (CA)
Thompson (MS)
Thornberry
Thune
Thurman
Tiahrt
Toomey
Towns
Traficant
Turner
Udall (CO)
Udall (NM)
Upton
Velazquez
Vento
Visclosky
Vitter
Walden
Walsh
Wamp
Waters
Watkins
Watt (NC)
Watts (OK)
Waxman
Weiner
Weldon (FL)
Weldon (PA)
Weller
Wexler
Weygand
Whitfield
Wicker
Wilson
Wise
Wolf
Woolsey
Wu
Wynn
Young (FL)
{time} 1614
The SPEAKER pro tempore (Mr. LaHood). On this rollcall, four hundred
nineteen Members have recorded their presence by electronic device, a
quorum.
Under the rule, further proceedings under the call are dispensed
with.
AUTHORIZING EXTENSION OF NONDISCRIMINATORY TREATMENT (NORMAN TRADE
RELATIONS TREATMENT) TO PEOPLE'S REPUBLIC OF CHINA
The SPEAKER pro tempore. The Chair announces that the gentleman from
Illinois (Mr. Crane) will yield 2 minutes to the Majority Leader, and
then we will have closing statements from each of the managers
beginning with the gentleman from Georgia (Mr. Norwood), who will have
4\1/2\ minutes; the gentleman from California (Mr. Stark), who will
have 4 minutes; the gentleman from New York (Mr. Rangel), who will have
4\1/2\ minutes; and the gentleman from Illinois (Mr. Crane), who will
have 4 minutes.
Mr. CRANE. Mr. Speaker, I yield 2 minutes to the gentleman from Texas
(Mr. Armey), our distinguished majority leader.
Mr. ARMEY. Mr. Speaker, I thank the gentleman from Illinois for
yielding me this time.
Mr. Speaker, I support permanent normal trade relations with China
because I profoundly believe that it will advance the cause of human
rights for the Chinese people. Mr. Speaker, I believe free and open
trade is not only the best way to make China a free and open nation,
but it may be the only way.
A vote to open the China market and the world experience to the
Chinese people is a vote to open markets. What is a market, Mr.
Speaker? Market is simply an arena in which there is a sharing of
information about market transactions, informations about desires,
wants, hopes and dreams, and economic conditions.
But, Mr. Speaker, one cannot share that information about economics
without also sharing information about culture, politics, religion, and
values. Information, Mr. Speaker, is the life blood of a market. It is
also poison to dictators, because dictators know that it is the truth
that will set one free. They also know that, in a modern technology
age, information is the basis by which one acquires truth.
When we open the China market, citizens from all over China will be
carrying devices like this, a simple little pocket PC. With that PC,
they can connect to the Internet every bit of information about
culture, religion, markets, economics, and freedom and dignity
available on this Earth. They cannot be stopped.
It is said, Mr. Speaker, that the pen is mightier than the sword. I
would argue that the PC is mightier than the shackles of tyranny.
When the people of China are free to transact in world markets, and
when they share this information about freedom, they will learn the
lessons of liberty, they will see liberty working out in the lives of
the other citizens in the world, and they will demand it of their
nation, and they will change their government.
The Communist hard-liners know this, Mr. Speaker, and that is why
they do mischief to our efforts today. That is why they disrupt it,
because they fear the freedom that comes from commerce and is
contagious throughout all of human spirit.
I do not know, Mr. Speaker, what life will be for the Chinese people
5 or 10 or 15 years from now when we vote for freedom and commerce
today. I cannot guarantee my colleagues that their life will be better.
But I can tell my colleagues, Mr. Speaker, if we vote ``no'' today, if
we deny them the chance, we will condemn them to a continued life of
despair.
I for one choose to vote, instead, for my fondest hope, for the hope
of freedom, dignity, commerce, and prosperity, for the beautiful people
of China so that their children, like our children, in this wide open
world can come home and say in that magical voice, Mom, dad, I got the
job.
[[Page H3712]]
Mr. NORWOOD. Mr. Speaker, I yield myself the remaining time.
Mr. Speaker, if my colleagues vote ``no'' today, we have normal
trading relations with China.
Jobs, American jobs, bombs, Bibles, in a nutshell, those are the
three concerns that we have been talking about for the last 5 hours.
Every year, every year I have been here, we are asked to approve
normal trade for China based on existing and potential progress with
these three concerns in mind: jobs, bombs, and Bibles. We are told
every year that, if we will just extend normal trade for one more year,
that jobs in this country will not be adversely affected.
My district has lost manufacturing jobs to cheap Chinese labor every
year I have been in Congress. There are others of my colleagues who fit
in that category. This is not just cheap labor, Mr. Speaker, this is
also slave labor.
We are told, if we just will extend normal trade for one more year,
we will not have to worry so much about Red China dropping nuclear
bombs on us because they are going to be much friendlier, our
relationship is going to be greatly improved.
Yet, every single year that I have been in Congress, China has
increased its nuclear arsenal with technology stolen from us and
increased its threats to use them against American cities if we dare
oppose their invasion of our allies.
We are told that, if we extend normal trade relations for just one
more year, the human rights in China will surely get better, that
Christians will not be jailed for having Bibles, and Muslims will not
be jailed for having the Koran, the Tibetans will not be jailed for
simply following their traditional religion.
Yet, every year that I have been in Congress, persecution of anyone
in China who believes in a higher authority has gotten much worse. All
of these things, all of them are worse after 5 years of what we have
described as normal trade relations with China.
So what is our response we are considering to these violations? To
grant them normal trade relations forever with no qualifications.
Here is what we must decide today. Do we allow China to profit from
stealing our nuclear weapons secrets? Does China profit from violating
our existing trade agreements and throwing hard-working Americans out
of their manufacturing jobs? Does China profit from threatening an
invasion of our friend and ally Taiwan? Does China profit from
threatening nuclear attack on our cities?
Does China profit from forcing young Chinese mothers to endure forced
abortions and sterilization and watch government doctors kill their
child as it is being born? Does China profit from throwing Christians
in jail for just having a Bible or crushing the people of Tibet when
they wanted to worship as they saw fit?
There are many who support PNTR because they honestly believe that an
all-out global trade, with no restrictions and no oversight, has a
chance of simply overwhelming China's corrupt political and economic
system. I disagree, but I respect their position and do not doubt at
all their honest motives.
But there is a seamier side of the China lobby that has successfully
spread false information to America's business leaders, and many of our
colleagues and have basically taken advantage of those honest emotions.
We have a choice in this House today, a big choice. Our collective
voice, Mr. Speaker, will be heard by billions of people around the
world. People yearning and struggling for freedom, hoping, fighting and
praying for democracy and human rights and peace.
Our choice will determine whether our citizens and those masses of
humanity locked in darkness continue to believe in America as the great
beacon of human decency and divine providence, a Nation by whose light
all mankind can see that liberty still shines brighter than gold.
Mr. STARK. Mr. Speaker, I was tempted to recite Horatio at the Bridge
for my colleagues, but I thought I might get more votes if I took this
opportunity to recognize the distinguished minority whip to tell us why
American workers should suffer ill no more.
Mr. Speaker, I yield 4 minutes to the gentleman from Michigan (Mr.
Bonior)
Mr. BONIOR. Mr. Speaker, I congratulate the gentleman from Georgia
(Mr. Norwood) on a magnificent statement.
Mr. Speaker, it is almost sunrise in Gwong Dong Province in China.
Soon 1,000 workers at the Chin She factory will be getting ready to go
to work. Most of them are young people, some as young as 16 years of
age. They work 14-hour shifts, 7 days a week. They are housed in
cramped dormitories that resemble prisons. Their average pay is 3 cents
an hour. They make handbags for export here to America.
{time} 1630
We are told we need this trade deal to open up the vast markets for
American goods, but these Chinese workers cannot even afford to buy the
products they make themselves. How are they going to buy our cars, our
cell phones, our computers?
We can have free markets without free people, but it does not often
come to a good end; Chile's Pinochet, Indonesia's Suharto.
We should have learned the lessons of NAFTA, jobs lost in food
processing, in consumer products, in high-tech; 100,000 good auto
worker jobs lost forever since NAFTA. And where are those men and women
today? Oh, they are working. They are working in nursing homes, at gas
stations, at convenience stores, and making a fraction of what they
once earned. And the jobs they used to have are now performed by
workers making pennies on the dollar in Mexico's economic free-fire
zone called the maquiladora.
But harsh as life can be in Mexico, China is far worse. It is a
police state. And I say to the majority leader that their information
is censored, including the Internet; a nation where injustice is law
and brutality is order.
Alexis de Tocqueville once wrote that if people are to become or
remain civilized, ``the act of associating together must grow and
improve in the same ratio in which equality of condition is
increased.''
That is what enabled America to become the most prosperous Nation in
the world. It was not the forces of world commerce that enabled coal
miners and steelworkers and auto workers and textile workers to take
their place among America's middle class. No, it was leaders like
Walter Reuther, and it was other Americans exercising their rights to
form unions, to create political parties, to build women's
organizations, to organize churches, civic organizations and groups.
That is what the progressive movement at the turn of the century was
all about.
Mr. Speaker, democracy is something that grows from the ground up.
Theodore Roosevelt understood that a long time ago before any of us. It
was not the global trade that created our national parks or the laws
that protect our air and our water; it was the environmental movement.
It was not free trade that won women the right to vote or beat Jim
Crow; it was the commitment and the sacrifice of the suffragettes and
civil rights leaders. It was the Elizabeth Cady Stantons and the A.
Philip Randolphs, the Martin Luther Kings, and, yes, our own colleague,
the gentleman from Georgia (Mr. Lewis).
The advocates of this trade deal tell us that prosperity is a
precondition for democracy, and with all due respect, they are wrong.
They have to grow together. While trade may make a handful of investors
wealthy, it is democracy, democracy, that makes nations prosperous.
Americans value trade, but we are not willing to trade in our values.
We understand this approach to trade is really the past masquerading as
the future. It is turning back the clock on 100 years of progress.
Some oppose this trade deal because of its impact on the environment,
still others out of concern for our national security, and still others
out of a deep commitment to religious liberty and human rights. But
while we sometimes speak with different voices, we each share that same
vision, and it is de Tocqueville's vision of a civilized society, and
it is a vision of a new kind of a global economy, an economy where
people matter as much as profits.
Let me close, Mr. Speaker, by suggesting to my colleagues that it is
almost sunrise in Gwong Dong Province, and soon the workers at the Chin
She Handbag factory will begin another day. Today, we can send them a
message of hope, a message that the global economy we want is not one
where
[[Page H3713]]
working families in China and Mexico and America compete in a hopeless
race to the bottom.
We have a better vision than that. It is a vision of the global
economy where all have a seat at the table. It is a vision of a new
global economy where none of us are on the outside looking in. At the
beginning of the last century, the progressive movement began a
struggle that made the promise of democracy and prosperity real for
millions of Americans. Now, from this House of Representatives, we
carry that struggle for human dignity into a new century. For families
here in America and throughout the world, we have just begun.
Mr. RANGEL. Mr. Speaker, I yield myself the balance of my time.
The SPEAKER pro tempore (Mr. LaHood). The gentleman is recognized for
4\1/2\ minutes.
(Mr. RANGEL asked and was given permission to revise and extend his
remarks.)
Mr. RANGEL. Mr. Speaker, this has been, I think, one of my better
days in this House; to be able to listen to the eloquent exchanges on
such an important issue to our country and, indeed, the world; to be
able to disagree and not be disagreeable; and for people from within
and without to know that this will still be the House of
Representatives and the true representatives of the people no matter
how the vote turns out.
Let me say this. Some 50 years ago, November 30, 1950, to be exact, I
found myself a member of the Second Infantry Division, having fought
from Pusan, entering in July, straight through up to North Korea
sitting on the Yalu River. I was 20 years old at the time, waiting to
go home, because we thought the war was over. We had beaten back the
North Koreans. While we were there and General McArthur was having his
fight with President Truman, hoards of Chinese, not the lovely Chinese
that the distinguished majority leader was talking about, but hoards of
Communist Chinese destroyed the entire Eighth Army, and we suffered 90
percent casualties. I do not take Communists lightly.
But that was 50 years ago, and now the guy that was shot and was a
high school dropout became a Member of this distinguished body, and now
this United States is the most powerful country in the world,
militarily and economically. And how did we get this way? It is because
we do things better. We are better educated, we are better at
producing. But in order for us to continue to prosper, we have to have
economic growth. We have to find new marketplaces.
Yet, all of a sudden, to my shock and surprise, with the exception of
Cuba, communism is not the barrier. It is exchange, engagement, and
find those marketplaces. How can we afford to ignore over a billion
people, knowing that if we ignore them that the Asians and the
Europeans will not?
We come to the well here with an agreement where we are breaking down
the barriers in China. Not in the United States. They have been down.
This gives us an opportunity to go into those markets. And I have been
throughout the United States. No one challenges me that farmers are
begging to get into those markets. Silicon Valley in California,
Silicon Alley in New York, farmers, pharmacists, manufacturers, the
banking industry, the insurance industry are all asking us to allow
them to get there and show how good Americans can really be.
We say we would like to do that, but we have deep-seated concerns
about the way China treats its people. Well, we do not want to
eliminate those concerns. That is why we have locked into place, with
the help of the gentleman from Michigan (Mr. Levin) and the gentleman
from Nebraska (Mr. Bereuter), a commission and oversight that if this
fails, we will not have.
I ask those people that have this compassion and concern for their
new-found Communist friends in China, what if these Chinese do
everything that we hate for them to do, what do we do when it comes up
next year if it is not permanent? Do my colleagues not understand that
we would be the bad guys for putting in place an impediment to their
getting into the World Trade Organization, but they will get in anyway?
We will have no way, except barking at the Moon, to complain about the
behavior that we dislike.
But I tell my colleagues this. We cannot forget as Americans that we
have blemishes on this human rights issue. We have descendants of
slaves that sit in this body. We have people here as Members of
Congress that 50 years ago could not eat in certain restaurants. We
have people living in the United States without educations, without
hope, without running water.
Mr. Speaker, I have not leaned on one Member in asking them to vote
for this bill. I would not think that I am more of an American than
they are, but I want to share with my colleagues that when people in
certain districts go to sleep dreaming about human rights, they are not
thinking about Shanghai; they are thinking about an opportunity in this
great country.
We are blessed. Let us break down these barriers. Let us be able to
go there to China. Let us maintain an annual report, yes; but daily we
will monitor the conduct and let us give America an opportunity to be
all that she can be. We will show them.
Cutting off communication did not work with that Communist, Castro.
He has outlived close to 10 Presidents. Do not let it happen in China.
Mr. CRANE. Mr. Speaker, I yield the balance of my time to the
gentleman from Illinois (Mr. Hastert), our distinguished Speaker of the
House.
Mr. HASTERT. Mr. Speaker, here we are, finally, on the floor of this
great House closing the debate on permanent normal trade relations with
China.
Before we move into the finality of this, I want to thank those who
helped make this legislation possible. I have to thank the gentleman
from California (Mr. Matsui), the gentleman from California (Mr.
Dreier), the gentleman from Michigan (Mr. Levin), the gentleman from
Nebraska (Mr. Bereuter), and the gentleman from New York (Mr. Rangel).
And I must say to the gentleman from New York (Mr. Rangel), we have
been talking a lot lately. They will be talking about us.
I also want to thank the gentleman from Texas (Mr. Archer), the
gentleman from Illinois (Mr. Crane), and my partners, the gentleman
from Texas (Mr. DeLay) and the gentleman from Texas (Mr. Armey). I
thank them all for their diligence in making this happen.
But while there is one bill being debated here today, there are
actually two debates going on; two questions that have to be answered.
One, is granting this status to China in the best interest of the
United States and the American people? And, two, is granting this
status good for the people of China?
{time} 1645
I believe the answer to both is ``yes.''
Among other things, this debate is about American economic security.
American negotiators have reached a tough, but fair, agreement for
China's entry into the World Trade Organization. It is in fact a one-
sided agreement. China gets nothing from us they do not already have,
and we get lower tariffs and easier access for our exports going to
China. And who makes those exports? American workers do.
Regardless of whether we grant normal trade status to China, the
Chinese market is opening. Someone is going to have the opportunity to
sell to this vast new market. The question is who will be there when
the door opens? Will it be the United States, or will it be Europe and
Japan?
There will be new and larger markets for farm commodities and
manufactured goods in China. Who will produce those products? American
farmers and American workers or European farmers and European workers?
This vote today is about whether American firms set the ground rules
and standards for business in China.
The potential for American economic growth is huge. If we pass this
legislation, U.S. agricultural exports to China would increase by $2
billion every year. That means American farmers will be selling more
corn and more wheat and more citrus and more soybeans.
Last year, the wireless telephone market in China was $20 billion. By
2003, that market will be up to $45 billion. Our high-tech firms would
thrive in the Chinese marketplace.
It is clear that passing this legislation is in the best interest of
American economic security. That is why Alan
[[Page H3714]]
Greenspan supports it, and that is one reason why we should vote
``yes.''
But there is another reason. Gradual democratic reform is taking root
in the hearts and the minds of the Chinese people. But for it to
continue, we must clear the way for more Americans to work with the
Chinese.
More trade will expose the Chinese people to powerful new ideas.
Thanks to the American business presence in China, thousands of Chinese
employees already have access to foreign newspapers and the Internet
and to worldwide e-mail.
Today this House is doing a good thing. We are showing the people and
the leaders of China what real democracy looks like.
The gentleman from Michigan (Mr. Bonior) and I share a common goal,
to help American workers and to encourage American reforms and human
rights in China. But we differ on how to achieve that goal.
I believe my approach is better, and that is why I urge Members to
support this bill. But I am proud that I live in a country where the
gentleman from Michigan (Mr Bonior) can be here on this floor today
passionately putting forth his point of view, because that is what true
democracy is all about. And, ladies and gentlemen, that is what this
great House of Representatives is all about.
In addition to the privilege of serving as the Speaker of this House,
I am honored to be the representative of the people of the 14th
District of Illinois. Like every State in this great Nation, Illinois
has a lot to offer the people of China.
So, in closing, I say to the people of China that we want to send you
our corn and our farm machinery and our telecommunications equipment.
But as we do, we are going to send along something more, free of
charge. We are going to send you a glimpse of freedom and the ideals of
Illinois' favorite son, Abraham Lincoln, the Great Emancipator. Because
we want for you the prosperity and the blessings of the liberty that we
enjoy.
This is a historic vote and a proud day for this body. I believe the
vote we are casting today will help ensure our continued prosperity.
Vote for the future. Vote ``aye.''
Mr. WAXMAN. Mr. Speaker, it is with some reluctance that I support
Permanent Normal Trade Relations for China. I believe in free trade and
I believe this agreement will bring economic growth to the United
States and China, but I am highly concerned about the skewed priorities
of U.S. trade negotiations and the framework of the World Trade
Organization.
I voted against the NAFTA because I thought we could make Mexico
negotiate a better deal with more safeguards for the environment and
worker rights.
I voted against the GATT, which created the World Trade Organization,
because I disapproved of establishing a world trading system that ceded
our sovereignty in a number of areas, and particularly our ability to
uphold laws for public health and the environment.
I would have voted against Fast Track, if it had come to the floor,
because of my concern that U.S. trade negotiators were not permitted to
put worker protection issues as well as environment matters on the
agenda.
But according to the WTO rules that Congress ratified, and I voted
against, China will be able to become part of the WTO regardless of our
vote today. All we can decide here is whether the U.S. will benefit
from the terms of China's accession.
Although the symbolic message of rejecting PNTR would be potent, the
substantive impact could be harmful for our economic and national
security interests. On the economic side, there are some who believe
that we can get every benefit by virtue of the bilateral agreement
signed in 1979. I think that interpretation is incorrect. To press that
issue, we could end up in a destructive trade war and at the same time
lose major economic opportunities to America's global competitors.
In the national security arena, I fear that in rejecting PNTR we
would treat China as an adversary and that it would in reaction to our
vote certainly become one. Rejecting PNTR would embolden the hardline
militarists and make China even less cooperative in arms control and
regional affairs. On the other hand, supporting the entry of both China
and Taiwan into the WTO is an unprecedented opportunity to work with
both countries on equal footing within a major multilateral
organization.
Furthermore, I think our current mechanism of annual review is not
working and as a threat is not credible. I have voted against extending
Normal Trade Relations status to China every year to protest their
denial of human rights to their own citizens, but the possibility of
cutting off trade relations has become an empty threat. That is why I
strongly support my colleague Sandy Levin's proposal to establish a
Congressional-Executive Commission to provide a continuous examination
of human rights in China. It will create a strong network for Congress
to communicate with NGO activists in China and maintain a constant
focus on local Chinese elections, grass-roots environmental activities,
and the situation in Tibet.
I hope that passing PNTR will also bring greater transparency to
China, and promote the rule of law. The influx of American interest,
telecommunications, and media companies will democratize the flow of
information beyond government control and give us new tools to
scrutinize China's record on human rights and religious freedom.
Although I'm supporting this bill, I continue to have serious
concerns. For one thing, I am very troubled that Chinese tariffs on
cigarettes will fall from 65% to 25% over the next four years. Lung
cancer and other smoking-related diseases are already the most common
cause of death in China, accounting for more than 700,000 deaths
annually. This tariff reduction could open the door for tobacco
companies to launch their aggressive marketing tactics against a highly
vulnerable population where less than 4% know the dangers of smoking.
Smoking patterns could eventually cause more than 3 millions deaths a
year in China, and smoking rates could sky-rocket among women and
children. We have a responsibility to make sure we don't spread the
tobacco public health crisis to China.
I also believe that the existing need for WTO reform will become even
more apparent once China is a WTO member. I think there is a good
change that China will try to get out of living up to its obligations
under this accord and that even WTO judgments against China will be
difficult to enforce. I also suspect that China may make efforts to use
the WTO rules to challenge our own laws as trade barriers, When that
happens, and maybe before, we in this country will have to face the
dangers that the WTO represents and why it must be reformed.
The WTO's dispute settlement mechanism must be open to input by non-
governmental entities that have an interest in the deliberation. The
evaluating panels cannot be shrouded in secrecy if dispute settlement
is going to evolve as a credible and effective tool to enforce
transparency and compliance.
The U.S. should be leading the change to make trade rules include
standards for human rights, labor rights, and the environment. We must
work for a world economy that lives up to our standards instead of
sinking to lower ones. Perhaps most importantly, we must make U.S.
companies the ambassadors of these values when they operate abroad. I
hope the advantages and consequences that unfold from PNTR will hasten
our attention to moving forward on this agenda.
My support for PNTR was not an easy decision. The debate has
convinced me that we must redouble our efforts to press for domestic
change in China, a change in U.S. trade priorities and more progressive
would trading norms. But it has also brought me to the realization that
isolating China would not cause new problems without without solving
old ones and bring about great dangers that we must work to prevent.
Today's vote could determine the course of U.S.-China relations for
the next century. On voting for PNTR, I hope we will help make our most
dynamic industries lead the way as they expand into China and the rest
of the world. I also hope that it will allow us to working to bring
down national barriers and promote the well-being lf all our peoples.
Mr. GALLEGLY. Mr. Speaker, I rise in support of H.R. 4444 which would
extend to the People's Republic of China permanent normal trade
relations. More importantly, however, passage of this bill serves to
ratify the bi-lateral trade agreement reached between the U.S. and
China last fall as a condition for China's accession into the World
Trade Organization. This will be the only vote Congress has on this
momentous agreement.
On the one hand, China is a potential boom market for our industries,
particularly agriculture which is critically important to my district.
Bringing China into the WTO has the potential of making the Port of
Hueneme, in my district, an even more important portal for Pacific Rim
trade. With 20 percent of the world's population, China is an appealing
market. It behooves us to work diligently and intelligently to open
that market to U.S. sellers.
The other hand carries many pitfalls. China's track record in meeting
its obligations under international agreements is not good. China is
the only remaining Communist superpower. China has stolen our nuclear
secrets and threatens stability in Asia with her belligerence towards
Taiwan and others. We ignore that reality at our own peril.
Last year, I voted against a one-year extension of China's Most
Favored Nation status based on two criteria: The United States
maintains a multibillion-dollar trade deficit with
[[Page H3715]]
China and has for years, and China has repeatedly demonstrated an
aggressive military stance that includes stealing our most important
nuclear secrets. At the beginning of this debate, I was not
automatically against China's entry into the World Trade Organization,
but I did have some very serious concerns. WTO membership carries more
protection for the United States than does Most Favored Nation status.
MFN has been a one-way street. It was a unilateral decision on our part
to allow China access to our markets with no reciprocal opening on
China's behalf. WTO is more of a two-way street. China must meet and
maintain certain open-door criteria to remain in the WTO.
Our trade with China historically has been a one-way street. In 1990,
our trade deficit with China stood at $10.4 billion. By 1998, that
deficit had climbed to $56.9 billion. It is estimated our trade deficit
with China in 1999 will be $66.4 billion. China's entry into WTO and
the ratification of the U.S.-China trade agreement can ease that
deficit, but only if the agreement has teeth. I believe the WTO process
has those teeth.
In 1992, China and the U.S. signed a bilateral memorandum of
understanding on trade access. China has violated it many times. In
1992, we also struck a deal with China to protect intellectual
property, including copyrights on U.S. products. Today, U.S. copyrights
for motion pictures and software in China are still being stolen by
Chinese companies, a situation that results in the loss of billions of
dollars and many thousands of American jobs. Chinese noncompliance has
forced us to threaten trade sanctions several times.
On the national security front, China was continuing a systematic
raid on the designs of our most sophisticated thermonuclear weapons at
the same time that it was modernizing and pretending to normalize
relations with the U.S. Among the stolen designs was information on the
neutron bomb, which to date no nation has opted to deploy and hopefully
no one will. Even though China has been caught red-handed, it continues
to deny its espionage. Meanwhile, it continues to showcase its
belligerency by transferring sensitive missile technology to North
Korea and by repeatedly threatening to attack Taiwan.
The U.S.-China agreement can have positive consequences for the U.S.,
China and, indeed, the entire world. The agreement will force China to
open its markets to U.S. goods and services, which will result in a
lowering of the trade deficit. It could wean China from its passion for
subsidies and government interference in its industries. It could
educate the Chinese on the rule of law, as opposed to its current
system of rule by the whim of its leaders. It could also hasten the
spread of democracy within her borders. Each time a country has opened
its economic markets, an open market of ideas has followed.
But we must step carefully. We must not let our desire to access
China's markets to blind us to China's distaste for democracy, her
threat to our national security and her history of violating
international laws and agreements. For the WTO agreement to work, it
must level the playing field for U.S. exporters and be fully
enforceable. Anything less will not open China's markets or advance the
historical trend toward truly free trade and the rule of law.
Since the U.S. signed a bilateral trade agreement with China last
year, I have said repeatedly that my vote for or against permanent
trade relations with China would rely on specific factors: It must
protect American jobs, ensure Chinese markets are open to American
goods and services, protect America's strategic interests and--be
enforceable.
I have made it clear that without those provisions, I would vote
against Permanent Normal Trade Relations. Some of those protections
were not in the bill until last night.
Those protections are in the bill only because I and other Members of
Congress withheld our support until every `i' was dotted. By working
behind the scenes, we were able to force concessions that make this
agreement a better deal for American businesses, American workers and
for those who support greater human rights for the Chinese people. Last
night, a bipartisan provision was incorporated into the bill that makes
it easier for us to monitor China's trade compliance, and act if need
be. That provision builds on provisions in the World Trade Organization
agreement that allows us to continue to treat China as a communist
economy. That's important because our safeguards and anti-dumping
countermeasures are more stringent for communist economies than it is
for capitalist countries.
In addition, the revised bill continues Congress' all-important right
to debate and vote on China's human rights practices and international
behavior each year.
The European Union signed its WTO agreement with China on Friday,
followed by an agreement with Australia on Monday. Both were negotiated
with China's history of duplicity in mind. In particular, the EU
agreement improves the deal signed by the U.S. by making China
significantly more open to foreign investment and trade. Under WTO
rules, those provisions are open to the U.S. as well.
We have given China Permanent Normal Trade Relations. But this is not
the end, only the beginning. China has, at best, a mixed record of
living up to international agreements, and I still have concerns about
China's adherence to this one. But I am satisfied we have the
mechanisms in place to force compliance, or take remedial action, if
necessary. American businesses will not have a level playing field
unless we continually insist on it, but now we have the tools to do
that.
Mr. DINGELL. Mr. Speaker, from the beginning of this debate I have
expressed my belief that any trade deal with China involves two
questions. The first, which we are debating today, is whether the
Chinese have negotiated an agreement that is fair for American workers
and businesses. However, before we can address this question we must be
able to answer the second question, whether the agreement that has been
negotiated includes the necessary enforcement mechanisms to ensure
compliance by China and fair treatment for American companies and
workers. We have not yet answered this question, and consequently I
cannot support this or any deal with China lacking the enforcement
mechanisms necessary to guarantee fair trade.
Today's robust debate has highlighted the concerns of many of my
colleagues, thousands of interest groups and millions of citizens. All
the subjects being debated today--national security, human rights,
religious freedom, democracy, labor at home and abroad, the environment
and the development of our and the world's economy--are of considerable
importance.
China is the most populous nation in the world. As such, its
potential as a market for American goods and services is second to
none. The concept of increased trade with China based on a good,
enforceable agreement is sound and deserving of support. Trade is and
will be extremely important to both American companies and workers. As
a blueprint, the agreement negotiated by the Clinton Administration
with China is good for America in many respects.
When it comes down to it, any agreement, like any contract, is only
as good as its enforcement provisions. What we have from China, so far,
is its promise, if you will, to allow U.S. and foreign firms to compete
fairly and openly in the Chinese market. But negotiations must still be
held to reach agreement on how those promises China has made are going
to be enforced. It has been more than two years since the World Trade
Organization (WTO) working party and Chinese negotiators first met to
conduct serious negotiations on the enforcement provisions to be
included in the protocol.
Mr. Speaker, members should know in detail what the WTO will do to
ensure full and fair implementation of China's commitments contained in
the accession agreement before, not after, we vote on an issue as
important as the issue on the floor today. Why is the protocol and
working party report so important, some may ask. The simple answer is
that the protocol and working party report identify what the WTO will
do to make sure that China fully implements the commitments it has made
in the agreements that have been reached with the United States and
other WTO partners. Until the Congress sees not only the commitments
China has made but also the WTO's enforcement commitments, there is, in
reality, no agreement for Congress to consider and determine worthy of
granting PNTR to China.
Once China enters the WTO, American firms and American workers must
turn to the WTO for enforcement of their rights, and enforcement at the
WTO is an area of considerable disappointment and concern. The WTO's
``binding dispute resolution'' system has proven to be a system rife
with bias, incompetency, as well as totally unfamiliar with basic
principles of due process and openness.
There are no judges, only ad hoc panelists, most of whom are not
experienced or qualified in applying proper standards of review. These
panelists are assisted, if not controlled, by WTO bureaucrats who have
inherent biases based on their programmatic interests in the subjects
under review. Proceedings are kept secret from the public and from the
parties in interest.There is no ability to engage in meaningful fact-
finding. Panel decisions have also created obligations for WTO members
that they did not agree to in the process of negotiations. And even if
a panel decides in your favor, as in the case brought by the United
States against the European Union (EU) on beef hormones and bananas,
there is no assurance at all that anything will change. Years have gone
by since the U.S. ``won'' these cases, and U.S. firms still have no
greater access to the EU market.
Mr. Chairman, PNTR is an extremely valuable trade benefit with China
does not have but earnestly wants. It constitutes the only real
leverage the U.S. has to bring about the kind of economic and trade
reforms within China that will open that market to the products and
[[Page H3716]]
services American firms and American workers produce. Before we grant
PNTR to China, we must make sure that China not only makes sufficient
market opening commitments, but also that those commitments are
enforceable.
I am not pleased to vote no today. It is unquestionably in our
national interest to have a cooperative relationship with China, and I
am well aware that rejecting this trade package could further strain
U.S.-Chinese relations and diminish our influence in China with regard
to democracy, human rights, labor, environmental protection and Taiwan.
But ultimately, my vote is about fairness and timing. Without
enforcement mechanisms there can be no assurance of fairness for
American business, American industry, and American jobs. By voting on a
trade deal of such great importance before all the deals have been cut,
especially on the enforcement mechanisms which will decide if this
agreement is worth the paper it is written on, we needlessly jeopardize
American jobs and business prospects in China. I guarantee you rules
that can't be enforced will be broken. This vote should be postponed
until accession agreements are concluded. Only then can we fully and
responsibility assess the commitments China makes and determine whether
the agreement ensures that China's commitment will be fully implemented
and effectively enforced.
Mr. DIXON. Mr. Speaker, I rise today in support of H.R. 4444,
extending Permanent Normal Trade Relations (PNTR) status to China. In
my career, I cannot recall a vote on which a final decision was more
difficult to reach. Until today, I have been genuinely and sincerely
undecided. In these past weeks and months, I have been listening
intently to the forceful arguments for and against the legislation,
especially those made by my constituents--who are as divided on this
issue as I have been. I have great respect for the beliefs of those on
both sides of this debate and for the passion of their convictions. In
the final analysis, I believe that ``aye'' is the correct vote for a
variety of reasons, including advancing the causes of human rights and
democratization, for our national security, and for our economic self-
interest.
Improving respect for human rights and fostering democracy clearly
must be top policy priorities in our relationship with China. No one
here today condones the political and religious repression in that
nation. The disagreement is over which U.S. policy is more likely to
contribute to an improvement in conditions in China. I stress the word
``contribute,'' because we need to be cognizant that nothing we do will
dramatically change China in the short term.
Both sides of this debate have prominent human rights activists and
former political prisoners supporting their position. We are presented
with no easy formula that instructs us whether China plus or minus PNTR
results in improved human rights. I have come to the conclusion that
the increased outside contact, prosperity, and economic liberalization
that comes with a strong U.S.-Sino trade relationship within the World
Trade Organization (WTO) will be a greater force for change than the
annual consideration and routine extension of NTR has offered. I am
also comforted by the recent expressions of support for China's entry
into the WTO by the Dalai Lama--perhaps the most prominent symbol of
the repressive nature of the Chinese regime.
We have heard much debate about the job losses which could result
from passage of PNTR. While I am extremely sensitive to labor's
concerns, on balance I believe that the economic interests of business
and labor are enhanced by this normalization of trade with China. The
U.S.-China Bilateral WTO Agreement provides for broad tariff reductions
by China, for enhanced market access for American goods, and contains
import surge protections for the U.S. The agreement requires no
reduction in U.S. tariffs or any enhanced market access for Chinese
products. As we have never revoked Most Favored Nation/Normal Trade
Relations through the annual review process, China currently has
defactor PNTR. I fail to see how reduced Chinese tariffs and other
concessions in return for ending the formality of the annual review
leads to increased job loss.
I believe that passing PNTR will not create any significant job loss
that was not already occurring in certain sectors of the economy. While
various estimates of the employment effects of PNTR have been
proffered, they must be viewed in the context of an economy that is
dynamic and in constant flux. The shape of the American economy is
changing and will change whether or not we pass PNTR. In fact, I
believe that Chinese WTO accession and passage of PNTR will be a net
creator of good jobs in California and in my congressional district.
It is my fervent hope that over the long term, China's accession to
the WTO will improve the human rights situation and encourage
democratization in China. The inclusion in H.R. 4444 of a strong
legislative package authored by Representatives Sander Levin (D-MI) and
Doug Bereuter (R-NE) has addressed my doubts about the effects of this
bill on human rights in China, as well as the American jobs. The human
rights monitoring commission created by the legislation is a good idea
in its own right. I believe the merit of close scrutiny of China's
human rights situation speaks for itself and I would support the
proposal independent of this PNTR bill.
The import surge protections negotiated by the Clinton Administration
and codified in this bill go a long way to addressing my concern about
job losses resulting from this bill. This mechanism allows the
President to utilize tariff increases, import restrictions, or other
relief for domestic industries whose markets are disrupted by a surge
in Chinese made goods. These powerful tools come in additional to the
trade remedies already available under U.S. law and under the WTO.
Ultimately, passing PNTR is in our economic self interest. China will
join the WTO whether or not we pass this legislation today. The rest of
the world will enjoy significant tariff reduction on their exports to
China regardless of the outcome of this vote. We are voting on our
nation's ability to sell the products made by our workers and our
companies on a competitive basis. We must continue to vigilantly
monitor our relationship with China. We must continue to pursue
improvements in respect for human rights in all appropriate venues,
including the United Nations Commission on Human Rights. We will have
to maintain our steadfast support for Taiwan. We will have to closely
monitor Chinese compliance with its obligations under the WTO and make
full use of that organization's mechanisms to enforce those
obligations. With the knowledge in mind, Mr. Speaker, I am left with
the belief that passage of this legislation is in the interests of both
the American and the Chinese people.
Mr. DeLAY. Mr. Speaker, today we are plotting a bold course that is
in keeping with our history, our potential, and our ultimate goal of
liberating the Chinese people.
In the international arena, America doesn't shrink from a challenge.
We seize opportunity. We are fighters, visionaries, and pioneers. It's
in our nature as Americans, to look past a challenge to victory.
Standing as we do, at the head of the world, in a position of
unprecedented strength and prosperity, why would we now choose the
timid path? We should not, and we will not. That's why we will pass
Permanent Normal Trade Relations status with the People's Republic of
China.
While PNTR will help our American economy, this is only one step
toward our larger goal; ending communist rule in China by exposing the
Chinese people to American values. Freedom is a contagious virtue.
Defeating a foe is a poor substitute for liberating a country from
the weight of a repressive ideology. We should today ensure the triumph
of liberty by planting the seeds of freedom in China. We should not
accept a retrenchment driven by fear and insecurity.
There are serious issues we must address. Confronting these issues
requires real American leadership and courage,
We should not for a moment imagine that PNTR will solve or even the
address the many troubling questions concerning the future of the
communist government in Beijing. Without a doubt, expanded trade must
be matched with a revitalization of America's military and a
strengthening of our friendships with our allies in Asia. Simply
expanding trade without supplying these critical elements will not
create a free China.
But we shouldn't let the strong steps we must take to resist
aggression prevent us from communicating with the Chinese people.
The cornerstone of U.S. foreign policy has always been to make the
case for freedom and democracy. We have never been afraid to place our
values and our form of government up against any competitor. Give us
half a chance, and we will win.
Expanding trade with China is just this sort of opportunity.
Fundamental change in China will not happen simply through State
Department dictates. It will only happen after we inspire the Chinese
people to demand freedom.
We want to appeal to the Chinese people. To do that we have to be
there, on the ground, spreading our values and the sure knowledge that
there is a far better, nobler form of government than communism.
Ignorance is the ally of repressive governments.
Expanded trade, because it spreads American values, is an essential
tool in changing a closed society. And in the battle for China's
future, one Chinese entrepreneur is worth a million government
bureaucrats.
[[Page H3717]]
Over the last century, communist countries have run from this
competition. They hid their people behind walls and fortified borders,
because they knew that if their citizens were exposed to our values,
then the battle would be lost. As a great power built on a foundation
of timeless virtues, we fear no competing political systems because we
trust the strength of our ideas.
We should ask ourselves: Why do so many of the hardliners, the old
communist guard in China, resist opening their country to increased
trade and interaction with America?
It's because they understand the power of democratic values. We need
to support Chinese reformers by giving them more, not less, access to
American ideals. This will raise the call for human rights and lead
China to the rule of law.
We can't for a single minute ignore abuses by the Chinese government.
Beijing's record on human rights, religious persecution, coercive
abortion, and arms shipments to hostile states is shameful. The Chinese
government does wicked things to its people.
The way to stop these evil deeds is to end communist rule and that
means transforming China into a free-market democracy. This is much
more likely to happen if American ideals eat away at the infrastructure
of tyranny from the inside out.
We must also reject any notion that our support of expanded trade in
China signals in any small way a slackening of our solemn commitment to
defend Taiwan from aggression. We are sworn to defend Taiwan and we say
again today that the United States will not allow any resolution of
Taiwan's status that involves force or threats. We will not stand for
it. Further, we must insist that Taiwan be admitted to the WTO as well.
Granting PNTR to China is a critical component of a strategy driven
by our one, clear objective: destroying communism. So, I urge my fellow
Members, to support PNTR and commit the United States to this contest
between freedom and repression.
Mr. DICKS. Mr. Speaker, extending permanent normal trade relations to
China and supporting its accession to the World Trade Organization
greatly benefits the United States. By encouraging participation in
international organizations that facilitate the rule of law, I believe
that this agreement is also in the best interest of the Chinese people.
By approving PNTR, we will be enabling the United States to take
advantage of the across-the-board reductions in tariff barriers that we
negotiated as terms for our approval of China's accession to the World
Trade Organization. Agricultural tariffs will be substantially reduced
on several priority products, including a 66 percent cut on the tariff
for apples, that will obviously have a large impact on my State of
Washington and other apple producing areas of our country. China also
agreed to lift its longstanding ban on the import of wheat and to
increase the quota by more than 400 percent. China agreed to
participate in the Information Technology Agreement and to eliminate
tariffs on products such as software, computers, and semiconductors.
Also China agreed to slash tariffs on industrial goods by an average of
62 percent, enabling America's manufacturers to compete much more
evenly in the Chinese marketplace. The WTO accession agreement also
contains provisions that will help other industries in which the U.S.
is a world leader--telecommunications, insurance and banking just to
name a few.
The approval last week of a market access agreement between China and
the European Union further adds to the benefits we will enjoy with
China's accession to the WTO, as the best terms of each agreement
negotiated by the Chinese must be extended to all members of the WTO.
More agricultural tariffs will be cut, including those on wheat gluten
and Washington wines. Several more tariffs on industrial goods will
also be reduced, liberalization of the telecommunications industry will
be accelerated, and United States law firms will be authorized to offer
legal services in China.
In return, we do not have to change anything--not one tariff, nor one
regulation currently enforced by the United States. All we must do,
according to WTO rules, is to extend permanent normal trade relations
to China. Those of my colleagues that argue that our record trade
deficit with China is a reason to oppose this bill must consider this
point. There is nothing about this bill that will lead to an increase
in the amount of goods we import from China; rather, this is all about
slashing Chinese tariffs against United States goods which will lead to
a substantial increase in United States exports to China. If you are
truly concerned about addressing the United States trade deficit, you
should vote for this bill.
Some are opposing this bill, claiming that China has rarely adhered
to prior trade agreements in the past. In my judgment, opponents
claiming this point should be eager to support this agreement. By
entering the WTO, China will finally be participating in an
organization whose sole purpose to enforce trade agreements. A few
years ago, we had to beg, cajole, and plead with China in order to
persuade them to provide any enforcement of the intellectual property
agreement established between our two countries. With accession to the
WTO, we will have an impartial adjudicator to hear the case and
determine what redress is warranted. No longer will we have to rely on
the honesty and effectivness of the Chinese Government to ensure that
they abide by trade agreements.
My good friends in the labor community have expressed grave concerns
over the effects this bill will have on American and Chinese workers. I
deeply repect their concerns, but I believe that they are best
addressed by voting for this bill.
Currently, United States manufacturers and service providers struggle
to enter the Chinese market becaue of high tariffs and often
insurmountable red tape. By agreeing to cut their tariffs and reduce
burdensome rules, China will be creating an incredible opportunity for
American-made goods to finally penetrate their market. I firmly believe
that this will be a real job creator in the United States, and
ultimately of great benefit to U.S. workers. For this reason, the
27,000 member International Association of Machinists and Aerospace
Workers Local 751 western Washington endorsed this legislaiton.
I cannot claim that the benefit to the Chinese worker will be as
quick or as quantifiable as are the gains to American workers, but I do
believe that accession to the WTO is in the best, long-term interest of
the Chinese worker. This agreement will contribute to what we are
already seeing in many parts of China--the growth of economic freedom
and a vibrant middle class.
I also respect the convictions of those who consistently oppose any
engagement with China because of China's disappointing record on human
rights and religious freedoms. However, I side with many who, like the
Dalai Lama and dissidents Bao tong and Dai Qing, recognize that
engaging the Chinese and bringing them into international organizations
that support the rule of law will be more effective in promoting
freedom in China than will isolating China from the world community.
In my justment, the most important reason to support this bill and
Chinese accession into the WTO is for our own national security. By
voting against this bill, we would be encouraging the isolation of
China from the international community and hostility toward the United
States. History shows that isolating a nation in this fashion often
leads to mistrust, military buildup, and conflict. A belligerent China,
possessing nuclear weapons and the largest land army in the world would
be a grave prospect.
Conversely, I believe that maintaining our trade link with China will
continue to provide us with a stable foundation
Mrs. KELLY. Mr. Speaker, I rise today in support of H.R. 4444,
Extending Nondiscriminatory Treatment to the People's Republic of
China. We stand here today at a cross roads in our relations with the
Chinese. We can choose to engage China in a one sided agreement in
which their tariffs on United States exports to China drop from the
current average of 24.6 percent in 1997 to 9.4 percent in 2005. In
return we will not have to lower our tariffs at all. Or we can choose
to reject this agreement, allowing China to keep its tariffs high for
United States goods and services while they reduce them for other
countries. We must remember that in both of these choices, China joins
the WTO.
The choice is clear. The policy of engagement is the better course
and the path we must choose. However, engagement does not equal
endorsement. There are three areas we must continue to push China on to
improve their record: the environment, human rights, and transparency
in their international dealings. The legislation before us moves us
forward on each one.
As our efforts to address global climate change continue, China must
be part of the solution. If we do not engage China in solutions to
improve the global environment there is no way our solutions to clean
up our planet can truly be effective. China is the world's largest
energy consumer and emitter of greenhouse gases that contribute to
global climate change. China is also the world's largest developing
country chemical exporter and the world's largest producer of ozone-
depleting substances. If China is left out of the fight for a cleaner
environment, our efforts could be neutralized.
China's record on human rights has been abysmal. However, it is
important to remember that the most repressive periods in recent
Chinese history have occurred in times of isolation. Let us continue to
encourage China to give their people greater freedoms. Under this
policy of engagement, China has signed the U.N. Covenant on Civil and
Political Rights and the U.N. Covenant on Economic, Social, and
Cultural Rights. Both await ratification in the National People's
Congress. It is our hope the Congress will move quickly to ratify.
These are steps in the right direction which we
[[Page H3718]]
should continue to encourage. The Dalai Lama has endorsed this
agreement because he agrees that engagement is the fastest road to the
realization of giving all Chinese democratic rights.
We need to recognize that China's growing regional integration has
increased their willingness to settle long-standing disputes with its
neighbors. Our allies in Asia support granting China permanent normal
trading status, precisely because it would support regional security
and cooperative efforts. This is especially true for Taiwan. That is
why Taiwan's President Chen Shui-bain has endorsed this agreement and
China's accession into the WTO.
However, we cannot solely rely on the benefits of trade to protect
our interests. In February of this year we passed the Taiwan Security
Act with the overwhelming support of the House. This legislation will
ensure that Taiwan has the tools necessary to defend itself from a
potentially aggressive China. Congress needs to pass legislation and
ensure the President signs it into law this year.
Most importantly, this agreement is good for U.S. jobs and especially
for jobs in New York's Hudson Valley. The agreement gives American
workers unprecedented access to China's markets. For every additional
billion in exports to China there are estimated to be created 20,000
new jobs in the United States. Last year New York exported nearly $600
million in goods and services to China--this figure is expected to
rapidly multiply under this agreement.
No one believes trade alone will bring freedom to China or peace to
the world. When change does come it will be slow and will need our
encouragement. This is the choice before us today. We can take a step
move China in the right direction, and gain the benefits; or we can
push China in the wrong direction, and pay the price. I believe this
choice is clear. I encourage members on both sides of the aisle to make
the right choice and join me in voting to approve permanent normal
trade relations with China.
Mr. MANZULLO. Mr. Speaker, I do not represent companies. I do not
represent unions. I represent people. As with any legislation, I ask
what does this vote on Permanent Normal Trade Relations (PNTR) for
China mean to the people I represent back home?
Workers and farmers throughout northern Illinois stand to benefit
from the United States-China World Trade Organization (WTO) Accession
Agreement because they will be making more product that eventually is
exported to China, either directly or indirectly as suppliers.
If you work for Daimler Chrysler in Belvidere, this vote simply means
the opportunity to build and sell more Neons and auto parts to China.
As recently as 1995, Chrysler exported 600 Neons and purchased parts
from six different suppliers in northern Illinois for their Jeep
Cherokee plant in Beijing, China. The amount of Chrysler-related
exports to China totaled $7.8 million.
However, in 1999, no Neons and only $30,000 in auto parts from two
northern Illinois suppliers were sold to China. Why? China's
protectionist auto policy now makes it virtually impossible to sell
American cars and auto parts in China. This agreement forces China to
cut tariffs by 75 percent on American cars and drop local content
requirements on American-made auto parts. This will allow more Neons
and American auto parts made by companies like Modine Manufacturing of
McHenry and Camcar of Rockford to be exported to China.
The workers at Honeywell's Microswitch plant in Freeport will benefit
from PNTR for China because the company expects its exports to China to
double by 2002. There are $15,000 worth of Microswitch parts on each
Boeing aircraft. China has plans to buy 1,600 new aircraft over the
next 20 years.
The workers at Hamilton-Sundstrand in Rockford will benefit from this
agreement because $400,000 worth of parts are made in Rockford for each
Boeing aircraft. This translates into hundreds of millions of dollars
worth of work for the employees at Hamilton-Sundstrand.
The workers at Motorola in Harvard and Rockford will benefit because
the agreement eliminates all tariffs on cell phones and pagers. Also,
for the first time, Motorola will be permitted to sell its full range
of products directly to the Chinese people.
The workers at Goodyear's Kely Springfield Tire plant in Freeport;
the workers at Cherry Valley Tool & Machine of Belvidere; the workers
at Kysor/Westram Corporation of Byron; and the workers at the Rockford
Spring Company will all benefit from PNTR for China as suppliers to the
agricultural equipment manufacturer, Case. As Case is able to sell more
combine and tractors to China because the agreement lowers numerous
tariff and non-tariff barriers to American agriculture equipment, the
workers in their supplier chain will benefit, too.
Over half of Caterpillar's 1999 U.S. production was exported. These
exports supported about 32,000 U.S. supplier jobs at small and medium-
sized enterprises like the 400 employees at Bergstrom Manufacturing of
Rockford, which makes the Heating Ventilation and Air Conditioning
units. The tariff cuts on construction equipment and the distribution
rights in the agreement will help Caterpillar and thus Bergstrom
Manufacturing become more competitive in China.
The workers at Seward Screw Products of Seward make 80 different
parts for Harley-Davidson's large motorcycle factory in Milwaukee, WI.
Today, Harley is prevented from selling any motorcycles in China
because of import license restrictions, import quotas, excessive
tariffs, and other significant trade barriers. This agreement
substantially eliminates or reduces these trade barriers. In addition,
granting PNTR to China will help Taiwan enter the WTO. The U.S.-Taiwan
WTO Accession Agreement eliminates Taiwan's import ban on large
motorcycle engines. Because both China and Taiwan represents the
greatest long range market potential for motorcycles, the workers at
Seward Screw Products will benefit by making more products for Harley.
But this agreement is not just for large companies. Few people know
that 82 percent of all direct United States exporters to China are
small-and medium-sized companies. These exporters generated 35 percent
of the dollar volume of all United States exports to China in 1997.
This figure is higher than the small business exporter dollar volume
share of overall U.S. exports, which was 30.6 percent.
China is the third largest growth market for small business
exporters. In fact, the number of small businesses exporting to China
grew by a remarkable 141 percent between 1992 and 1997. Plus, the value
of small business exports to China more than doubled between 1992 and
1997.
Who are these exporters? I held a hearing on this topic last week
before my Small Business Exports Subcommittee to find out. They are 135
employees who work for Aqua-Aerobic Systems in Rockford, IL. The
agreement removes a variety of trade barriers against equipment used in
sewage treatment plants because China needs the equipment to modernize
its infrastructure.
Small companies like the 75 employee Coffee Masters of Spring Grove
will benefit from this trade agreement. They have tried for years to
break into the China market but with no success. They believe this
agreement will knock down the numerous trade barriers to their
specialized roasted coffee product.
E.D. Entyre of Oregon just announced earlier this month that they
received a $53,000 order for road construction equipment for a highway
project in Hubei province in China. They believe the agreement will
help their 350 employees deal directly with customers in China rather
than going through various ``middlemen.''
Clinton Electronics of Loves Park exports high resolution display
monitors for medical applications. The cuts in tariffs by over 50
percent on medical equipment, along with the elimination of quotas,
will help further boost their 250 employee firm's exports to China.
And, we cannot forget the farmer. Illinois soybean, grain, and corn
farmers like Bob Phelps of Rockton want to look to export markets like
China--not the U.S. government--for their income security. Overall,
American farmers will be able to sell about $2 billion more of their
products to China each year because the agreement will cut Chinese
tariffs in half for farm products.
Soybean growers will see about a 20 percent increase in exports to
China, according to the National Oilseed Processors Association. Hog
farmers will receive about $5 more per head, an Iowa State University
study projects. That will mean an extra $2.5 million for hog farmers in
northern Illinois.
Simply put, Mr. Speaker, this agreement is totally one-sided in favor
of the people I represent who make products that are either directly or
indirectly exported to China. We do not change any of our trade laws to
make it easier for the Chinese to export to us. It is China that has
granted concession after concession to the benefit of our workers and
farmers! I urge my colleagues to support Permanent Normal Trade
Relations for China.
Mr. DOOLITTLE. Mr. Speaker, I support the opening of the mainland
Chinese market to American exports. It is in the best interests of the
American people and the Chinese people.
I feel strongly that the Communist government on mainland China is
tyrannical, aggressive, and undesirable. I would like to see it go
[[Page H3719]]
the way of its Marxist conrade, the Soviet Union. I am alarmed by its
threatening statements toward the United States and its belligerence
toward our friends on Taiwan. I am disgusted by Communist China's
record on human rights, on religious freedom, and its brutal one-child
policy that forces women to abort their unborn babies.
If this were a vote on approval of the Communist regime in Beijing, I
would strongly oppose it as would the vast majority of my colleagues.
This is not such a vote.
My record has been highly critical of Communist China. On national
security, I strongly supported Representative Cox's investigation into
Communist Chinese theft of American technologies. I cosponsored
legislation to look into suspicious Chinese activity in the Panama
Canal. On the question of Taiwan, I cosponsored the Taiwan Security
Enhancement Act to strengthen the free nation's defense capability in
case of attack from the mainland.
On forced abortion, I enthusiastically voted in favor of cutting off
money to the U.N.'s population control agency so long as it cooperated
with China's brutal one-child policy. On religious freedom, I recently
wrote a letter to President Jiang Zemin urging release of Pastor Xu
Guoxing.
My vote in favor of PNTR is not a departure. I remain solidly against
anti-Communist China, which is why I support this agreement.
I want to end the despicable behavior of the Chinese Government
against the United States, against Taiwan, and against the people it
rules. The question is, how do we get there from here?
I think it is by exporting to China--not only American goods, but
more importantly American ideas.
While this agreement is ostensibly about exporting American goods to
mainland China, its ultimate virtue is the export of American ideas to
mainland China. How else are things going to change in China? Our ideas
have triumphed time and again in the past. We Americans have every
reason to be confident that they will again. Since we are inspired by
our ideas, is there any reason to think the Chinese, who themselves are
oppressed by their government, will not be inspired by American ideas
of liberty?
This agreement is part of the struggle against communism in China. It
is war by other means.
Look at who supports this agreement and who opposes it. Taiwan, who
has refused to bow to the bullying tactics of the much-larger mainland,
supports the agreement. The spiritual leader of Tibet, the Dalai Lama,
who was forced into exile by the Communist Chinese Government supports
the agreement.
Within China's Communist establishment, the hard-liners are opposed
to the PNTR agreement negotiated by the reformers. America's adoption
of PNTR would be a victory for the reformers, and disapproval would be
a victory for the hard-liners eager for confrontation with the United
States. The Soviet Union was vanquished peacefully in a struggle
between reformers and hardliners.
Adopting this agreement strengthens the reformers within the Chinese
Government not only in the internal power struggle, but throughout
society. Increased contacts with Americans will expose the average
Chinese citizen to our universally appealing ideas on liberty.
Increased prosperity and access to communications technologies will
increase the appetite of Chinese for American ways of life. And the
expansion of a Chinese middle class that owes nothing to the communists
is crucial. We are helping build the constituency for Chinese liberty.
While it may be emotionally satisfying to proclaim that one would
never cooperate with the murderous regime in Beijing, it ultimately
achieves little else. Not a single citizen of China is more free or
better fed. Our own security is no more enhanced, nor is that of our
friends. It is more important to be effective than to obtain simple
self-satisfaction in one's hardened stance. I too, am revolted by
communism, including the version practiced in China. I want to defeat
it, and this is the way to do it.
The monstrosity of the crimes committed by Communist china have been
so great that slaying the monster is more important than just calling
it a monster.
Mainland China will gain membership into the WTO with or without
American support. So why not gain benefits for our American companies
in exchange? China is expanding trade with the rest of the world.
Agreeing to this pact would allow American companies to compete on an
equal footing with everyone else doing business on the mainland. By
rejecting the agreement, we would punish our own companies
unnecessarily.
Americans dominate the world in the agriculture and high-tech
sectors. Lowering Chinese barriers to American goods will benefit
Americans. High-tech pay the highest salaries, and increasing markets
will produce more great jobs for Americans.
I have voted against the annual renewal of NTR for mainland China in
the past. This year, the vote is different. In the past, NTR was about
Chinese goods flowing into the United States. This time, it is about
access to the mainland Chinese market for American goods. Free
Americans will continue to buy Chinese-made goods whichever way
Congress votes on this agreement. But passage will allow mainland
Chinese to buy goods from Americans at lower prices--made lower by the
reduction in tarrifs.
Granting permanent NTR leaves many other levers at our disposal to
deal with mainland China. We must continue to protect ourselves and to
speak out against the tyrannical Chinese Government. But we cannot be
content with just words; we must back that up with action.
Mr. POMEROY. Mr. Speaker, I rise in strong support of H.R. 4444, a
bill to provide permanent normal trade relations (PNTR) to China. By
passing this legislation, Congress will create substantial new export
opportunities for American farmers and businesses, advance the cause of
personal freedom for the Chinese people, and promote United States
strategic interests in East Asia.
It is important to be clear about what the House is voting on. This
is not a vote on whether China joins the World Trade Organization
(WTO)--the WTO will admit China later this year. The question before us
is whether to give China the same trade status that all WTO members are
required to give each other--permanent normal trade relations. If we
do, U.S. farmers and businesspeople will enjoy dramatically increased
access to the world's most populous market. If we do not, the United
States will be largely shut out of the China market while our trade
competitors will capitalize on China's market opening measures.
The United States routinely approves NTR on an annual basis. Even in
the wake of Tiananmen Square, we did not revoke NTR because to do so
would not only spark a trade war but would also risk even graver
conflict between the United States and China. As a result, the annual
NTR debate has never provided effective leverage to change the behavior
of the Chinese Government because revoking NTR has never been a
credible threat.
For American agriculture, opening the China market is a clear win,
which is why nearly every farm and commodity organization in the
country supports this bill. The USDA has conservatively estimated that
China's market opening measures will increase American agriculture
exports by $2 billion annually. Under the terms of its agreement to
join the WTO, Chinese tariffs on wheat will drop from 20 percent to
just 1 percent; tariffs on beef will fall from 45 percent to 12
percent; poultry from 20 percent to 10 percent; and pork tariffs will
decline from 20 percent to 12 percent. In addition, China has agreed to
eliminate all export subsides on agriculture commodities.
Opponents of PNTR have raised many valid concerns, including China's
poor record on human rights, lack of religious and political freedom,
threats against Taiwan, and a growing trade surplus with the United
States. I share each of these concerns but disagree about the best way
to address them. In my view, building commercial relationships with the
Chinese people will lessen the control of the central government in
Beijing; giving China a stake in the international economy will make it
less likely to be aggressive toward its neighbors; and reducing China's
trade barriers will help increase United States exports and reduce our
trade deficit.
With respect to human rights, many of the most prominent Chinese
political dissidents have urged Congress to approve PNTR. Wang Dan, the
leader of the Tiananmen Square demonstration, has said that PNTR ``will
be beneficial for the long-term future of China.'' Martin Lee, the
democratic leader of Hong Kong, Dai Qing, Bao Tong, and many other
influential activists have all expressed their support for PNTR. Their
shared opinion is that engagement with the United States advances the
cause of personal freedom in China. In addition, no less authority that
the Dalai Lama has said that Chinese participation in the international
economy is good for religious freedom in China.
Approving PNTR for China also serves our national security interests.
Secretary of Defense William Cohen, former Chairman of the Joint Chiefs
of Staff Colin Powell, and many other military experts have said that
bringing China into the WTO and approving this legislation will enhance
our security interests in East Asia. The recently and democratically
elected President of Taiwan, Chen Shui-bian, also supports the normal
trade relations between the United States and China.
In sum, Mr. Speaker, approving PNTR and opening the China market
helps American framers, workers, and small businesspeople, supports the
cause of political and religious freedom in China, and strengthens
United States security interests in Asia. I urge my colleagues to vote
yes.
Ms. LEE. Mr. Speaker, as we enter a new century and a new millennium,
relations
[[Page H3720]]
among the nations of the Pacific Rim and Africa are becoming more
significant. Trade with China represents a substantial component of our
country's international commerce. As Congress has debated United States
trading policies toward China and Africa during the past couple of
weeks, I have carefully considered many fundamental issues.
I am a firm believer of self-determination for China. China is a
Communist country, whether we agree with that system of government or
not. Nevertheless, whatever political or economic system is in place,
it is wrong to round up, to intimidate, to arrest people, and place
them in slave labor camps with no due process. It is reprehensible for
the United States to endorse this behavior by rewarding it with a
favorable trade regime.
The time is now to send a strong message--an unyielding message that
the United States will not condone mass suffering and oppression.
Trade must be open, it must be fair. Standards for human rights must
be included in all trade agreements, environmental protections must be
in place, women's rights should be advanced, workers' rights must be
protected, religious freedom should be protected and American jobs
should not become a casualty of trade policy.
Many argue that the best way to ensure China's respect for all these
issues, is to admit China to the World Trade Organization and to grant
it Permanent Normal Trading Relations status (PNTR). I disagree, and
believe an annual review provides for this.
China's persistent gross violations against free exercise of
religion, against women and reproductive freedom, and against political
expression should prohibit the U.S. from relaxing its policies toward
China and should cause us to ask why we want to relax our trade
policies toward China and reward China for this repression.
Annual review, at least presents an effective mechanism for China's
compliance with international worker, environmental, and human rights
standards. Annual review, moreover, is the most viable insurance for
the American worker.
According to the Economic Policy Institute, over 870,000 jobs will be
lost over the decade. What will happen with these workers?
If this bill passes, the U.S. trade deficit will continue to
escalate, leading to job losses in virtually every sector of the
economy.
In my state of California 87,294 jobs will be lost. This is very
scary.
I support free trade. But our trade policies should also include a
fair ideal with American workers. Our trade policies should put an end
to slave labor in China, rather than reward it.
We are not talking about cutting off our relationship with China. We
want to make sure that our trade relations are such that people of
China and the United States can benefit from a fair and free trade
policy.
I urge my colleagues to oppose this measure.
Very seldom do we have these defining moments; this vote defines who
we are as a people and as a nation.
As an African-American whose ancestors were brought here in chains
and forced to help build this great country as slaves I must oppose any
measure that allows for the exploitation of people whether here in
America, in Africa, China or anywhere in the world.
Mr. PAUL. Mr. Speaker, yesterday morning the legislation which would
have implemented ``permanent normal trade relations'' with the People's
Republic of China was three pages in length. Today, it is 66 pages in
length. Close examination of this bill ``gone bad'' is demonstrative of
how this Congress misdefines ``free trade'' and how, like most
everything else is in Washington, this ``free trade'' bill is a
misnomer of significant proportions.
For the past several years I have favored normal trade relations with
the People's Republic of China. Because of certain misconceptions, I
believe it is useful to begin with some detail as to what ``normal
trade relations'' status is and what it is not. Previous ``normal trade
relations'' votes meant only that U.S. tariffs imposed on Chinese goods
will be no different than tariffs imposed on other countries for
similar products--period. NTR status did not mean more U.S. taxpayers
dollars sent to China. It did not signify more international family
planning dollars sent overseas. NTR status does not mean automatic
access to the World Bank, the World Trade Organization, OPIC, or any
member of other ``foreign aid'' vehicles by which the U.S. Congress
sends foreign aid to a large number of countries. Rather, NTR status
was the lowering of a United States citizen's taxes paid on voluntary
exchanges entered into by citizens who happen to reside in different
countries.
Of course, many of the critics of NTR status for China do not address
the free trade and the necessarily negative economic consequences of
their position. No one should question that individual rights are vital
to liberty and that the communist government of China has an abysmal
record in that department. At the same time, basic human rights must
necessarily include the right to enter into voluntary exchanges with
others. To burden the U.S. citizens who enter into voluntary exchanges
with exorbitant taxes (tariffs) in the name of ``protecting'' the human
rights of citizens of other countries would be internally inconsistent.
Trade barriers when lowered, after all, benefit consumers who can
purchase goods more cheaply than previously available. Those
individuals choosing not to trade with citizens of particular foreign
jurisdictions are not threatened by lowering barriers for those who do.
Oftentimes, these critics focus instead on human rights deprivation by
government leaders in China and see trade barriers as a means to
``reform'' these sometimes tyrannical leaders. However, according to
Father Robert Sirco, a Paulist priest who discussed this topic in the
Wall Street Journal, American missionaries in China favor NTR status
and see this as the policy most likely to bring about positive change
in China.
But all of this said, this new 66 page ``free trade'' bill is not
about free trade at all. It is about empowering and enriching
international trade regulators and quasi-governmental entities on
the backs of the U.S. taxpayer. Like NAFTA before us, this bill
contains provisions which continue our country down the ugly path of
internationally-engineered, ``managed trade'' rather than that of free
trade. As explained by Ph.D. economist Murray N. Rothbard: ``[G]enuine
free trade doesn't require a treaty (or its deformed cousin, a `trade
agreement'; NAFTA was called an agreement so it can avoid the
constitutional requirement of approval by two-thirds of the Senate). If
the establishment truly wants free trade, all its has to do is to
repeal our numerous tariffs, import quotas, anti-dumping laws, and
other American-imposed restrictions of free trade. No foreign policy or
foreign maneuvering is necessary.''
In truth, the bipartisan establishment's fanfare of ``free trade''
fosters the opposite of genuine freedom of exchange. Whereas genuine
free traders examine free markets from the perspective of the consumer
(each individual), the merchantilist examines trade from the
perspective of the power elite; in other words, from the perspective of
the big business in concert with big government. Genuine free traders
consider exports a means of paying for imports, in the same way that
goods in general are produced in order to be sold to consumers. But the
mercantilists want to privilege the government business elite at the
expense of all consumers, be they domestic or foreign. This new PNTR
bill, rather than lowering government imposed barriers to trade, has
become a legislative vehicle under which the United States can more
quickly integrate and cartelize government in order to entrench the
interventionist mixed economy.
No Mr. Speaker and my colleagues, don't be fooled into thinking this
bill is anything about free trade. In fact, those supporting it should
be disgraced to learn that, among other misgivings, this bill, further
undermines U.S. sovereignty by empowering the World Trade Organization
on the backs of American taxpayers, sends federal employees to Beijing
to become lobbyists to members of their communist government to become
more WTO-friendly, funds the imposition of the questionable Universal
Declaration of Human Rights upon foreign governments, and authorizes
the spending of nearly $100 million to expand the reach of Radio Free
Asia.
Mr. Speaker, I say no to this taxpayer-financed fanfare of ``free
trade'' which fosters the opposite of genuine freedom of exchange and
urge by colleagues to do the same.
Mr. BORSKI. Mr. Speaker, I rise today in strong opposition to H.R.
4444, which would permanently extend normal trade relations (PNTR)
status to the People's Republic of China. If we enact this legislation
today, we forever surrender our ability to review our trade relations
with China on an annual basis.
Article I, Section 8 of the Constitution of the United States states
that ``the Congress shall have power . . . to regulate commerce with
foreign nations.'' Our founding fathers intentionally granted the
``People's body'' a separate, distinct voice on trade matters. This
constitutional obligation makes our democracy unique: European
parliamentary democracies grant no such powers to their legislatures.
Under our Constitution, Congress does not simply rubberstamp the
decisions of the Executive Branch. Congress is a separate, coequal
partner in our system of checks and balances.
Every year in the House, we have exercised our Constitutional duty by
reviewing our trade relationship with China. On an annual basis, the
President has notified Congress that he will grant most-favored-nation
(MFN) trading status to China, and we have had the opportunity to
approve or reject MFN status by a vote on the floor of the House. This
vote has been preceded by a full debate on whether China deserves to be
treated as an equal trading partner. Members vote on the issue, and
their constituents hold them accountable for their vote.
[[Page H3721]]
I have consistently voted against MFN for China because I believe it
does not deserve to be treated as an equal trading partner. The Chinese
dictatorship has one of the most deplorable human rights records on
Earth, and, according to the State Department, things are only getting
worse. The Chinese government uses executions and torture to maintain
order, persecutes religious minorities and imprisons dissidents who
dare to speak out for democracy. At a bare minimum, China's human
rights record must improve if we are to treat it as an equal partner.
Equal trading partners extend the benefits of trade to those who
produce its goods and services. In China, where workers make between 13
and 35 cents an hour, this relationship does not exist. The basic
rights that we enjoy in the U.S.--the right to organize, the right to
strike, decent wages and benefits, safe workplaces--simply do not exist
in China.
Equally deplorable is the manner in which China has treated its
neighbors. It continues its belligerence toward the free-market
democracy of Taiwan. In fact, shortly after the ink was dry on the
World Trade Organization (WTO) agreement, China threatened to use force
against Taiwan. China continues to threaten our interests elsewhere by
selling weapons of mass destruction to rogue terrorist nations and by
trying to steal our nuclear weapons designs.
The WTO agreement is not the first trade deal we have reached with
China. But trade agreements only work when countries abide by them.
Regrettably, China has violated every trade deal with the U.S., and top
Chinese officials have already indicated that they have no intention to
abide by the WTO deal.
Despite China's worsening record on human rights, international
trade, relations with its neighbors, and weapons proliferation, we are
on the brink of throwing out our annual review forever. Like it or not,
the annual MFN review process is the only means by which the U.S. can
influence the Chinese government's behavior toward its own people and
other nations. If Congress approves PNTR, we forever relinquish any
leverage we have to improve Chinese behavior.
Mr. Speaker, many have argued that if we fail to approve PNTR we will
lose precious business opportunities in China. I concede that point.
Certainly, European and Japanese companies will be doing a great deal
of business in China.
But I believe that America stands for something more than the
almighty dollar. As the world's sole superpower and strongest
democracy, we have a moral responsibility to stand up for those who
struggle against tyranny. We are the only nation capable and willing to
bring about democratic change in China. And we can use our economic
power to exert that leverage.
During the Cold War, we put principles before dollars. We refused to
grant MFN status to authoritarian communist regimes because of their
deplorable records toward their citizens and their neighbors. When Lech
Walesa and the other leaders of the Solidarity movement were imprisoned
in Poland, the U.S. Congress stood with the Polish people and imposed
sanctions on the communist government. Now, we enjoy a vibrant trading
relationship with Poland and other former communist Central European
nations, but those trade benefits were extended after these countries
opened their societies and embraced free markets and democracy. In
fact, we are now doing business with the same dissidents who were
imprisoned by their former communist regimes. These new leaders
remember with gratitude that America stood with them--and not their
oppressors--in the dark days of the countries.
Today's ``Lech Walesas'' are sitting in prisons in China because they
dared to speak out for freedom and democracy. They, in my opinion, will
become the future leaders of China. And when we seek to form a trading
relationship with the future leaders of China, they will remember how
we voted today.
Defeating PNTR would certainly send shockwaves throughout America's
corporate boardrooms. But it would send a more powerful, purposeful
message to the people of China that we stand with them in their quest
to create a free-market, democratic society that cherishes a peaceful
relationship with her neighbors and the United States. However, if
Congress approves PNTR, we lose any leverage we have in helping the
Chinese people realize their vision for a better society.
Mr. WOLF. Mr. Speaker, I am astounded that today, this Congress is
taking a vote on giving China permanent normal trade relations. I am
amazed that this vote is about to take place because all of the
evidence shows that China has done nothing to deserve America granting
China permanent access to the U.S. market. In fact, the national
security evidence and the human rights evidence shows that the Chinese
government is a brutal regime that sees America not as a strategic
partner, but as a global threat and competitor, economically and
militarily.
There is much debate in this Congress and in America about China's
future. Proponents of giving China PNTR claim that giving China
permanent access to the U.S. market will change China's leadership,
that giving China PNTR will promote democracy, promote religious
freedom, promote peace, promote human rights.
While it is my fervent hope that these changes will occur in China, I
have to ask the question, ``what evidence is there to believe that
China will change?'' ``What evidence is there that China has changed?''
After receiving several national security briefings from the CIA on
China, having visited Tibet and China, and after looking at all of the
continued and worsening human rights abuses committed by the Chinese
government, I have to conclude that reality says, that giving China
PNTR right now is dangerous to America's national security and that
giving China PNTR will only strengthen the Chinese communists hold on
power--allowing China to continue with its already horrible human
rights record.
Let's look at the evidence.
China continues to destabilize Asia. In the past 50 years, China has
clashed with nearly all of its neighbors. They invaded the Soviet
Union, they invaded parts of India, they invaded Vietnam, they fought
and killed thousands of U.S. troops in the Korean War. Thousands of
American GI's who were captured or killed by the Chinese during the
Korean War are still unaccounted for. We have never found out what
happened to these GI's at Chinese hands.
China continues to threaten to use force against Taiwan. China has
done this repeatedly and forcefully while we in Congress have been
debating whether or not to give China PNTR. China is right now
reportedly conducting war games mimicking an invasion of Taiwan that
includes battle against U.S. troops. China has threatened Taiwan with a
``blood soaked battle.''
In 1999, China's Defense Minister declared that war with the U.S.
``is inevitable.'' It is estimated that China has over a dozen nuclear
ballistic missiles aimed at major U.S. cities and is reportedly
building three new types of long-range missiles capable of striking the
U.S.
Less than one year ago the Cox Committee found that China has
``stolen'' classified information regarding the most advanced U.S.
thermonuclear weapons, giving them design information ``on par with our
own.'' The information included classified information on every
currently deployed warhead in the U.S. ballistic missile arsenal.
China's official military newspaper threatened the U.S. saying if the
U.S. were to defend Taiwan, China would resort to ``long range''
missiles to inflict damage on America.
China has exported weapons of mass destruction and missiles in
violation of treaty commitments. The director of the CIA has said that
China remains a ``key supplier'' of these weapons to Pakistan, Iran,
and North Korea. Other reports indicate China has passed on similar
weapons and technology to Libya and Syria. If one of these countries is
involved in a conflict, it is very possible that our men and women in
uniform could be called into harm's way. These weapons of mass
destruction could then be targeted against American troops.
China is forging an alliance with Russia against the U.S. and China
is purchasing as many weapons from Russia as it can. Reports indicate
that China has purchased advanced naval vessels and top of the line
anti-ship missiles from the Russians that specifically are meant to be
used against U.S. aircraft carriers.
Reports indicate that China is seeking to disrupt or end U.S.
alliances in the Pacific. Reports indicate that China is seeking to be
the primary power in Asia and to nudge the U.S. out of Asia.
China has increased its military budget by close to 13 percent this
year.
We hear the argument that PNTR will lead to economic and political
growth in China, but who in China will benefit the most from increased
foreign investment? Since the Clinton administration reduced technology
trade restrictions in 1993, incidences of technology transfers from the
U.S. to China have been numerous. Much of the capital and revenue the
Chinese would gain from PNTR will go to help increase China's military
build-up and to help stabilize a repressive, authoritarian regime.
I'd suggest the money is going to go toward building more jails and
more prison labor camps, toward more weapons purchases and toward
funding more intelligence operations against the U.S.
For all of these reasons and more, all of the major American veterans
organizations, including the American Legion, the Veterans of Foreign
Wars, AMVETS, and the Military Order of the Purple Heart all oppose
giving China PNTR. This Congress needs to heed the voices of our
veterans. These are the people who have fought, who have been wounded,
and who have put their lives on the line to
[[Page H3722]]
preserve and protect freedom. These veterans know a national security
threat when they see one. They unanimously oppose giving China PNTR
because they know that it is very likely that American troops will be
in harm's way because of China's military threats against the U.S. and
because of China's military threats in the Asia region. Letters from
these groups are included for the record.
Three former Commandants of the Marine Corps, seven retired four star
generals, a former Commander in Chief of the U.S. Army in Europe, and
numerous other national security experts signed a letter opposing
giving China PNTR because of national security concerns. These national
security leaders argue that if the U.S. gives China PNTR:
The nation ignores at its peril threatening Chinese
rhetoric and behavior. * * * Being is using some of the hard
currency it is garnering from trade and financial dealings
with the United States to acquire ominous weaponry * * *
specifically designed to attack American carrier battle
groups * * * We believe that the annual debate on our China
policy mandated by current law should not be eliminated at
present.
A recent report issued by the CPA and the FBI stated that China has
stepped up military spying against the United States while using
political influence programs to manipulate U.S. policy. This FBI/CPA
report says that the U.S. military and U.S. private corporations are
the primary targets of Chinese intelligence. This report also says that
Chinese companies play a significant role in China's pursuit and
acquisition of secret U.S. technology.
I am concerned that Members of Congress and the American public do
not know enough about the national security threat China poses to the
U.S. I have been urging our colleagues to obtain a briefing by the CIA
on China and just over 40 Members have had this briefing. I have
written President Clinton urging him to declassify information that
shows the national security threat China poses to the U.S. before this
vote takes place and he has done nothing.
Members and the American public need to know the answers to questions
about the national security regarding and PNTR before this vote takes
place.
Right smack in the middle of this debate on PNTR, the Chinese
government has stepped up its already heinous human rights violations.
That's not just me saying that. The 1999 State Department Human
Rights report on China is 68 pages long on descriptions of China's
human rights abuses--abuses ranging from its policy of forced abortion
and forced sterilization, to imprisonment and eradication of any
democratic dissent, to imprisonment of people for having religious
beliefs, to forced labor in China's vast prison labor system. The
report says, ``The Government's poor human rights record deteriorated
markedly throughout the year, as the Government intensified efforts to
suppress dissent.''
The U.S. Commission on International Religious Freedom, a bi-partisan
commission established by Congress whose members were appointed by
Congress and the Administration, opposes giving China PNTR because of
China's continued religious persecution, saying: ``* * * Congress
should not approve PNTR for China until China makes substantial
improvements in respect for religious freedom.''
We know that 8 Catholic bishops are in prison--and I think there are
probably more--and some have been in custody for over 30 years. In the
past week, more Protestant House church leaders have been arrested.
Muslims in northwest China are in prison because of their faith.
China continues to pillage and occupy Tibet. Tibet is a peace-loving
country that is not a threat to China. Yet, the Chinese government has
brutally occupied Tibet for decades and has no plans to leave Tibet. I
visited Tibet and met with Buddhist monks and nuns. Each temple has a
Chinese communist official that controls and monitors everything that
is done in the temple. The Chinese have cameras strewn throughout the
capital of Lhasa, so they can watch and monitor the people. Hundreds of
Tibetan monks and nuns are in prison because of their faith.
The Chinese military is responsible for trafficking in human organs.
A blood type match is made between a prospective organ recipient and a
Chinese prisoner. Once the match is made, prisoners are taken to a
remote location, where the necessary medical personnel have been
assembled, and summarily executed. Their organs are then removed and
sold.
The State Department Human Rights report says that over 500 women in
China of child bearing age commit suicide each day. Could it be that
China's policy of forced abortion and forced sterilization are a
significant cause of these suicides? Could it be that the fines for
violating the government's birth quotas, that are three times a
couple's annual salary, are causing these suicides?
A country that abuses its own citizens on a massive scale cannot be
trusted in its dealings with the U.S. Do Members actually think that
the same Chinese government that flattens its own citizens with tanks--
that kills frail 80-year-old Catholic bishops--can be trusted?
The decision on whether to give China PNTR must be based on facts and
truth, not on wishful thinking or ill-placed hopes. Our challenge as a
country and as lawmakers is to examine the facts, to seek the truth and
to make informed and wise decisions based on the facts and truth. All
of what I have said about China's worsening human rights record and the
national security concerns are incontestably true. Yet, a large number
of Members here are seriously considering giving away to China the only
leverage the U.S. has--aside from military coercion--our annual review
of whether to extend to China normal trading privileges.
I am concerned that we in the U.S. have become so enamored with
China's prospective market, that we are on the verge of ignoring facts
and truth. We may be ignoring history, ignoring China's abysmal human
rights record, and ignoring the threats China poses to U.S. national
security and to our men and women in uniform.
Today, in the year 2000, America is at a similar crossroads as Europe
and America were leading up to World War II. Europe and America in the
1930's were tired of conflict, having just fought a bloody World War I,
and chose to ignore the threat emanating from Germany and Japan.
Neville Chamberlain forced through the sale of Germany of the Merlin
high-performance engine--the same engine that was used by the British
during the Battle of Britain in the famous Spitfire fighter plane.
France was so caught up in enjoying the peace that it depleted its
artillery stock through artillery sales to Romania, Yugoslavia and
Turkey. France sold so many of its artillery pieces that when Germany
invaded France, France only had 90 artillery pieces on its line with
Germany. America was selling oil to Japan during Japan's invasion of
Chinese Manchuria and kept selling oil to Japan within a year or so of
the Japanese attack on Pearl Harbor.
We are at a similar crossroads today. Many in America feel victorious
as the Cold War with the former Soviet Union no longer exists. Some see
the recent facts and developments regarding China in a positive and
hopeful light because they are tired of standing down a potential
adversary and they are tired of facing a global rival. Events that many
did not expect to happen in their lifetimes have occurred. The Berlin
Wall has fallen, Germany is reunited, the Soviet Union has dissolved,
Western Europe no longer faces a phalanx of hostile tanks, soldiers and
missiles to its east. The battle against the former Soviet Union
continued for 40 years and many simply want to wish away a future rival
and a future conflict.
Those of us in Congress and in America who are very concerned with
the national security threat that China poses to the U.S. are
frequently criticized as having a Cold War mentality toward China and
of being China bashers. We are accused of being overly critical of
China and of China's human rights abuses, that we are looking for a
rival simply to replace the enemy that once was the Soviet Union.
Because of our concerns with China and opposition to giving China PNTR,
we are accused of not giving China a chance to change and grow into a
democracy and into a reliable and trusted ally.
Yet, in reality, China is still an authoritarian, communist country
of over a billion people.
Yet, in realty, China wants the U.S. out of Asia and seeks to be the
unrivaled power in Asia.
The massive human rights abuses and massive religious persecution in
China are undisputed facts.
It is fact that China plundered Tibet.
It is fact that communist China has engaged militarily virtually
every country on its border as well as the U.S. in the past 50 years.
It is fact that this present Chinese leadership rolled over its own
people with tanks in Tiananmen Square.
It is fact that China commits untold atrocities against its own
people.
It is fact that China has been publicly threatening to shoot nuclear
missiles at the U.S.
Fits of wishful thinking and outright ignoring these and countless
other facts do not change the reality of the regime in China or the
plausible threat that China poses to the U.S.
We need to learn what history teaches us about leadership.
The lessons from our past are clear. Leadership is not about seeing
what we wish to see. Leadership is not about closing our eyes to the
threats before us. Leadership is about clearly, lucidly, and forcefully
addressing facts and truth and taking appropriate action.
The American way of life, our freedom can only be preserved by
vigilance. Vigilance requires us to look at the situation in China
today and conclude that the Chinese regime should not receive permanent
trade relations with the U.S. until the questions of national security
have been adequately addressed and until there is a significant
improvement in China's human rights record.
[[Page H3723]]
We must have a way to continue our annual review of trade with China.
If we sign off on permanent trade, we hand over any influence we could
have in promoting a China that respects its citizens and that is a non-
threatening, peaceful member of the community of nations.
Annual review of China's trade status is an appropriate foreign
policy tool, it is an opportunity for Congress to influence the
behavior of China on matters of national security and human rights, and
it is the right thing to do in maintaining our vigilance in preserving
freedom.
[From the American Legion]
China Trade Opposed by the American Legion
Indianapolis (Wednesday, May 20, 2000).--Taking into
account nuclear espionage charges, human rights abuses, saber
rattling against Taiwan, and influence-peddling indictments,
the 2.8-million member American Legion today demanded the
U.S. government withhold Permanent Normalized Trade Relations
with the People's Republic of China and oppose its entry into
the World Trade Organization.
The American Legion's board of directors, during its annual
spring meeting here, recommended Congress and the Clinton
administration force China to meet four preconditions both
for entry into the WTO and for ending the annual
congressional review of its trade status: Recognition of the
Taiwan's right to self-determination; full cooperation on the
accounting of American servicemen missing from the Korean War
and the Cold War; abandonment of policies aimed at military
dominance in Asia; and encouragement and promotion of human
rights and religious freedom among the Chinese people.
``China should embrace democratic values before it benefits
from unfettered American investment,'' American Legion
National Commander Al Lance said. ``The American Legion sets
forth the prerequisites for peace and stability, without
which Communist China will become economically and militarily
more formidable even as it embarks on policies pursuant to
regional instability. A something-for-nothing trade
arrangement with China--one that severs trade from national
security and human rights--threatens stability, rewards
antagonism, and strengthens a potential foe of American sons
and daughters in the U.S. armed forces.''
Founded in 1919, The American Legion is the nation's
largest veterans organization.
____
Veterans of Foreign Wars
of the United States
Washington, DC, May 17, 2000.
To: All Members of the United States House of
Representatives, 106th U.S. Congress.
From: John W. Smart, Commander-in-Chief, Veterans of Foreign
Wars of the United States.
The Veterans of Foreign Wars of the United States oppose
Permanent Normal Trade Relations with China. China's policies
and actions over the past several years have not demonstrated
that it is ready to become a permanent-trading partner of the
United States.
Passage of the China Trade Bill would end annual
congressional review of China's access to U.S. markets and
give it permanent trade relations with the United States.
While this bill might provide certain economic benefits and
advantages to some American companies, it could hurt other
American industries and may cost many Americans their jobs.
Permanent Normal Trade relations with the United States
should be earned by China, not given away. Essentially this
bill rewards China for mistreating its citizens, violating
its current trade agreements, threatening its neighbors and
the United States with military action, proliferating weapons
of mass destruction, stealing nuclear, military and
industrial secrets from the United States, increasing
espionage against the U.S., and practicing religious
oppression. We believe this bill sends the wrong message to
China and the rest of the world.
Now is not the proper time to grant China Permanent Normal
Trade Relations. The United States should maintain its
current annual congressional review of China's trade status
until such time as China changes it's policy and demonstrates
that it is ready to treat its people according to the basic
human rights standards of other modern industrial nations.
A vote against Permanent Normal Trade Relations with China
will send a clear message that the United States does not
tolerate China's persistent human rights violations, and will
not agree with it's proliferation of missile technology and
weapons of mass destruction, it's military threats against
the United States and other countries in the Pacific region
including repeated threats made against Taiwan.
Respectfully,
John W. Smart,
Commander-in-Chief.
____
AMVETS,
Lanham, MD, May 16, 2000.
Hon. Frank R. Wolf,
Member of Congress, U.S. House of Representatives,
Washington, DC.
Dear Representative Wolf: AMVETS, the nation's fourth
largest veterans organization, represents more than 200,000
veterans who honorably served in the Armed Forces of the
United States, and opposes Permanent Normal Trade Relations
(PNTR) for China.
While the U.S. relationship with China is important, AMVETS
believes that national security issues take precedence over
the trade relations with foreign countries. We concur in your
belief that our nation can not afford to give leverage to the
Republic of China--which exports weapons of mass destruction
and missiles, maintains spy presence in the U.S. and
continues to threaten Taiwan with military force.
When Congress votes in the House during the week of May 22,
let it be known that AMVETS says ``no'' to the Permanent
Normal Trade Relations for China.
Sincerely,
Charles L. Taylor,
National Commander, 1999-2000.
____
Military Order of the
Purple Heart,
May 15, 2000.
Hon. Frank R. Wolf,
House of Representatives,
Washington, DC.
Dear Congressman Wolf: The Military Order of the Purple
Heart (MOPH), representing the patriotic interests of its
30,000 members and the 600,000 living recipients of the
Purple Heart, is seriously concerned with the
Administration's proposal to grant Permanent Normal Trade
Relations (PNTR) status to the Peoples Republic of China.
The MOPH is familiar with the current series of U.S.
Government reports concerning China to include: the Cox
Committee Report, the Rumsfield Commission Report, the 1999
Intelligence Community Report on Arms Proliferation, and
Chairman Spence's May 2000 HASC National Security Report on
China. These and other similar security assessments clearly
indicate that China, as an international actor, continues to
behave in a manner that is threatening to international
stability and U.S. national security interests.
Given the broad consensus that has formed about this issue,
to include the recent Harris Poll indicating 79% of all
Americans are against granting PNTR status to China, the MOPH
believes it both prudent and reasonable to delay the granting
of PNTR status to China at this time. Speaking as patriots
and combat wounded veterans, we believe that granting PNTR
status to China would relieve them from the current pressure
caused by annual Congressional review of their trade status.
Clearly, Congressional review has caused China to improve its
dismal human rights record and to modify to some extent its
proliferation of dangerous arms on the world market. Yet
these modifications must been seen as the beginning not the
end.
Today, China represents the most dangerous of the emerging
threats to U.S. national security. Her designs on Western
Pacific dominance, her extreme belligerence towards Taiwan,
and her persistent espionage and theft of U.S. advanced
technologies are behaviors that must be checked before any
reasonable consideration of PNTR status can be undertaken.
Many of the America's combat wounded veterans sacrificed
life and blood to repel Chinese aggression during the Korean
Conflict. Fifty years after that war China remains an
unabashedly communistic regime. It is time for China to
change if she wishes to be a truly welcomed participant on
the world's stage. It is also time for Congress and the
Administration to reflect upon the sacrifices of its combat
wounded veterans and ensure that China will not once again
become our enemy. In the view of the MOPH this objective must
be reached before PNTR status should be granted to China.
Yours in Patriotism,
Frank G. Wickersham III,
National Legislative Director.
____
Fleet Reserve Association,
Alexandria, VA, April 21, 2000.
Hon. Christopher H. Smith,
M.C., House of Representatives, Washington, DC.
Dear Representative Smith: Please be advised that the Fleet
Reserve Association (FRA), representing its 151,000 members,
all career and retired Sailors, Marines, and Coast Guardsmen
of the United States Armed Forces, joins you and your
colleagues in opposing Permanent Normal Trade Relations
(PNTR) for China.
FRA shares your concern that weapons of mass destruction
exported by that country can be used against U.S. military
personnel, and also our Nation's citizens. Further, China
already has obtained considerable knowledge of our Nation's
weapons technology without normal trade relations. Should the
United States open its door to normal trade relations, it is
worrisome that China will discover even more of that
sensitive information.
One of the most important goals of this Association is to
protect its members as well as every active duty and reserve
uniformed member of the Navy, Marine Corps, and Coast Guard.
To fulfill that commitment, FRA must do all that it can to
oppose any move that could possibly send those brave men and
women into harms way without ``rhyme or reason.'' With the
possibility that the future will hang dark shadows over open
trading with a yet unproven China, FRA is sensitive to the
harm that country may inflict upon our Nation.
Loyalty, Protection, and Service,
Charles L. Calkins,
National Executive Secretary.
____
Naval Reserve Association,
Alexandria, VA, May 9, 2000.
Hon. Frank R. Wolf,
House of Representatives,
Washington, DC.
Dear Representative Wolf: The Naval Reserve Association and
the Naval Enlisted Reserve Association work together as
affiliates to represent 37,000 officers and enlisted members
from the Naval Reserve services. They are representative of
the 89,000 Selected Reservists, the 4,500 non-pay Drilling
Reservists (VTU), and the 91,000 Individual Ready Reservists
(IRR), as well as the Retired Reserve community.
[[Page H3724]]
As a resource to the U.S. Military, our membership is
concerned with our relationship with China. Decisions made
today will be affecting the political-military balance in the
Pacific for the next 50 years. The Peoples Republic of China
may well be a rival.
Building its economy on the backs of its people, China is
also willing to risk world stability. To generate hard
currency, the PRC is selling weapons systems to Third World
nations, including many considered rogue states in nature.
China is aggressively building its military. The PRC's
ambitions include reunification by force with Taiwan, and
territorial claim over the energy resources in the
international waters of the South China Sea.
The process of reviewing trade relations with China each
year is an opportunity for Congress to influence the behavior
of China on matters of national security and human rights.
China is the largest of four surviving Communist
governments in the world today. Human rights of its citizens
continue to be violated. Evidence exists of Chinese espionage
within the U.S. Government and industry. The PCR has effected
political influence to manipulate U.S. policy. An annual
trade review provides an element of counter balance.
Trade between nations helps maintain diplomatic dialogue
and exposes a country's citizenry to outside ideas as well as
products. Commerce with China is growing in importance for a
number of U.S. Corporations. As a nation, we should continue
to expand the marketplace, but not carte blanche. Now is not
the time to offer Permanent Normal Trade Relationships (PNTR)
for China.
Marshall Hanson,
Director of Legislation, Naval Reserve Association.
Dennis F. Pierman,
Executive Director, Naval Enlisted Reserve Association.
____
Warrant Officers Association,
Herndon, VA, May 9, 2000.
Hon. Frank R. Wolf,
Member of Congress, House of Representatives, Washington DC.
Dear Representative Wolf: On behalf of the members of this
Association I write to express support and appreciation of
your actions and that of several of your colleagues, in
opposing Permanent Normal Trade Relations with China.
The USAWOA represents nearly 20,000 warrant officers of the
Active Army, the Army Guard, and the Army Reserve. These
highly-skilled men and women serve as helicopter pilots,
special forces team leaders, intelligence analysts, command
and control computer and communications managers, armament
and equipment repair technicians, and in other technical
fields critical to success of the modern battlefield. Daily,
many of them are in harm's way.
From our perspective, it appears that China has done little
to deserve such consideration. Of more concern is the fact
that China shows few of the peaceful, democratic traits
evidenced by our Nation's other major trading partners.
Indeed, China appears to striving to achieve not only
economic dominance of the Pacific Rim but also a significant
military advantage over her neighbors, and quite possible,
the United States.
In this instance, trade and economic considerations cannot
take precedence over the safety of our Nation and that of our
allies and friends. Until fundamental, lasting changes take
place in China, normalization of trade relations should not
take place.
Respectfully,
Raymond A. Bell,
Executive Director.
____
Reserve Officers Association
of the United States,
Washington, DC, April 27, 2000.
Hon. Frank R. Wolf,
House of Representatives,
Washington, DC.
Dear Congressman Wolf: The Reserve Officers Association
(``ROA''), representing 80,000 officers in all seven
Uniformed Services, is concerned about the proposal to grant
Permanent Normal Trade Relations (``PNTR'') to China.
ROA acknowledges the importance of our relationship with
China, including our growing economic ties to China.
Nevertheless, ROA believes that it would be a mistake to
grant PNTR to China at this time. The annual process of
reviewing trade relations with China provides Congress with
leverage over Chinese behavior on national security and human
rights matters. Granting PNTR would deprive Congress of the
opportunity to influence China to improve its human rights
record and behave as a more responsible actor on the national
security stage.
Just within the past few weeks, China has made military
threats against Taiwan and threatened military action against
the United States if we defend Taiwan. Just four years ago,
China fired several live missiles in the Taiwan Strait,
necessitating a deployment of two American carrier battle
groups to the area.
A report issued last month by the CIA and FBI indicates
that Beijing has increased its military spying against the
United States. Less than a year ago, the Cox Committee
reported that China stole classified information regarding
advanced American thermonuclear weapons.
Additionally, Beijing has exported weapons of mass
destruction to Iran and North Korea, in violation of treaty
commitments. Finally, China's record of human rights abuses
is well documented.
A recent Harris Poll revealed that fully 79% of the
American people oppose giving China permanent access to U.S.
markets until China meets human rights and labor standards.
On this issue, Congress should respect the wisdom of the
American people. Now is not the time to grant Permanent
Normal Trade Relations to China.
Sincerely,
Jayson L. Spiegel,
Executive Director.
____
An Open Letter to the Congress
Hon. Dennis Hastert,
Speaker of the House of Representatives, U.S. Capitol,
Washington, DC.
Hon. Trent Lott,
Majority Leader, U.S. Capitol, Washington, DC.
Dear Speaker Hastert and Senator Lott: In recent days,
proponents of granting China Permanent Normal Trade Relations
(PNTR) status have asserted that the failure by Congress to
do so would harm U.S. national security. As individuals who
have devoted much of our professional lives to providing for
and safeguarding America's security and vital interests, we
believe this assertion to be incorrect--possibly dangerously
so.
In our judgment, the Nation ignores at its peril
threatening Chinese rhetoric and behavior. For example, PRC
leaders and official publications routinely refer to the
United States as ``the main enemy.'' They have threatened
``long-distance missile strikes'' against American cities if
the U.S. interferes with China's coercion of Taiwan. Beijing
is using some of the hard currency it is garnering from trade
and financial dealings with the United States to acquire
ominous weaponry, such as Russian-built Sovremenny-class
destroyers--ships whose nuclear-capable SS-N-22 ``Sunburn''
missiles were specifically designed to attack American
carrier battle groups.
In December, China's Defense Minister General Chi Haotian
told a meeting of senior officers of the People's Liberation
Army that China needs to prepare for an ``inevitable'' war of
several years duration to break American ``hegemony'' in East
Asia. A few months earlier, the Central Military Commission
of the Communist Party circulated to all PLA bases and
garrisons a document in which it declared, ``The strategic
superiority which can be claimed by the U.S. is close to
zero. It does not even enjoy a sure advantage in terms of the
foreseeable scale of war and the high-tech content which can
be applied to combat . . . After the first strategic strike,
the U.S. forces will be faced with weaponry and logistic
problems, providing us with opportunities for major
offensives and to win large battles.''
Such statements and actions suggest that the Chinese today,
like the Japanese sixty years ago, put great faith in the
ability of a materially weaker challenger to defeat a major
power which looks stronger, but which they believe has become
decadent and irresolute in the use of power. If Beijing is
poised to make the same mistake that Tokyo made in 1941, it
would cost this country dearly to prove them wrong should it
come to a war the Chinese apparently expect and for which
they are preparing. A firm American stand now would likely
avoid miscalculation later, boost deterrence and, therefore,
promote peace in the Western Pacific and East Asia.
Toward that end, we believe that the annual debate on our
China policy mandated by current law should not be eliminated
at present. It should, instead, be expanded to place
international economic ties in the larger context of American
national security policy and interests in Asia.
The PRC clearly does not want this yearly debate to occur,
which is why granting PNTR at this time, in the face of
myriad threats from China, is likely to be interpreted by
Beijing as an act of appeasement. If so, far from enhancing
U.S. security, a vote for PNTR under present circumstances
would only intensify the threat Communist China will pose.
We believe that, under present and foreseeable
circumstances, China's trade status and behavior should
continue to be subjected to a formal annual review. In
addition, the United States must retain the ability to take
whatever measures are deemed necessary to prevent the
transfer of technology, capital and other resources to
Beijing that could ultimately help threaten U.S. security and
American lives. We strongly urge Congress to reject any China
NTR or WTO-related legislation that does not contain such
safeguards.
General Robert H. Barrow, USMC (Ret.), former Commandant,
U.S. Marine Corps.
General J.B. Davis, USAF (Ret.), former Chief of Staff,
Supreme Headquarters Allied Powers Europe.
Diana Denman, former Co-Chair, U.S. Peace Corps Advisory
Council.
Adm. Leon A. `Bud' Edney, USN (Ret.), former Supreme Allied
Commander, Atlantic.
Major Gen. Vincent E. Falter, USA (Ret.), former Deputy to
the Assistant Secretary of Defense for Atomic Energy.
Frank J. Gaffney, Jr., President, Center for Security
Policy and former Acting Assistant Secretary of Defense.
[[Page H3725]]
Hon. William R. Graham, former Director of the Office of
Science and Technology Policy and Science Advisor to
President Reagan.
James T. Hackett, former Acting Director of the Arms
Control and Disarmament Agency.
Adm. Kinnaird McKee, USN (Ret.), former Director, Naval
Nuclear Propulsion.
Lieutenant General Thomas H. Miller, USMC (Ret.), former
Deputy Chief of Staff for Aviation, Headquarters U.S. Marine
Corps.
Gen. Carl Mundy, USMC (Ret.), former Commandant, U.S.
Marine Corps.
Major Gen. J. Milnor Roberts, USA (Ret.), former Chief of
Army Reserve.
General Glenn K. Otis, USA (Ret.), former Commander-in-
Chief, U.S. Army, Europe.
General John L. Piotrowski, USAF (Ret.), former Commander,
U.S. Space Command and Vice Chief of Staff, U.S. Air Force.
Hon. Roger W. Robinson, Jr., former Senior Director,
International Economic Policy, National Security Council.
Major Gen. John K. Singlaub, USA (Ret.), former Chief of
Staff, U.S. Forces Korea.
Hon. Gerald B.H. Solomon, former Member of the U.S. House
of Representatives.
Gen. Donn A. Starry, USA (Ret.), former Commander, U.S.
Army Readiness Command.
Hon. James H. Webb, Jr., former Secretary of the Navy.
General Joseph J. Went, USMC (Ret.), former Assistant
Commandant, U.S. Marine Corps.
General Louis H. Wilson, USMC (Ret.), former Commandant,
U.S. Marine Corps.
____
[From the Center for Security Policy]
Twenty-one National Security Leaders Urge Rejection of PNTR
Washington, D.C.--On the eve the House of Representatives
vote on granting the People's Republic of China Permanent
Normal Trade Relations (PNTR) status the Center for Security
Policy released an Open Letter to Senate Majority Leader
Trent Lott and Speaker of the House Dennis Hastert (see the
attached). This letter, which was signed by over twenty of
the Nation's most eminent security policy practitioners and
retired military officers, argues forcefully that the
granting China PNTR would harm U.S. national security.
This letter comes on the heels of numerous appeals by the
Nation's largest veterans and military service organizations
who have expressed their opposition to rewarding China's
threatening rhetoric and behavior by removing the yearly
review of China's trading status. These groups, including the
American Legion, Veterans of Foreign Wars, the Reserve
Officers Association of the United States, the Warrant
Officers Association, the Fleet Reserve Association, the
Military Order of the Purple Heart, AMVETS, the Naval Reserve
Association and the Naval Enlisted Reserve Association and
the signatories of today's letter should be commended for
their defense of America's security and principles.
The Open Letter's signatories include: three former
Commandants of the U.S. Marine Corps (General Robert H.
Barrow, General Carl Mundy and General Louis H. Wilson);
seven retired four-staff general officers (former Chief of
Staff, Supreme Headquarters Allied Powers Europe, General
J.B. Davis, USAF; former Supreme Allied Commander, Atlantic,
Admiral Leon `Bud' Edney, USN; former Director, Naval Nuclear
Propulsion, Admiral Kinnaird McKee, USN (Ret.); former
Commander-in-Chief, U.S. Army, Europe, General Glenn K. Otis,
USA (Ret.); former Commander, U.S. Space Command and Vice
Chief of Staff, U.S. Air Force, General John L. Piotrowski
USAF (Ret.); former Commander, U.S. Army Readiness Command,
General Donn A. Starry, USA (Ret.); and former Assistant
Commandant, U.S. Marine Corps, General Joseph J. Went, USMC
(Ret.)); former Secretary of the Navy, James H. Webb, Jr.;
former Science Advisor to President Reagan, William R.
Graham; and former Chairman of the House Rules Committee,
Gerald B.H. Solomon.
The Open Letter reads in part:
``[T]he Chinese today, like the Japanese sixty years ago,
put great faith in the ability of a materially weaker
challenger to defeat a major power which looks stronger, but
which they believe has become decadent and irresolute in the
use of power. If Beijing is poised to make the same mistake
that Tokyo made in 1941, it would cost this country dearly to
prove them wrong should it come to a war the Chinese
apparently expect and for which they are preparing. A firm
American stand now would likely avoid miscalculation later,
boost deterrence and, therefore, promote peace in the Western
Pacific and East Asia. Toward that end, we believe that the
annual debate on our China policy mandated by current law
should not be eliminated at present. It should, instead, be
expanded to place international economic ties in the larger
context of American national security policy and interests in
Asia.''
The Center urges Congress to weigh carefully the arguments
of these highly respected and accomplished authorities and,
in so doing, to discount dubious appeals for granting China
PNTR on national security grounds.
Mr. UNDERWOOD. Mr. Speaker, I rise in support of granting permanent
normal trade relations to the People's Republic of China. I do not
presume that my comments will change any of my colleagues minds but
please allow me to tell you why I am in support of this measure.
During the 19th Century, European powers, more or less, forced their
own way into China by militarily demanding exclusive trade concessions.
More often than not, these trade concessions benefitted the European
merchants almost unilaterally. In this age of imperialism, little
concern was given to the ``economic benefit'' received by the Chinese
people in general. To be sure, there were many Chinese feudal lords and
merchants who grew very wealthy from trading with the Europeans, but as
a matter of course, widespread economic prosperity would not reach the
average Chinese peasant or urban laborer until well into the late 20th
Century.
The United States during this age of imperialism was steadfast in
promoting the ``Open Door Policy'' whereby no nation was excluded from
trade with China. Of course, this privilege was limited to only but a
few great maritime powers. Nevertheless the concept of free trade and
open access to markets was there.
The point of recalling this history is to understand China's present
frame of political reference. China was, in many ways, abused by the
Western foreign powers for much of the 19th and early 20th Centuries.
In the turmoil that followed the Second World War, the Chinese
Communists seized power in a revolution of the peasantry. In
establishing a paranoid one-party authoritarian state, the west's
colonial legacy has remained a rather contemporary influence in the
body politic of China's leaders. In the years since the Cultural
Revolution, China has made tremendous in roads to opening up and
embracing many market concepts. True, they still are ruled by an
intolerant regime that has an abhorrent human rights, labor rights,
women's rights, civil liberties, and environmental record. True, they
are also modernizing their military and repeatedly engage in political
``saber rattling.''
Yet anyone who has bothered to study Chinese history will instantly
recognize that it is China who fears the western world's economic,
political, and military power. It is China who fears being isolated and
contained. Beijing recognizes that as a developing nation they need to
be a part of the global economy in order to survive and become more
prosperous. Since China increasingly depends on the connections to the
global economy, they indeed have more to loose if they are cut out.
Part of the motivation behind the trade accord, as brokered by
President Clinton, is to ``normalize'' the trade and economic links of
China with the global economy and thereby cement China's dependence
upon this community, which is subject to the rule of law.
So, let us now turn briefly to the agreement as drafted in this bill.
To address some of the rhetoric let us turn to the facts. All this
agreement does is remove the annual Congressional review process, as
required by the 1974 Trade Act, before granting normal trade relations
to China for the year. In granting this ``permanent'' status, China
will then be able to work towards joining the World Trade Organization
(WTO). In this agreement, the granting of PNTR by the United States
only goes into effect upon China's admittance to the WTO. This process
could take years. In the meantime this body loses nothing; the annual
NTR review would still apply. In addition, there are many legal and
market oriented hoops that the Chinese government must comply with in
order to become a member of the WTO. Once China is a member of the WTO,
the United States still can impose sanctions on China but they have to
be ``WTO consistent.'' This means that if for national security reasons
or other qualifying reasons, the President feels it is necessary to
impose economic sanctions, it would be within our rights to do so.
One concern is that in passing this bill, Congress abdicates its
ability to have economic leverage over China. There are many other
processes to affect this ``leverage'' over China. For example, the U.S.
could use the power of the Export-Import Bank, TDA and OPIC to apply
pressure on China. Finally, the Levin-Bereuter language that
establishes a Congressional Executive Commission on Human Rights and
Labor Abuses in China, will annually grant this body the opportunity to
investigate and criticize China's abuse in these areas. This language
preserves our commitment and ability to annually address Human Rights
and Labor Abuses in China.
Mr. Speaker the strengths of granting PNTR clearly outweigh the
weaknesses. It will undoubtedly benefit American businesses and open
China's markets in U.S. goods. Plain and simple, this agreement is
about trade. My colleagues, China has along way to go towards reforming
its civil society but you cannot genuinely compare the current regime
in China to the government of Nazi Germany in the 1930s. Unlike the
Nazi's, China is not bent on world domination. The Chinese have no
military plans to occupy parts of California or New York.
Mr. Speaker, trade inevitably liberalizes a society. Look at South
Korea, Taiwan, Indonesia, Spain, Portugal, Chile and Argentina.
[[Page H3726]]
The former authoritarian regimes in these nations were undoubtedly
weakened by the permeating influence of open markets and the free flow
of goods, capital, and ideas. As we stand here on the precipice of
change, we have an opportunity to take a first step towards exposing
China towards the benefits and responsibilities of trade and the rule
of law. Granting PNTR and China's membership in the WTO is not a
panacea. It may change China in profound ways that were not anticipated
by most Americans. But in the end, the long road ahead for our national
security and economic security begins with this first step. We should
grant PNTR and continue to engage China.
Mr. CHAMBLISS. Mr. Speaker, the decision on whether or not we should
grant normal trade status to China is always a difficult one. In 1995
and 1996, I supported renewing trade with China because there were
indications that the Chinese were moving in the right direction toward
a more open free society. However, abiding concerns about human rights,
religious persecution, proliferation of advanced missile technology,
and saber rattling toward Taiwan and China's other neighbors led me to
vote against granting normal trade status to China during the last
three years.
This year, however, the debate over granting normal trade relations
with China is different. We face a momentous decision about the future
of jobs in the United States and specifically greater employment
prospects for men and women living in Georgia's Eighth Congressional
district. The administration negotiated a one way agreement with China
that mandates significant reductions in tariffs as a part of China's
entry into the World Trade Organization as well as includes import
safeguards for sensitive industries like textiles. In 1998, Georgia
exported over $338 million worth of goods and services to China. China
has an estimated $750 billion in infrastructure needs over the next ten
years. Companies and industries located here in middle and south
Georgia are well positioned to take advantage of this auspicious
opportunity. Thousands of Georgia's workers at companies such as Brown
& Williamson Tobacco Corporation in Macon, Rayonier in Baxley,
Barnesville, and Lumber City, Hudson Pecan Company in Ocilla,
International Paper in Folkston, BP Amoco in Hazlehurst and Nashville,
Blue Bird Body Corporation in Fort Valley, and CSX Corporation in
Waycross all support increased trade with China.
I continue to be concerned with a number of issues related to China.
But today we must decide whether or not we will close the door to
expanded markets for products made in Georgia, alienate the most
populous nation in the world, and lose a genuine opportunity to build a
dialogue with China and spread American values of freedom, democracy,
and market economics consequently improving the lives of 1.6 billion
people. We should condemn China's brutal repression against its
citizens and continue to vigilantly monitor human rights abuses. We
will ensure that our military and intelligence capabilities are strong
and robust enough to meet the challenges of any Chinese aggression. We
must pry open the Chinese market and tear down pernicious trade
barriers that block American goods and services and restrain
prosperity.
We cannot change Chinese civilization overnight. But turning our back
on China now and limiting our opportunities for improving our
relationship with the Chinese is not the answer either. Rejecting trade
with China only frustrates efforts by American businesses to expand
their worldwide sales and create jobs here at home.
We must continue to be concerned about human rights and labor issues
in China. We will now have a forum like we have never had to dialogue
on these issues.
For the agricultural community, the benefits of trade with China are
enormous. Chinese tariffs on pecans will be reduced 35 percent, tobacco
40 percent, and textiles 13.7 percent. For the manufacturing community,
the job security and job creation potential are great. Tariffs on wood
products will be slashed 64 percent, agriculture equipment 50 percent,
and aluminum 33 percent. In fact, most every agricultural and
manufacturing group or company in the state of Georgia supports
expanding trade relations with China.
Granting China normal trade relations will be beneficial to our
district and the state. But more importantly, building better
friendships with the Chinese people, teaching them about the value of
open, democratic, and free societies, and bringing China into the
legal, cultural, and economic community of nations will create a better
world for the next generation.
Mr. UDALL of Colorado. Mr. Speaker, I will vote against this bill.
Deciding how to vote on this has not been easy, and I want to explain
how I've arrived at my decision.
I began by reviewing the developments that led to the decision we are
asked to make today.
In November 1999, after nearly 14 years of negotiations, the U.S. and
China reached a bilateral agreement covering market access issues with
China, taking the first step to China's admission to the World Trade
Organization (WTO).
For the U.S. to benefit from China's accession to the WTO, Congress
must first grant unconditional and permanent NTR to China. This means
we would no longer have the annual opportunity to review China's record
on human and worker rights, which Congress has done since the passage
of the Trade Act in 1974. The Trade Act includes an amendment that
denies NTR for China, which congress has voted to waive since 1980. I
think this has been an important exercise that has enabled Congress to
regularly review China's progress in human and worker rights. Some
argue that this ``sword of Damocles'' that we hang annually over the
heads of the Chinese isn't putting a stop to human rights violations.
But we should ask what might have happened if we hadn't exercised this
leverage. Human rights organizations and dissidents tell me that as the
vote approaches every year in Congress, the situation in China becomes
a little less grim. To me, that indicates that the annual review of
Congress continues to be important.
The agreement negotiated last November would require China to open
its markets widely and deeply, and would provide new trade and
investment opportunities for U.S. businesses. But there remain
unanswered questions about the economic consequences of the agreement
and whether the immediate benefits to U.S. producers will be as great
as some have claimed. For instance, it is unclear whether the agreement
will improve our increasing trade imbalance with China, a deficit
valued annually at $69 billion. It is unclear whether most of the
benefits of the agreement will be realized by U.S. companies that
invest directly in China and use China primarily as an export platform,
or whether there will be an increase in imports of U.S.-made goods to
China. It also remains unclear on what terms the U.S. and China would
trade in the absence of the WTO agreement--some analysts maintain that
the 1979 U.S.-bilateral treaty would allow the U.S. to benefit from
some, if not all, of the provisions in the WTO agreement, even if the
agreement itself doesn't go into effect.
So, I have questions about the details and effects of the trade
agreement.
But my misgivings about granting permanent NTR status to China don't
revolve around questions of the benefits of trade as much as about the
question of who will benefit. We hear from free trade advocates that
permanent NTR will be good for the people of China. There's an
underlying assumption here that free trade invariably leads to
development and democracy. Markets do produce change, but not
necessarily ``development'' in a positive sense. Markets without law
produce the kind of capitalism we see in Russia, and markets without
democracy produce an Indonesian-style economic disaster. I agree that
open markets and more porous borders have helped lift up the lives of
people in many countries of the world. But I am also alarmed about the
growing economic inequality within and between countries. Unless free
trade is also fair trade, we risk lifting up the few to the detriment
of the many. Economic openness accompanied by tighter restrictions on
basic freedoms. Even now, China claims its action in arresting and
imprisoning pro-democracy activists and Falun Gong followers are done
in the name of the ``rule of law.''
Fortunately, the vote on permanent NTR is not a vote on whether to
isolate China from the rest of the world. The forces of globalization
have already changed China and connected it to the world in ways even
China's leadership can't control. Even now, China receives far more
foreign direct investment than any other developing country. Trade,
investment, and reform will continue whether or not the U.S. grants
China permanent NTR. And this doesn't mean that the U.S. would
necessarily be left out of the mix. Despite threats to impose stiff
tariffs on U.S. firms doing business in China if permanent NTR does not
pass, China's paramount concern right now is its economy and finding
ways to bring it into the 21st century. If China is determined to find
this path, it is doubtful that it would choose to neglect the very
country that consumes 40 percent of its exports.
After careful consideration, I have decided I cannot support
permanent NTR for China at this time. There are five main reasons why.
First, if there is any constant in China's behavior, it is that China
does not do what it says it will do, especially as regards trade. In my
view, a WTO agreement can advance economic reform in China only if it
is enforced. The WTO was founded on the assumption that its members
respect international laws. But China has violated all four bilateral
trade agreements that it has entered with the U.S. since 1992. Already,
some of China's ministries have moved to protect themselves against the
effect of WTO membership. It seems to me that if we can expect massive
violations from China based on its record of
[[Page H3727]]
noncompliance with existing trade agreements, we should be concerned
that the WTO multilateral dispute mechanisms--already cumbersome--are
not constructed to handle this kind of load.
Second is the concern I touched on earlier about the importance of
the leverage provided by the annual NTR review. China's record of
violating its citizens' fundamental human rights of freedom of speech,
religion and association will be harder, not easier, to challenge if
Congress grants PNTR.
Third, I have many concerns about labor the environmental standards
that the November 1999 agreement does not take into account. If we
don't insist now--before we grant permanent NTR--that China commit to
making progress in these areas, what could be our best chance for these
reforms will be closed off.
Fourth, there is important symbolism to consider. Granting China
permanent NTR would send a powerful message to Asia's genuine fledgling
democracies--Thailand, the Philippines, Korea, and Indonesia, where
workers have the right to organize--that they no longer have to abide
by internationally recognized human and labor rights. Granting China
permanent NTR would also send a troubling message that although we hold
other countries accountable through sanctions for arms sales, threats
to neighboring democracies, or human rights abuses, we are not willing
to do the same for China. While I am not advocating sanctions for
China, neither do I believe we should turn a blind eye to China's human
rights abuses by granting permanent NTR.
This leads me to my fifth reason, which to me is the most important.
China has racked up a dismal human rights record year after year,
despite signing two UN covenants on human rights prior to President
Clinton's trip to Beijing in 1998. In fact, according to recent reports
by the State Department, Human Rights Watch, and other organizations,
the situation has deteriorated markedly since late 1998. Even now at
the current meeting of the UN Human Rights Commission in Geneva, China
is fighting a U.S. effort to censure Beijing for its worsening human
rights record. In the name of ``social stability,'' China has
effectively banned opposition political parties, further constrained
free association and religious expression, sped up the pace of arrests
and executions of activists, and interfered with the free flow of
information through restrictions on the Internet. This is all in
addition to extrajudicial killings, torture and mistreatment of
prisoners, forced confessions, arbitrary arrest and detention, and
denial of due process. Just recently, a constituent of mine in
Westminster asked for help in getting his Chinese parents released from
a jail in Hubei Province, where they are being detained for their Falun
Gong practice. We've done what we can, but as far as I know, they're
still there.
Before we grant PNTR, we should insist that China ratify and live up
to the two UN human rights treaties it has already signed. We should
ask that it take steps to begin dismantling its ``reeducation through
labor'' system, which allows officials to sentence citizens to labor
camps for up to three years without judicial review. We should insist
that China change its repressive policies regarding the Tibetan people
and open Tibet to regular access by UN human rights and humanitarian
agencies and foreign journalists. If we don't insist now--before we
grant permanent NTR--that China live up to agreements it has signed and
that it adhere to international standards of human rights, China will
have no incentive to move in this direction.
Some have suggested that the ``brave'' position to take is to vote to
grant normal trade relations to China. I disagree. For me it is far
more difficult to cast a vote that some might say would close the door
on a developing country and its billion citizens, all of whom deserve
the benefits that truly free trade can bring. On the contrary, I'll be
the first to welcome China if--as it opens it markets--it also will
open its prisons; lift restrictions on speech, association, and
religious expression; protect the rights of its workers; and respect
its environment.
I don't believe we can or should ignore China. To do so would risk
ignoring important economic opportunities and strategic and security
considerations. I believe we should encourage China's economic
modernization, but we should also encourage China to take the leap into
the 21st century in more than just economic ways.
The question is not whether to engage China, it is how and on whose
terms. I was encouraged by the efforts of Representative Levin and
Representative Bereuter to seek a way in which to maintain pressure on
China to improve its record on human rights, compliance with core labor
standards, and development of the rule of law. That is why I voted for
the rule, which added the Levin-Bereuter provisions to the bill. These
provisions still don't go far enough--given that they have no power of
enforcement--to allow me to change my position. But I believe they
reflect the right spirit, a spirit that is about trying actively to
shape globalization, not passively closing our doors. Although I cannot
support permanent NTR today, I remain committed to this activist
course.
Mr. LANTOS. Mr. Speaker, granting China Permanent Normal Trade
Relations status is unwise, unprincipled, and counterproductive.
American multi-national corporations are realistic enough to
understand that most of them will never sell anything in China. They
will create production platforms taking advantage of cheap labor and
non-existent health, safety, and environmental regulations to replace
American men and women who work for a living wage in the United States.
In our economic relations with China, it is we who have the leverage,
not the Chinese. They have a $70 billion trade surplus with the United
States--and this surplus is vital for their military armament plans and
their economic progress. We have all the cards but pretend to be
impotent.
Mr. Speaker, fig leaves have a noble function in Greek sculpture--
they conceal valuable and at times indispensable parts. The
``Commission'' proposed in this legislation gives a bad name to fig
leaves. We have governmental and private studies overflowing our desks,
all proving the outrageous human rights abuses, violations of religious
freedom, and the denial of political discourse that permeate China. No
one in his or her right mind believes for a moment that yet another
commission will have any impact on the dictatorial regime in Beijing.
China's victory in this struggle today, however, will be carefully
studied and imitated by the new KGB-trained President of Russia. Our
ability to advocate pluralism, religious freedom, and political
liberties in Russia will be profoundly crippled by the hypocrisy of
this debate today. President Putin will have no trouble learning the
lesson that what we really care about is stability and investment
opportunities. All the rhetoric about liberty, freedom of the press,
and religious freedom is just that--sheer rhetoric with no substance.
Mr. Speaker, China already has Normal Trade Relations with the United
States. This measure on which we are voting today merely protects this
repulsive regime from an annual debate in the Congress, which over the
past decade has pointed out China's serious shortcomings. Now the
government in Beijing will have a free ride.
Mr. BISHOP. Mr. Speaker, after considering the arguments for and
against PNTR, I have concluded that rejecting it would be a serious
mistake and passing it would benefit Georgia's and our area's economy.
China will soon enter the World Trade Organization (WTO), which
oversees the rules of international commerce. The United States is
already a member. WTO rules say that members must grant one another
``unconditional'' low-tariff access to their markets. The current
process of annual votes by Congress on China trade amounts to a
``condition.'' Hence, the U.S. would be out of compliance with WTO
rules if PNTR was not passed.
To gain entry into the WTO, China has agreed to open markets that
have long been closed, such as agriculture, services, technology,
telecommunications, and manufactured goods, and will drop or greatly
reduce tariffs. The U.S. has already opened our markets. U.S. exports
to China have tripled over the past decade. But China's exports to the
U.S. are seven times greater. That deficit should drop with an
expansion of U.S. goods and services under PNTR and WTO.
Unfortunately, China will only give these market-opening benefits to
countries that give Chinese products ``unconditional'' access. So, if
we fail to give China PNTR, they will shut U.S. companies out of huge
business opportunities in a fast-growing economy of 1.2 billion people.
That would impact jobs in our area greatly, according to Governor Roy
Barnes, Agriculture Commissioner Tommy Irvin, the 342,000-members of
the Georgia Farm Bureau, Proctor and Gamble, Merck Pharmaceutical,
Miller Brewing, Phillip Morris, Kraft Foods, Georgia Pacific,
Weyerhaeuer, Ayres Aircraft, Carter Manufacturing, Griffin Chemical,
Coca-Cola, Bell South, Georgia Power, AT&T, Cargill, Tyson Foods, Gold
Kist, American Cotton Shippers, Synovus Financial, AFLAC, UPS, Tobacco
Association of the United States, Brown and Williamson, and countless
others.
Too many people associated with these area businesses would lose. We
just can't afford NOT to grant PNTR.
Some, including myself, have expressed deeply-felt and well-reasoned
concerns about PNTR. Some, including veterans groups, have questioned
whether it might compromise our national security. Some farmers and
business entrepreneurs feel China's proclivity for cheating might put
the U.S. at an export disadvantage. Others express concern about
rewarding a country like China with a horrible record of political
suppression, religious persecution, and unfair and inhumane labor
practices. I share all of these concerns.
[[Page H3728]]
Upon close analysis, however, I believe that failure to pass PNTR
would have even worse consequences. Our national security would be
endangered because rejection of PNTR would send a clear message that we
view China as an adversary. The Chinese are modernizing a military that
has more manpower than any country on earth, and only because of our
current engagement policy have they agreed to stop transferring anti-
ship cruise missiles to Iran and other rogue nations for cash. If they
view us as an adversary, rather than a trading partner, they will
continue to transfer weapons of mass destruction and endanger our
national security.
Moreover, if we are seen as an adversary to China, our bilateral
relations with other Asian countries such as Singapore, Thailand,
Malaysia, Indonesia, Taiwan, and even Japan would be affected. These
countries would have to align themselves with China, their strong
neighbor, or the U.S. on the other side of the world. Taiwan President-
elect Chen shui-Bian supports PNTR because he says it would promote
greater cooperation between mainland China and the free world as well
as contribute to peace and stability.
As for human rights, labor and environmental issues, it is clear the
U.S. cannot exert influence if it is disengaged. Although the
effectiveness of the oversight measures in the PNTR package is
disputed, the measures do, in fact, make workable mechanisms available
to the U.S. to take retaliatory action against any breakdown in our
expectations of China. With the passage of PNTR, China will have the
opportunity to prove to the world its ability to greatly improve its
record. In turn, the U.S. and other WTO nations, will have the
opportunity to hold China more accountable.
My vote for PNTR is a vote to open markets in China's in order to
promote jobs in Georgia, and for a safer world.
Mr. HEFLEY. Mr. Speaker, China has a continuing legacy of human
rights violations and oppression which cannot be ignored. Year after
year we have been told, ``Give most-favored-nation status to China and
their government will be forced to reform.'' We heard that during the
Bush years. We hear it during the Clinton years.
Let us look at the score card a little bit.
We gave most-favored-nation status and they continue their policy of
population planning with forced abortion.
We gave most-favored-nation status and they continue not to tolerate
any dissent of any kind; the imprisonments, the torture, and the
killings go on.
It was reported in the beginning of May that Chinese police cut off a
villager's tongue after he was detained for writing anti-corruption
slogans on a communist party office building.
We gave most-favored-nation status and they continue to try to stamp
out any religion that is not state-supported religion.
``In February, the family of 60-year-old Chen Zixiu, a Falun Gong
follower, were asked to collect her body from a police station in
Shandong province where she had been detained for four days. Her body
was covered with bruises, her teeth were broken and there was blood
coming out of her ears. She was arrested on suspicion of planning to go
to Beijing to petition the authorities against the banning of the Falun
Gong.''
We gave most-favored-nation status and their policy of cultural
genocide in Tibet continues.
``The International Campaign for Tibet reports that more than 1,000
monks and nuns were expelled from their monasteries and nunneries in
1999, bringing to more than 11,000 the number of monks and nuns turned
out of their monasteries since the beginning of the `Strike Hard'
campaign in 1996.''
We gave most-favored-nation status and they sell nuclear and missile
technology to some of our worst enemies.
``In addition, Beijing is aggressively developing strategic ties with
Burma, North Korea, Iran, Iraq, Syria, and Pakistan.''
We gave most-favored-nation status and they make plans to invade
Taiwan.
``An internal document prepared by China's Central Military
Commission and published in the Western press states that the United
States will `pay a high price' if it intervenes in any China-Taiwan
military conflict.''
We gave most-favored-nation status to them, and they have the biggest
buildup of nuclear missile development of any country on the face of
the earth.
PNTR supporters say access to China's huge market will increase U.S.
businesses exports and create extra jobs in America. As it is, we have
a 70 billion dollar trade deficit with China and most proponents of the
agreement admit our deficit will continue to grow.
``In all likelihood there will be no great improvement in the trade
balance. . . . And there will be no net extra jobs.''--National
Journal.
The United States should not sell out for the promise of an extra
buck. . . . a promise that will not be kept even if PNTR is passed.
If you have a rabid dog in your backyard, you don't welcome him into
your home.
Vote ``no'' on PNTR with China.
Mr. THORNBERRY. Mr. Speaker, I rise in support of normal trading
relations with China.
Trying to determine what course will be the best for the United
States and for the people of China in the long run is not easy. No one
has a crystal ball. However, I believe that is in the best interests of
the United States and of the people of China to have more contact with
and interaction rather than less.
First of all, trade with China directly affects hard-working
Americans in my district. For example, more than one-third of our
agricultural production is exported, and China is the largest potential
overseas market for our cotton, beef, and other products.
Secondly, we cannot afford to forget that China has more people than
any other country in the world; it has the world's largest economy
after ours; and it has a strong military with missiles and nuclear
warheads which can reach the United States. While Chinese leaders have
done a number of things with which we do not agree, we should not
ignore or cut off contact with a country that will inevitably play an
increasingly important role in world affairs.
Finally, I believe that continuing trade with China is in the best
interests of the people of China. They have more freedom today, than
they ever had since the Communists took control in 1949. The areas
where people have the greatest freedom are those areas with the most
contact with the outside world. We should not hesitate to speak out
strongly for the values we hold dear, such as freedom of religion. But
we will not help the people of China to obtain that freedom by cutting
back on our trade, contacts, and influence there.
For these reasons I will vote for normal trade relations with China
and continue to work for the national security interests and values of
the United States.
Mr. CRANE. Mr. Speaker, Congress takes an historic step today in
considering legislation to grant normal trade relations to China. We do
this to position our workers, firms, and farmers to take maximum
advantage of the vast opportunities offered as a result of China's
decision to join the WTO.
Just as importantly, we do this to reinforce the reformers in China
who look in our direction and at our success, as they attempt to move
the Chinese economy out from under the iron grip of Communism and
stranglehold of state control. China's decision to adopt the WTO system
of fair trade rules is a choice to impose the discipline of market-
based principles throughout a vast country of 1.2 billion people. In my
estimation, the revolutionary change WTO rules will bring to the
Chinese economy dwarfs any other avenue of influence available to the
U.S.
The trade agreement with China and this vote to normalize trade
relations between our two countries have been hard fought and long
awaited. For fourteen years, through Democrat and Republican
Administrations, this body insisted that we would not take an empty
trade deal with China. At last we have succeeded in obtaining a great
win for Americans. In addition to the commercial benefits, this bill
turns our relationship with China in a positive direction. By
reinforcing the efforts of Chinese citizens fighting for change, we
magnify our chances of maintaining peace, stability and security in
Asia.
In bringing China into the WTO, we will obtain access to the WTO
dispute settlement mechanism to systematically tear down barriers, if
China chooses to be recalcitrant in any area. With a WTO finding on our
side, and the collective judgment of 135 countries against China, we
multiply ten-fold our leverage to bring China into compliance with the
rules of fair trade. In the event China chooses to flaunt a WTO finding
against it, we would have the ready option of imposing WTO-legal trade
sanctions.
I expect this new approach to solving trade disputes with China to be
many times more effective than our current method of threatening
unilateral trade sanctions under Section 301.
Over the past 21 years, China has sought to reform its economy,
encouraging the growth of the private sector. Since 1979, China's
government policy toward the private sector has evolved from
prohibition, to toleration, to active encouragement. The number of
private sector employees (i.e. those working for a privately owned
Chinese company or self-employed) rose from 4.5 million in 1985 to an
estimated 81.3 million in 1999. Accounting for over half of China's
economic output, the private sector in China has become a major force
in the country's economic development.
China's membership in the WTO will require it to privatize a
substantial portion of its economy, not only to conform to the WTO, but
also to be able to compete internationally. Reduced government control
over the economy will enhance living standards and economic freedom for
the average Chinese citizen.
The growth of the private sector in China, which WTO membership will
further encourage, has allowed many more Chinese citizens
[[Page H3729]]
to choose their employment, education, housing and recreation free from
state control. According to CRS, privatization ``has reduced the
pervasiveness of the work unit as a means of social control''.
We know that U.S. foreign investment exposes Chinese workers and
managers to such principles as merit-based pay and promotion,
individual rights and privacy, ethical business practices, transparency
of business and payroll transactions, and free access to more
information. Internet usages and the consequent flow of information
into China are surging. Motorola, my own corporate constituent,
provides wireless communications equipment that enables Chinese
citizens to gain access to, and utilize affordable communications
services.
Motorola directly promotes the exchange of ideas by sending hundreds
of Chinese employees to its U.S. facilities each year to attend
technology, engineering, and management seminars. In a country where
only 10-15% of the people have access to a college education, this is
precious training that allows for eye-opening exposure to the American
way of life.
In 1998, Motorola established the Center for Enterprise Excellence
(CEE) to provide training for management of China's ailing state-owned
enterprises. As of June 1999, 500 executives and engineers of 75 state-
owned enterprises from 15 provinces had received training. Motorola
also provides scholarships to 8 universities in China--with money
disbursed to approximately 1,000 students and 100 teachers every year.
Caterpillar has also worked with Illinois State University (ISU) to
establish a learning center in Beijing.
Motorola pioneered a company-subsidized Employee Home Ownership
Program in China. The program provides for an additional 20% of each
employee's salary to be paid into a special housing fund. The money can
be withdrawn and used to buy or rent a house or apartment, or to
renovate an existing home.
U.S. companies export U.S. concepts of volunteerism, charitable
giving, and community activism. For example, Motorola has contributed
approximately $1.5 million to China's Project Hope--which focuses on
providing funds and mobilizing non-governmental resources to support
elementary school education in the poorest rural districts in China.
Through these donations, Project Hope has built 24 primary schools and
financed education for more than 6,700 children.
In short, a vote for normal trade relations, which will allow these
types of exchanges to continue, is a vote for bringing American values
and ideals much closer to average Chinese citizens.
I urge a ``yes'' vote on H.R. 4444.
[From the Daily Herald, May 23, 2000]
The Case for China Trade
Like it or not, China is a growing economic and military
force with whom Washington must deal over time.
U.S. business interest are urging Congress to permanently
normalize trade relations with China in a vote this week.
That would drive China's tariffs down and further open the
vast Asian nation to a wide range of American products.
American labor, by contrast, is lobbying hard for Congress
to reject Permanent Normal Trade Relations. Unions argue that
jobs would flow away from Americans and to poorly paid and
highly exploited Chinese workers.
That many Chinese workers toil under miserable conditions
is beyond dispute. But the hard reality is that their lives
will not improve by Congress rejecting normalized trade with
China.
China is going to be admitted to the World Trade
Organization whether Congress OKs permanent normal trade
relations or not. European nations have already built their
own trade bridges while China. Congressional rejection of
permanent trade status for China would merely guarantee that
European and Pacific Rim nations would benefit from China's
reduced tariffs and do so without competition from U.S.
business. Illinois farmers and suburban companies such as
Motorola would miss an opportunity that would carry direct
and ripple benefits for thousands of workers here.
That's the economic side of the story. The political side
is that Congress, by turning down permanent trade status,
would introduce new tensions into U.S.-Chinese relations that
would serve no positive purpose for the United States or
China's citizens.
Like it or note, China is a growing economic and military
force with whom Washington must deal over time. Those
dealings are often frustrated, given China's oppression of
its citizens, aggressive stance toward Taiwan, ambitious
weapons acquisition and resistance to granting political
liberty even as it experiments with limited economic freedom.
But to nurture a long-term relationship with Cuba is
nonetheless in the best interests of the United States, and
such a relationship can be better built and sustained between
two countries that are cooperating--not battling--over
commerce.
China's leaders make it difficult for Washington to work
with Beijing even when doing so is in America's better
interests. That was true when Richard Nixon traveled to China
and when the U.S. agreed to China's admission to the United
Nations. It remains true today, when a vote for permanent
trade status is a tough vote but the correct vote noneless.
Mr. GEJDENSON. Mr. Speaker, we are making a critical decision today
on whether to grant permanent normal trade relations to China. This is
not an easy decision. Before casting my vote, I considered the advice
and counsel of my constituents and experts in the field. And, after
weighing the complexity of the PNTR issue and the long-term
implications of this vote, I have decided to vote against granting
permanent normal trade relations to China.
While this bill would have an important economic impact, it fails to
honor American values regarding human rights, labor protections and the
environment.
Free and fair trade makes sense for America. If given a level playing
field, American companies and workers can compete with any other in the
international marketplace. Indeed, to a great degree, globalization and
free trade have helped to sustain this country's record prosperity and
economic expansion over the past decade.
Yet, free trade alone, without consideration for human rights, basic
labor standards, and environmental protection will only encourage a
race to the bottom.
For over a decade, I have been troubled by the message our China
policy has sent to the Chinese people, to our citizens and to the rest
of the world. Despite egregious human rights violations, China's export
of weapons of mass destruction around the world, repeated crackdowns on
religious freedom and its continued occupation of Tibet, we have
refused to establish a bottom line in our relationship with China.
Regardless of the policies pursued by the Chinese regime, we continue
to send a message that economic interests override our concerns
regarding abuses of human rights, labor standards and the environment.
Just as our trade policy with Japan and Europe has evolved throughout
the years to give priority to issues such as market access and
intellectual property rights, we need to ensure that basic labor and
environmental standards and respect for human rights be given similar
weight at the negotiating table.
There are some who have argued that increased contact with China will
improve the country's dismal record on these issues, especially through
the use of information technology and the Internet.
While I agree that the Internet has promoted the spread of
information, our recent history with China has shown that increased
economic engagement will not necessarily lead the country down a path
to democratic reform.
Indeed, we have stood by and watched a systematic deterioration in
China's respect for labor, the environment and human rights, including
most recently, a series of violent crackdowns on members of the Falun
Gong movement.
It is cruicial that we continue to engage China out of concern for
our own national security interests as well as the interests of China's
democratic development. For that reason, I'm pleased that the
legislation before the House today contains a bill I introduced
authorizing commercial and labor rule of law assistance to China.
Mr. Speaker, this vote is not just about granting permanent normal
trade relations to the People's Republic of China--it's about sending a
message to the world that is consistent with the values that have made
our nation great. Until such an agreement is before us, I am left with
no choice but to vote no.
Mr. WEYGAND. Mr. Speaker, I rise in opposition to granting permanent
normal trade relations to China and urge my colleagues to do the same.
Our nation continues to experience unprecedented economic growth. A
major factor in that growth is the expansion of international trade and
the increased global competitiveness of U.S. businesses.
Expanding export opportunities is especially important in the
Northeast where the economy is still transitioning into a high-tech
economy. The economic base of the manufacturing, jewelry, and textile
industries has been slow to adapt to the global economy. Increasing
export opportunities for these sectors is critical to foster our
continued economic growth.
It is possible to enter into trade agreements that will result in
higher wages, cleaner air, and greater consumer safeguards. However,
because we cannot look into a crystal ball to find out how a trade
agreement will turn out, we must address environmental and consumer
safeguards and worker rights at the outset. Additionally, in today's
high-tech world, agreements should also contain provisions that protect
intellectual property and allow equitable market access for all trading
partners. Unfortunately, there are many countries that do not provide
adequate market access, protect intellectual property, take steps to
preserve the environment, respect internationally accepted worker
rights, or have adequate measures in place to ensure consumer safety.
[[Page H3730]]
In an effort to expand opportunities, I strongly support export
assistance programs such as the Export-Import Bank (EX-IM) and the
Overseas Private Investment Corporation (OPIC). Together these two
institutions provide critical financial assistance to American
businesses seeking to expand their business into foreign countries. By
providing insurance, loans, and loan guarantees, EX-IM and OPIC ensure
that U.S. businesses are able to compete in markets that are often
unstable and where foreign companies are subsidized by governments.
Additionally, as a member of the House Banking and Financial Services
Committee, I am addressing the impact of trade on international
financial markets. In particular, we have had to consider several
financial crises in the last two years. Financial problems in Asia,
South America, and Russia have led to other trade problems, most
notably the dumping of foreign products into the U.S. marketplace. In
an effort to mitigate the impact of the financial crisis. I have
supported an increase in U.S. payments to the International Monetary
Fund (IMF). This funding helped to replenish the IMF's resources
depleted by the financial crises in Asia, Mexico and Russia and to
prevent the meltdown in the world economy from striking the United
States.
There continues to be substantial debate about the progress that
China has made on worker and human rights, market accesses, and
protecting intellectual property. In fact, the U.S. government
continues to express its concerns regarding these issues, as indicated
in the 1998 Annual Report on Human Rights and the 1999 Trade Policy
Agenda and 1998 Annual Report of the President of the United States on
the Trade Agreements Program.
Exports from the United States to China are far outweighed by goods
imported to consumers in our country by China. According to the Library
of Congress, our trade deficit with the Chinese was nearly $57 billion
in 1998 and, as our country's fourth largest trading partner, China is
poised to exceed our trade deficit with Japan within a few years. High
tariffs, in some cases in excess of 100%, restrictions on distribution,
restrictions on investment, and non-tariff barriers including quotas
remain substantial impediments to market access for U.S. companies. In
my opinion, this trade imbalance is troublesome and we must signal our
intention to China that the playing field for American businesses must
be leveled.
By opposing this bill we send a message to China that improvements
regarding human and worker rights, our growing trade deficit,
intellectual property protections, and child labor must be made before
permanent normal trade relations, and child labor must be made before
permanent normal trade relations is granted.
Again, Mr. Speaker, I urge my colleagues to oppose PNTR for China.
Mr. STENHOLM. Mr. Speaker, I rise in support of the bill to provide
for normal trade relations with China on a permanent basis, otherwise
known as PNTR. I will focus my remarks on the potential benefits of
this market opening agreement for U.S. farmers and ranchers. I believe
those benefits will be significant, and I am in good company in that
belief. Nine Secretaries of Agriculture who have served since John F.
Kennedy support PNTR for China. But like my colleagues, my decision is
much more broadly based. I believe that United States engagement with
China will help persuade the Chinese to play by the rules in
agricultural trade, and cause China to improve its record on human
rights, labor, and environmental issues. And I am in good company in
this belief as well--Billy Graham; former President Jimmy Carter;
Martin Lee (champion of Democracy in Hong Kong); Dai-Ching (Chinese
investigative journalist and environmentalist); all agree that the best
way to improve China's performance on human rights and the environment
is to engage China.
benefits for agriculture
china's need
I have heard the argument that China, with 21 percent of the world's
population and 7 percent of the world's arable land, doesn't need U.S.
agricultural products. Some have stated that between 1992-1998, China
exported about $4 billion more in agricultural products than it
imported in each of those years. But this does not reflect the
significant agricultural imports that enter China ``off the books''
through Hong Kong. If we look at agricultural trade for China and Hong
Kong for the 1992-1998 period, we get a clearer picture of the full
potential of the Chinese market. According to the U.N. Trade Database,
China and Hong Kong annually imported about $5.5 billion more in
agricultural products than they exported. If you include fish and
forestry, China and Hong Kong's net annual deficit in agricultural
imports was even larger--$6.9 billion. And these numbers do not reflect
the predicted growth of China's middle class, and its increased demand
for meat and other agricultural products. USDA's Economic Research
Service [ERS] and private United States agricultural commodity groups
believe that China will continue to be a major market for United States
agricultural products, and that China's accession to the WTO will
expand that market.
summary of china's wto agreement
With regard to the agricultural products that U.S. producer groups
identified as priority items, the average tariff will fall from 31
percent to 14 percent. This means that these United States agricultural
products will face less than half the tariff they currently face in the
Chinese market. China has agreed to end import bans and its
discriminatory licensing system for bulk commodities, including wheat,
corn, cotton, rice, and soybean oil. China has also agreed to establish
a WTO consistent tariff-rate quota [TRQ] system with in-quota tariffs
of 1-3 percent. Specific rules for the administration of these TRQs,
and a percentage of trade reserved for non-state trade, will help to
ensure the quotas get filled, and will increase demand for U.S.
agricultural products. All of this ensures an initial minimum level of
access for wheat, corn, cotton, rice, and soybean products--that will
increase as the agreement is fully implemented.
China's commitment on export subsidies means that United States
exports of corn, cotton, and rice will not compete with subsidies from
the Chinese government in third country markets, such as South Korea,
Malaysia, and Indonesia. China's commitment to cap and reduce domestic
subsidies will reduce incentives to overproduce. China's commitment to
provide greater transparency with regard to its domestic subsidies will
increase predictability with regard to China's agricultural production.
China has also agreed to abide by the WTO agreement on Sanitary and
Phyto-sanitary regulation, and has already implemented rule changes
that have allowed imports of United States citrus, wheat, and meat.
China has also agreed that the United States may continue to use its
anti-dumping methodology for 15 years, and has agreed to an additional
``product-specific'' 12-year safeguard provision. Together, these
provisions give U.S. producers a level of protection above and beyond
that provided for under normal WTO rules.
Finally, China has agreed to allow any entity to import most products
into any part of the country within 3 years of accession, and to
liberalize distribution services for agricultural products. This means
United States companies will be allowed to market their products in
China. Let's look at the potential of this agreement for some specific
commodities. For cotton, China committed to a tariff-rate quota of
743,000 tons for cotton in 2000, increasing to 894,000 in 2004. The
within-quota duty would be 4 percent and the over-quota duty would
decline from 69 percent in 2000 to 40 percent by 2004. Nonstate trade
companies get \2/3\ of the quota, which means we help avoid the problem
we have sometimes had in the past with quotas going unfilled. USDA's
Economic Research Service [ERS] projects that if China did not join the
WTO, it would import cotton worth $565 million in 2005.
If China does join, ERS projects that its cotton imports would
increase to $924 million by 2005. That's why National Cotton Council
President Ronald Rayner congratulated U.S. negotiators on the
agricultural agreement, stating that it will ``benefit the U.S. cotton
industry with greater access to the Chinese market and a promise of
less subsidization by the Chinese''. For corn, China committed to
establish a 4.5 million ton tariff rate quota in 2000, rising to 7.2
million by 2004. Within quota imports would be subject to a 1 percent
duty, and over-quota duties would be 77 percent in 2000, dropping to 65
percent by 2004. Nonstate trade companies get \1/4\ of the quota in
2000 rising to 40 percent by 2004. ERS projects that China's net
imports of corn in 2005 will increase by $587 million, if it joins the
WTO. United States exports to China have averaged about 47 million
bushels over the past 5 years. The National Corn Growers Association
states that ``we have an opportunity to triple that average if, when
China joins the WTO, the United States is prepared to grant China
permanent normal trade relations.'' The Corn Growers add: ``China's
impressive growth in national income is projected to lead to increased
consumption of food and fiber. At the same time, growing resource
constraints on agricultural production are making China increasingly
reliant on trade.''
For wheat, China committed to a tariff-rate quota of 7.3 million tons
in 2000, rising to 9.64 million in 2004. In quota duty would be 1
percent and out of quota duty would be 77 percent in 2000, falling to
65 percent by 2004. Nonstate trade companies get 10 percent. ERS
projects that China's net imports of wheat in 2005 will increase from
$231 million to $773 million, if it joins the WTO. What does the
National Association of Wheat Growers say?: ``The United States market
is currently open to China; this agreement serves to open the Chinese
market to American products and services. This agreement will give
United States wheat producers a far greater sales opportunity to a
country with 1.2 billion consumers, with a potential 10 percent
increase in total annual United States wheat exports.''.
[[Page H3731]]
For soybean products, China has agreed to a tariff rate quota of 1.72
million tons of soy oil in 2000, rising to 3.26 million in 2005. The
in-quota duty is 9 percent and over-quota duty is 74 percent in 2000,
falling to 9 percent in 2006. Nonstate traders get half the quota in
2000 and 90 percent by 2005.
ERS projects that China's net imports of soybean products in 2005
will increase by $180 million, if it joins the WTO. Here's what the
American Soybean Association has to say: ``ASA strongly supports WTO
membership for China, and urges Congress to extend permanent NTR status
to China.''
conclusion
Overall, the Economic Research Service concludes that China's
implementation of its WTO obligations between 2000 and 2004 will add $2
billion to the bottom line for United States farmers and ranchers in
2005. And ERS is not alone in its view. According to Worldwatch's
Lester Brown, China's water supplies in its grain-producing areas are
falling at a high rate. Brown sees massive grain imports and growing
dependence on U.S. grain. A report dated May 23, 2000 from Kyodo News
International confirms Brown's story, stating ``A severe drought in
northern and eastern China threatens millions of hectares of crops and
is causing widespread drinking water shortages.''. The total area
affected is about 31 million acres. The Farm Bureau also expects great
benefits from China's accession to the WTO: ``U.S. exports to the Asian
region as a whole are expected to increase in the next few years as a
result of China's accession into the WTO. This is likely to occur as
Chinese consumption levels increase, domestic production patterns skew
more to global prices, China ceases to employ export subsidies, and
there is a commensurate decline in Chinese agricultural exports to the
Asian region. While this agreement may be with China, it will have
impacts far beyond Chinese borders.'' To put ERS numbers on China into
context, I will mention another number, and that is the amount farmers
and ranchers lost in 1996 due to various U.S. economic sanctions placed
on countries around the world.
According to the ERS, we lost half a billion dollars in 1996 due to
those sanctions. But that is less than a fourth of the $2 billion ERS
says we will lose in 2005 if we do not grant China permanent normal
trade relations. All six of the countries currently under sanctions
(Cuba, Iran, Iraq, Libya, Sudan, and North Korea) together import only
$7.7 billion in agricultural products each year. That's about half of
the $14 billion worth of agricultural products China imports annually.
Fortunately, we are moving in the right direction in our policy on
sanctions, and the administration's changes last year have allowed
sales of corn to Iran and wheat to Libya. Let's move forward on China
too, and stop giving away agricultural markets to our competitors. And
let's do so just because this is a good deal for farmers and ranchers.
Let's think about what the Billy Graham Center has to say about
permanent normal trade relations with China. And, by the way, they are
the ones who coordinate services for more than a hundred Christian
organizations involved in service in China. They say that denial of
PNTR will ``seriously hamper the efforts of Christians from outside
China who have spent years seeking to establish an effective Christian
witness among the Chinese people''. I urge your support for permanent
normal trade relations with China.
Mr. SHAYS. Mr. Speaker, today, we will make a crucial decision about
our place in the global economy. The question of voting for permanent
normal trade relations with China is easily answered in economic,
social and political terms. Formalizing a freer trading relationship
with China will help American employees and employers alike. For China,
PNTR will promote democracy, a better standard of living, and
ultimately improve human rights. The vote on PNTR is a necessary step
toward China's full membership into the World Trade Organization [WTO].
Members of the WTO agree to be governed by a set of rules allowing for
a relatively open trading relationship among them.
For China to complete its accession to the WTO, it will have to
change many of its laws, institutions and policies to make them conform
with international trade rules. China must complete negotiations with
the WTO, and separately with its various trading partners within the
WTO, including the United States. China is the world's third largest
economy after the United States and Japan, and the largest not a member
of the WTO. It has the world's 10th largest trade economy. If we fail
to pass PNTR, our economic competitors in Europe and Japan will have
greater access to this huge and still-growing Chinese market--while our
own access will still be blocked. American business can compete
anywhere in the world and win--if it is given a relatively level
playing field. The bilateral agreement signed in November 1999 forces
China to remove protectionist barriers to its markets, while protecting
import-sensitive American industry from a flood of new Chinese imports.
The United States has made no significant concessions to China,
because we already have few barriers to our market. The agreement gives
our business equal access to the Chinese market. The American export
sector--which already accounts for 11 million jobs--will be
strengthened further. According to most experts, China is on the verge
of huge infrastructure expenditures over the next few years as it
attempts to catch up with Europe, Japan, and the United States. Most of
these projects will be contracted to Western firms. This could be a
boon to southwestern Connecticut. In 1998, the Stamford-Norwalk area
alone exported $86 million worth of goods to China.
There are some in Congress and throughout our country who want to
deny PNTR to China to punish it for its terrible human rights record.
But closing off China will not bring any improvement in the way it
treats its citizens. An isolated China will continue to repress its
population and forestall the onset of democracy and freedom. A nation
cannot engage in free trade without educating its citizens. The more
educated a country's citizens become, the more they want and are
empowered to demand an open society and freedom. In truth, the most
subversive action we can take towards the oppressive Chinese regime is
to encourage free trade. Communist hardliners argue the defeat of PNTR
will make it easier for them to thwart the movement toward democracy
and capitalism. In the absence of interaction with the United States,
these hardliners will be able to restrict communication, stop foreign
travel, and pull the plug on the Internet. Reform will wither on the
vine.
Taking a look at recent history, Communist dictatorships that had
interaction with the West--the Soviet Union, Poland, Romania and
Hungary--are dead. Those shut off from the rest of the world--Fidel
Castro's Cuba and Kim Jong Il's North Korea--are still brutalizing
their citizenry. For me, the issue is clear. PNTR is essential to our
full participation in the emerging economy of the future. We win access
to Chinese markets. China becomes exposed to the type of information
and prosperity that builds democracy and freedom. Candles give way to
electric lights. The horse and carriage gave way to the automobile.
Typewriters gave way to word processors and ocmputers. We cannot repeal
the law of gravity. We are in a world economy, and China is a large and
vital part of that economy. Permanent normal trade relations with China
should be approved by Congress and welcome by all Americans.
Mr. KNOLLENBERG. Mr. Speaker, this is an historic day for the
workers, business leaders, and reformers in China and the United
States. Today Congress has the opportunity to push our relations
forward by breaking down the walls surrounding China and supporting its
entrance into the World Trade Organization. As we cast our votes today,
I ask my colleagues to carefully consider the incredible potential this
opportunity offers for the Chinese and American people. Passing PNTR
supports freedom in China.
As long as China's barriers to the United States remain, our
relationship with the Chinese people will be restricted. By breaking
down Chinese barriers to trade, while enhancing our own protections, we
are creating new opportunities for American and Chinese people to work
together and develop new ways to agree. Bringing China into the WTO
will increase the exchange of cultures and ideas, which will in turn
foster new areas of cooperation and progress. This is the most
effective way to provide support for the reform-minded Chinese people
who need our help the most. On their behalf, Congress should extend
PNTR to China. Passing PNTR also supports the United States.
Some Members may come to the floor today to claim the United States
workforce and economy will suffer from greater competition with China.
However, these Members are misinformed. To the contrary, the United
States Trade Representative should be congratulated for her effective
negotiations. This is a one-way deal. The United States will continue
our current tariff levels on all Chinese imports, with new protections,
and in return China will drop its average tariff level by 62 per cent.
By voting yes, only China will have to change its laws.
This vote is about the power of economic freedom and prosperity, as
displayed in the United States. It is true that as China expands into
the world markets of goods and services, the United States will face
new competition. It is also true that for the first time, the domestic
Chinese economy will face direct competition from the United States.
The American economy is leading the world--primarily as a result of the
strength of the American workforce. I have faith in the productivity
and entrepreneurial spirit of the American economy to continue this
leadership and find new opportunities for success in China. Congress
should embrace trade with China, and the competition it brings, because
this will lead to a higher standard of living for the people of the
United States as well as the people of China. That is how we make
progress.
[[Page H3732]]
Mr. Speaker, I urge my colleagues to carefully consider the
incredible opportunity this vote offers. On behalf of American and
Chinese workers, businesses, and reformers, I urge my colleagues to
support progress with China and vote for PNTR.
Mr. CASTLE. Mr. Speaker, I rise today in support of H.R. 4444, to
authorize extension of permanent normal trade relations [PNTR] to the
People's Republic of China [PRC]. I do so because, fundamentally, I
believe that extending PNTR to the PRC is in the United States' short-
term and long-term national interest. Our economic interests and our
democratic values necessitate extending PNTR to the PRC.
Extending PNTR to the PRC is in our national interest because
extending PNTR is a necessary precondition for United States companies
to enjoy the full advantages of China's entry into the World Trade
Organization [WTO] and the fruits of thirteen years of difficult
bilateral negotiations between the PRC and the United States. For my
State of Delaware, this bilateral agreement opens perhaps the most
important emerging market to our exports, benefitting key industries
and creating export and employment opportunities. Extending PNTR to the
PRC would significantly benefit Delaware's key export sectors,
including agriculture, poultry, insurance, financial, and chemical
products.
According to the United States Department of Commerce, Delaware's
merchandise export sales to China in 1998 totaled $69 million, up 17
percent from $59 million in 1993, and China ranked as Delaware's 16th
largest export destination in 1998. Delaware's exports to China are
becoming more diversified, with 1998 exports encompassing 17 different
product categories, up from 12 product sectors in 1993. In twelve of
these product sectors, exports from Delaware to China more than doubled
from 1993 to 1998.
I believe those who claim that the PRC will benefit more from
receiving PNTR with the United States are mistaken. The United States
will greatly benefit from PNTR with China, because currently the United
States market is already open to Chinese exports. To join the WTO and
receive PNTR, China must make all the concessions--opening its markets,
eliminating barriers, and implementing comprehensive trade and
investment reforms. As a result, the terms for Chinese WTO membership
represent an extraordinary breakthrough for Delaware workers, farmers,
and consumers. Delaware clearly will have expanded opportunities to
extend its exports to Chinese markets, and ensuring that China adhere
to global trade rules is in Delaware's strong interests.
Because China has received Normal Trade Relations under United States
law annually since 1980, United States tariffs would remain exactly the
same if PNTR is approved. In contrast, failure by Congress to extend
PNTR would squander 14 years of negotiations, invite the unraveling of
China's extensive WTO commitments and shut American companies and
farmers out of the world's biggest emergency market for years to come.
The stakes involved are high. Trade is much more than the sale of
U.S. goods and services. It is also an exchange of ideas, beliefs, and
values that changes and enriches all who participate. When we trade
with China and bring it into the integrated global trading arena, we
are in a strong sense exporting our American democratic values, beliefs
and practices. To be sure, there are real hurdles that China faces with
our relationship with it, but engaging and enveloping and integrating
China into ``the world of trade'' is tremendously important. We realize
that implementing the agreements associated with PNTR will be slow and
difficult, but Chinese government leaders and economists hope the
process of normalizing trade with the United States will help close
inefficient state enterprises that employ a great number of Chinese,
and help reduce government censorship.
Like most Americans, I continue to be concerned that despite the
positive influence trade with the United States has had on China's
development toward more open, liberalized trade policies, serious human
rights, trade, security, and weapons proliferation issues remain.
Though sometimes it seems difficult to see how these things have
improved, I would observe the following: the number of international
religious missions operating openly in China has grown rapidly in
recent years. Today, these groups provide educational, humanitarian,
medical, and development assistance in communities across China.
Despite continued, documented acts of government oppression, people in
China nonetheless can worship, participate in communities of faith, and
move about the country much more freely today than was even imaginable
twenty years ago. Today, people can communicate with each other and the
outside world much more easily and with much less government
interference through the tools of business and trade: telephones, cell
phones, faxes and e-mail. On balance, foreign investment has introduced
positive new labor practices into the Chinese workplace, stimulating
growing aspirations for labor and human rights among Chinese workers.
Nevertheless, we must continue to work to improve human rights and
expand freedom in China. I have voted for legislation which
overwhelmingly passed the House that voiced my strong disapproval of
China's actions and policies. We can and must continue to place
pressure on China without punishing American businesses and farmers. I
have voted to direct House committees to hold hearings and report
appropriate legislation to the House addressing U.S. concerns with
China's trade practices, human rights record, military policy, and
promotion of weapons proliferation. I do not believe that the annual
congressional debate, linking justifiable concern for human rights and
religious freedom in China to the threat of unilateral United States
trade sanctions has been productive. Some will say, the debate on the
problems we have with China will end if we extend PNTR to China. To
those I say, the debate will never end, and the pressure will never
cease until China demonstrates a commitment to a freer and democratic
nation. Indeed, by extending PNTR to China, the pressure on China to
address our concerns may prove to be even greater and more consistent.
Clearly, the Chinese Government has a long way to go, and the
positive developments we seek will no doubt come about gradually. The
issue now before the House of Representatives is how to best encourage
China to respect international norms of behavior in all areas, and what
can the United States government do that will best advance human rights
and religious freedom for the people of China. Are conditions more
likely to improve through isolation and containment, or through opening
trade, investment, and exchange between peoples? The answer is clear to
me.
I believe the best way to encourage the type of behavior we desire is
through policies that promote the rule of law, free trade, economic
reform, and democratization in China, for these are the seeds from
which democracy can grow. Therefore, I believe the U.S. should continue
to pursue our historic and longstanding policy of ``engagement,''
rather than containment, with China, based on the premise that the
United States will be best able to influence the growth of democracy
and market-oriented policies in China through enhanced diplomatic and
trade ties, which over time will hopefully bring improvements in human
rights and economic conditions. The Chinese government in much more
likely to develop the rule of law and observe international norms of
behavior if it is recognized by the U.S. government as an equal,
responsible partner within the globalized trading community of nations.
History has shown that when people are empowered economically, they
also become empowered politically. Economic freedom precipitates
political freedom. China's citizens will come to have greater choice
about their lifestyles and employment and to enjoy enhanced access to
communication and information from the United States.
The longer China's trade is governed by the rule of law and is
transparent, the quicker they will assimilate into the global system of
trade, and raise their standard of living. U.S. private enterprises
trading with Chinese private enterprises will help change the status
quo between our nations better than any diplomatic agreements we may
enter into. As noted earlier, although I am dissatisfied with some of
China's recent actions, I am convinced we still need to maintain
mechanisms for engagement, and a functioning, bilateral trade
relationship provides a framework for helping to restore our long-term
interests in China. Human rights must not be violated, and the U.S.
will not trade with people who do not provide their own citizens basic
human rights and decencies. However, I believe that entering into PNTR
is in our national interest, and that not going forward with it would
undermine any competitiveness we have with China, while it itself
enjoys all the advantages that PNTR provides with every other of the
133 WTO member-nations. China must adopt free and fair trade practices,
and we should help facilitate that as much as we can, without
sacrificing our values.
This legislation includes important authority to allow the Congress
to monitor China's compliance with this agreement. This includes a
process which would begin with an annual report from the U.S. Trade
Representative, followed by hearings on Chinese trade practices.
Congressional panels could then instruct our trade representative to
investigate any trade violation and pursue a resolution through the
WTO, the 135-member body that sets the rules for international trade.
Also included in this legislation is the establishment of a
congressional-executive commission that would pressure China to improve
its record on human rights, labor, and rule of law, providing for
enhanced monitoring of China's conduct in areas from trade to human
rights, as well as efforts to make labor rights a higher priority in
U.S. trade policy.
China is at a turning point in its history. A yes vote on normal
trade can help propel it
[[Page H3733]]
forward to greater liberalization and engagement with the West. A no
vote will encourage Chinese hard-liners to resist change, and even be
perceived in China as a vote for confrontation. It will weaken those
who work for change, and strengthen those who oppose it at any cost.
Our choice is clear. We can try to push China in the right direction,
and gain the benefits, or, we can force them in the wrong direction,
and pay a price. But standing for freedom, democracy, human rights,
security and peace, we must extend Permanent Normal Trade Relations to
the People's Republic of China today.
Mr. VENTO. Mr. Speaker, I rise today in strong opposition to H.R.
4444, legislation which would grant Permanent Normal Trade Relations
[PNTR] status to China.
To be honest, the idea of permanently altering our relationship with
China troubles me. We have been wooed into complacency with the trade
agreements hammered out last fall in the WTO accession negotiations.
But the million dollar question that no one seems to be asking is: If
China plans to abide by their promises, why are they--and why are we--
afraid of a yearly review? The fact is that China has repeatedly
violated trade agreements and has all but acknowledged that this time
will be no different. Why do we think that a permanent extension will
be the magic tool to make China suddenly change their ways? It defies
logic. In fact, PNTR commends the existing track record of violations
and noncompliance. A yearly review of our trade relationship with China
may not be the ideal way to promote change. It is, at best, a blunt
instrument. But it is one of the only mechanisms we have today to
highlight this regime's lack of compliance with internationally
accepted norms. The PNTR advocates have conjured up a crisis in which
only approval will save the day and U.S. face. This is a farce and a
mistake that will overshadow any prospect for real progress on key
human rights and economic justice issues that affect China/U.S.
relations.
Repeatedly, China's government has proven itself to be one of the
most oppressive in the entire world. Many of my colleagues are willing
to turn a blind eye toward these injustices--clamoring to capitalize on
a promise of economic gain, with indifference to the human indignities
upon which it may be built. But even this ``expanded market'' rationale
is flawed. If China were indeed a market for ``Made in the USA'' goods,
expanding trade could have the potential of boosting our economy and
helping working Chinese families. And conversely, if we were importing
goods from Chinese owned businesses, we might have a small opportunity
to promote free enterprise with China. However, neither one of these
scenarios reflect reality. American companies merely use China as a
production platform--a manufacturing site for goods, which are then
sold in the United States for inflated profit! Jobs that have
traditionally provided American workers with living wage employment
within the USA and a real chance to join the middle class are being--
and will continue to be--exported to China, where companies can exploit
the labor conditions and people. The notion that somehow this trade
policy will turn China around on a dime is wishful thinking; it is time
to face reality and get our heads out of the clouds.
Why would we lower the standards and protections that provide the
foundation of our economy and prosperity? Trade pacts have too often
been the Trojan Horse that undermines progress in emerging areas not
only in the host of human rights issues, but also environmental policy,
health, and safety standards.
Don't vote for the PNTR proposition that says; ``Heads we win, tails
you lose.'' This, simply put, is a false syllogism, a created crisis
that will lead to higher trade deficits with little prospect for a
sound economic or social order in U.S./China policy. Amendments and
study commissions aren't the answer. Congress doesn't have to reinvent
itself and set up special groups, in essence trying ourselves and our
deliberation process in knots to justify oversight and some phony
``monitoring'' scheme. If Members of Congress can't vote now on the
reality of the situation before us, what would lead the PNTR advocates
to believe we would be more willing once this policy is actually in
place?
I will not vote to relinquish ability to annually review China's
record, to advocate for my constituents' interests, and to promote the
core values that have sustained our nation as the world's most
successful economy and the promise for individual human rights around
the globe. I urge my colleagues to join me in opposing this
legislation.
Mr. COMBEST. Mr. Speaker, I rise in strong support of H.R. 4444, a
bill that will grant permanent normal trade relations to China. This
agreement is a tool U.S. farmers and ranchers can use to their great
benefit.
China represents an agriculture market that is vital to the long-term
success of American farmers and ranchers. Agriculture trade with China
can strengthen development of private enterprise in that country and
bring China more fully into world trade membership.
The economic benefits of this agreement for U.S. agriculture are
clear. China's participation in the WTO will result in a least $2
billion per year in additional U.S. agricultural exports by 2005.
More than 80 U.S. agricultural groups support extending permanent
normal trade relations to China. This is what a few of them have to say
about the benefits of the U.S.-China agreement.
The U.S. wheat growers say that PNTR with China represents a
potential 10% increase in U.S. wheat exports.
U.S. pork producers believe that China PNTR could pave the way for an
increase in the value of hogs by $5 per head.
Poultry producers say that because China is already the largest U.S.
export market for poultry ($350 million in 1999), under PNTR, it could
become a $1 billion market in a few years.
Cattle producers believe that a vote against China PNTR is a vote
against them. They expect to almost triple beef exports to China by
2005.
U.S. corn growers believe they have the opportunity to immediately
triple their 5-year average of corn exports to China with acceptance of
permanent normal trade relations.
Some who oppose normal trade relations with China will say that China
has an agricultural glut and will never buy U.S. agricultural products.
That is not true according to USDA's Economic Research Service. They
say that China's accession to the WTO means that U.S. farmers and
ranchers can sell an additional $1.6 billion worth of staple
commodities by 2005. On top of that, $400 million of U.S. fruits,
vegetables, and animal products can be sold by 2005 with China's entry
to the WTO. That's $2 billion more of agricultural exports by 2005.
Still others argue that China is self-sufficient in agricultural
production, that it produces enough to feed its own people and it does
not need U.S. commodities. The trade numbers do not reflect that at
all.
According to the United Nations statistics, during the 6-year period
ending in 1998, China was a net importer of agriculture products every
year. During this period, China's average trade deficit was $5.5
billion for agricultural products. If fish and forestry are included
with other agricultural products, the deficit goes up to $6.9 billion.
The Worldwatch Institute Chairman Lester Brown says that China's
water supplies in its grain-producing areas are falling at a high rate.
He sees massive grain imports and growing dependence on U.S. grain.
China imports large amounts of U.S. agriculture commodities right now,
some through Hong Kong ($2.5 billion in 1999 of agricultural, fish and
forestry products). As the diets of the Chinese improve, there will be
more demand for high quality agriculture products and valued added food
products. This is what U.S. farmers and the food industry can provide
to Chinese consumers.
China has access to the U.S. market right now. China will become a
member of the WTO and after its accession will still have access to the
U.S. market. The vote on normal trade relations with China will decide
whether U.S. agriculture will have improved access to the Chinese
market or will cede that market to the competitors of U.S. agriculture.
Without approval of H.R. 4444, or agricultural competitors around the
world will gain the benefit of the agreement negotiated by the United
States with China and our farmers and ranchers will not. We cannot
allow that to happen.
Without approval of H.R. 4444, no enforcement mechanisms will be
available and the U.S. will not be able to use WTO dispute settlement
provisions, a critical weapon to ensure U.S. trading rights. The
ability to enforce tariff rate quotas will be undermined. The U.S.
could not challenge Chinese export or domestic subsidies that hurt U.S.
exports in other markets. We could not enforce the benefits of the
sanitary and phytosanitary agreement that was negotiated with the
Chinese and is important to U.S. citrus, wheat and meat producers.
Additionally, the special safeguard provisions, to protect against
import surges, negotiated by the U.S. would not be available.
[[Page H3734]]
The economic case for supporting permanent normal trade relations
with China has been made, especially for U.S. agriculture. It is
crystal clear; we have nothing to lose and everything to gain.
I strongly urge my colleagues to support H.R. 4444. A vote for this
bill is a vote of support for United States farmers and ranchers.
Mr. PORTER. Mr. Speaker, as we enter into debate today on normalizing
trade with China, there are certain realities which must be
acknowledged. Reality one, the human rights abuses in Chinese today are
abominable. China continues to deny its citizens the most basic of
human rights: freedom of speech, freedom of assembly and freedom of
worship. Reality two, China will enter into the World Trade
Organization whether Congress passes PNTR or not. Reality three,
isolating China from the United States and the rest of world, will not
improve human rights for the Chinese.
I would like to thank the gentleman from Nebraska (Mr. Bereuter), the
gentleman from Michigan (Mr. Levin) and the gentleman from California
(Mr. Dreier) for including an essential human rights provision in the
Levin-Bereuter package--increasing authorization funding for
international broadcasting operations in China and neighboring
countries.
A fundamental prerequisite to political and economic freedom is an
informed citizenry. One of the best and most cost-effective ways to
help enhance the respect for human rights abroad is to disseminate
reliable information that serves to foster the spirit of democracy in
closed societies. Arming citizens with reliable, accurate information
will eventually enable them the power to create change. By doing so,
not only is the U.S. interest served by helping to spread democracy,
but democratic activists are also empowered to challenge the status
quo.
Successful in the former Soviet Union and Eastern Europe, Radio Free
Europe/Radio Liberty provided this accurate information to help bring
down the Iron Curtain. Radio Free Asia as a surrogate for a free press
in the People's Republic of China, along with Voice of America, provide
an invaluable source of uncensored information to the Chinese people.
RFA currently broadcasts 24-hours a day in three languages in China
(plus Tibetan in Tibet), and VOA broadcasts 126 hours a week in three
languages with five hours a week of television.
Unfortunately, however, many of these signals do not reach the
intended audience because of the jamming practices of the Chinese
government. Stronger signals are needed to counteract this jamming.
Internet is a medium increasingly used by the Chinese, however the
government jams these sites as well.
The number of Chinese who risk their lives by listening to RFA and
VOA is staggering. More staggering is the number of Chinese who put
their lives in jeopardy by calling into RFA's ``call in'' shows. In the
first three months of this year alone, RFA reported an average of
27,200 calls per month. Unfortunately, due to the limited resources of
RFA less than 2% of these callers were able to speak with RFA
broadcasters. The United States is the wealthiest country in the world.
Surely, during this time of unparalleled economic boom we can find a
few more dollars in our budget to provide resources so these callers,
callers who risk their lives by simply picking up a telephone, may be
allowed to have their voices heard.
As China struggles with democracy, human rights and freedom, the
importance of independent media sources cannot be underestimated. The
Chinese government will be less likely to commit abuses (if RFA and VOA
are shining light on their injustices while promoting democracy and an
understanding of our country. If we hope to bring stability and
democracy to Asia, we must not isolate the largest country in the
world. We must not turn our backs on the those fighting for freedom and
the rule of law. I support extending permanent normal trade relations
with China and do not oppose China's entry in the World Trade
Organization. I strongly believe that membership in the WTO can be used
as a catalyst for reform in China. Through greater involvement in the
world community and economic liberalization, China will become a more
responsible nation, with one day a reality of respecting human rights
and the rule of law.
Mr. NUSSLE. Mr. Speaker, I rise today to share my support for H.R.
4444, legislation to amend the Trade Act of 1974 to grant normal trade
relations to China. I support H.R. 4444 because I believe this
legislation will not only open Chinese markets to United States
products, but will also serves as the next best step we can take in our
relationship with China.
I believe I join all of my colleagues in saying that I have serious
concerns about the Chinese government, most specifically the current
trade deficit, national security concerns, and human rights violations.
In 1980, we first granted China annual Most Favored Nation (MFN)
status, now known more accurately as Normal Trade Relations (NTR). The
nature of the annual review was supposed to give the U.S. leverage in
negotiations with China. However, since then, annual renewal has become
just another exercise, and I believe H.R. 4444 will put us back on the
path towards results. We need to be engaged with China, and to be an
influence in China in order to have an effect on how that nation
governs.
China is going to join the World Trade Organization regardless of
what this Congress does today. The question is whether the United
States is going to take advantage of China being a member of the WTO
and allow our farmers and manufacturers access to this market. We know
other countries will.
One critical aspect of China's ascension to the WTO is that it will
change the leverage. The U.S. doesn't have to stand alone anymore in
our disputes with China, but rather, we will stand along with the
entire 169 nations of the WTO. Everyone in this room knows that the WTO
is not a perfect organization with perfect policies, but every meeting
of WTO member countries brings new ideas and suggestions for improving
the organization. The U.S. will sit at the table while the WTO evolves
its policies and lives up to the name World Trade Organization. The
only alternative, two nations battling it out, is much less effective,
as history has also demonstrated.
History has taught us some valuable lessons about dealing with
foreign nations. We have learned from experience that isolation does
not work. We don't even have to travel one hundred miles from Florida
to see a perfect example of trade sanctions gone awry. The 1970s
embargo against the then Soviet Union is another prime example of
failed isolationism. The Soviets laughed at the U.S., while our farmers
suffered. History has taught us that engagement is the key to results.
Engagement allows us to address our concerns about a foreign nation's
policies, all while expanding opportunities to our own farmers and
manufacturers.
World trade is critically important for agriculture, and 23 percent
of Iowa's entire workforce is in some way tied to agriculture.
Everything is connected--almost 40 percent of our entire economy relies
on trade with other countries. Today's vote has been described in terms
of ``granting'' something to China, but it really means jobs for Iowans
and new customers for Iowa businesses.
To me, the most important aspect of China's ascension is that it will
even the decks on trade tariffs. For too long, the tariffs on U.S.
goods going into China have proven insurmountable for farmers and
manufacturers in my district who wish to export to China. The deal
struck by Ambassador Barshefky will open doors that have been closed
for too long.
Opponents of this deal like to claim that it opens the U.S. to China.
Apparently, they haven't looked at the trade agreement, and I would
also guess that they haven't been out shopping since 1980. Everytime I
walk in a store, I pick up products with a ``Made in China'' label on
them. The agreement we are voting on today is one-way; our way. It
opens the doors for America, not the doors of America.
A farmer from my district, Dave Kronlage of Delaware County, traveled
out to Washington on February 16, 2000, to testify before the Ways and
Means Committee about China. Dave has done everything he can to profit
from his business, including minimizing his risks and by joining with
area farmers to create their own meat company, Delaware County Meats.
Dave and other farmers, however, are running out of options for
increasing their profitability. He told the Committee that China's
ascension to the WTO will provide an estimated 7.7 percent increase to
his income. In Dave's view, the next move belongs to Congress, and the
next move will be made today.
In 1996, we made farmers three promises, to reduce taxation, to
reduce regulations, and improve access to foreign markets. We can stand
here and argue about how successful Congress has been at the first two,
but I don't think there is anyone in this body that will claim that
Congress or the President has helped open new markets to farmers. Now
is our chance to rectify this shortfall.
My state is the nation's largest pork, corn, and soybean-producing
state. Last year, China's increase in pork consumption was roughly
equal to the pork produced in Iowa. Yet, we sold not one pork chop to
China last year. While pork producers like Dave Kronlage saw their
equity evaporate through $8 per hundredweight prices last year, trade
with China was not an option.
Normal trade relations with China will put Iowa pork chops, Iowa
corn, and Iowa manufactured goods on the shopping lists of 1.3 billion
Chinese people. Secretary of Agriculture Dan Glickman estimates
agriculture exports will triple, putting another $5 per head in the
pockets of Iowa pork producers, and increasing demand for Iowa corn by
360 million bushels. That's the total annual corn production by every
one of the 21 counties in Iowa's Second District.
[[Page H3735]]
The U.S. produces far more food and manufactured goods than Americans
can possibly consume. That means we have to find customers outside the
boundaries of the United States. We cannot ignore 1.3 billion customers
in China, watch them shop elsewhere, and expect this country to
continue as a leader in the world economy.
With one vote, we can hand a market of 1.3 billion people to our
farmers, and simply say ``Better late than never.'' Now is the time.
This is the best move to make for farmers and manufacturers in the U.S.
This is the best move to make for advancing relations with China that
could lead to meaningful changes in China's style of governing. And
this is the best move for this Congress to make for the future of our
economy. I urge my colleagues to vote in favor of H.R. 4444.
Ms. BALDWIN. Mr. Speaker, I, like many of my colleagues, have spent a
great deal of time talking and listening to my constituents on the
issue of granting Permanent Normal Trade Relations for China.
I have heard from a wide range of voices. These voices represent
America's broadly based interests, reflecting our democratic values,
like free speech, freedom of religion, the right to privacy, and the
right to organize. I have heard from workers in my district who fear
they would lose their jobs to China. I have heard from environmental
activities who are angry that China has made no attempt to adhere to
environmental standards.
And I have heard from many constituencies who are deeply troubled by
the religious, political, and human rights oppression China has
continued to engage in. Veterans have approached me with their concerns
about the well-documented violations of human rights. Religious groups
and individuals have called and written about China's lack of true
religious freedom. Women activists are outraged by the forced abortions
that continue in China. Students at the University of Wisconsin oppose
the forced labor and inhumane working conditions that continue to
plague Chinese workers.
After listening to the broad range of my constituents's concerns, I
cannot in good conscience vote to grant China Permanent Normal Trade
Relations and put profit over labor, environmental and human rights.
China has violated every trade agreement over the past twenty years
and Chinese officials are already backing away from commitments they
made only months ago. I believe we must broaden our policy of
engagement with China and restore the link between human rights and
trade.
Mr. LEACH. Mr. Speaker, the House gathers today to consider an issue
of seminal importance for the national interests of the United States:
the case for Permanent Normal Trade Relations (PNTR) with China and
China's prospective membership in the World Trade Organization (WTO).
There can be little doubt that this is the most consequential foreign
policy legislation upon which this Congress has been asked to address
in the new millennium. Impressively, the vast majority of Members
appear united on the principle that it is in the interests of the
United States to develop a credible strategy for integrating China into
the world economy as a responsible power that accepts international
political and trading norms. What is at issue is means, not ends; that
is, whether granting PNTR advances U.S. interests and values in modern
China.
In my judgment, approving PNTR for China is in the enlightened self-
interest of the people of the United States and of China. It promotes
our economic well-being by opening Chinese markets to American goods
and services. It advances our interest in a rules-based international
trading system by helping to ``lock-in'' Chinese reforms, economic
restructuring, and a commitment to orderly globalization. China's
accession to the WTO, in turn, also paves the way for a long-overdue
entry by a democratic Taiwan into the global trading body.
China's entry into the WTO, coupled with permanent normal trade
relations, opens up substantial commercial advantages to the United
States. With market-opening commitments in agriculture, banking and
financial services, telecommunications and a panoply of other
industries, Americans and other exporters will have much greater access
to a market that reflects fully one-fifth of the world's population.
Credible estimates suggest that the market-opening concessions that
would accompany PNTR would boost U.S. exports to China by around $3
billion or close to a 15% increase in current U.S. exports to China.
Indeed, the math is on our side. While we frequently have 3 to 5
percent tariffs on Chinese goods coming into our country, they just as
frequently have 30 to 50 percent tariffs on American goods shipped to
China. This agreement negligibly effects America's tariff structure,
but dramatically reduces Chinese levies, down in must instances to the
single digit level.
The Committee on Banking and Financial Services has jurisdiction over
certain macro-economic issues as well as the financial services
industry in particular. With regard to commercial products, China
maintains unfairly high tariffs, which this PNTR approach is designed
to reduce. With regard to financial services, China maintains arbitrary
non-tariff barriers, which this PNTR approach is designed to dismantle.
Reduction in Chinese tariffs and non-tariff barriers is self-apparently
in the U.S. national interest. Not insignificantly, commerce follows
finance. If we fail to pass PNTR, China will simply import fewer
manufactured goods and farm products from the United States. It will be
German, French and Japanese banks which will enter China and, by so
doing, facilitate exports from the companies they serve in their own
countries. America will remain an import haven, but opportunities for
building export jobs here at home will be denied to American workers.
Here, I would emphasize a fatal flaw of failing to approve PNTR--it
would leave the U.S. unable to apply WTO rules and obligations on the
Chinese government, including standards of openness and reciprocity as
well as mechanisms for dispute resolution. In other words, American
farmers, workers and consumers would be denied the market-opening and
rules-based trade benefits that China would otherwise be obligated to
embrace, and our European and Japanese competitors would be given
extraordinary market advantages in China.
In this regard, it must be stressed that although our economic ties
to China have grown rapidly in recent years, so too has the size of our
trade deficit. It is time American leaders make the fundamental point
that normal trade relations are all about reciprocity. A billion dollar
a week trade deficit is politically and economically unsustainable,
particularly if China's market is closed to American products or biased
in favor of products and services from other countries.
The best way for countries to have good sustainable political
relations is to have reciprocal open markets, and the best way to
achieve reciprocity in trade is to get politics out of economics and
competition into the market.
Balanced and mutually beneficial trade is a cornerstone of good Sino-
American relations. Likewise, unbalanced trade contains the smoldering
prospect of social rupture. Hence, little is more in the U.S. interest
than to promote reform and liberalization of China's economic, trade,
and investment regimes and to bind China to the rules of international
commerce.
For some, the PNTR issue has come to symbolize concerns about
globalization and the increased integration of the world economy
through trade flows, capital flows, and high-speed information
technology. While angst exists in some segments of the American public,
as in all publics, about competition and globalization, the historical
record affirms that market systems based on free trade and the rule of
law lead to higher standards of living than systems based on political
isolation or economic autarky.
Protectionism is particularly harmful in the credit, securities, and
savings industries because the general economy is dependent on each. In
the U.S. today approximately one-fourth of banking assets and one-third
of commercial loans are made by foreign entities.
While some may be startled by these statistics, in general, Americans
consider foreign financial competition good for the nation's economy
and believe it would be even more so in developing countries such as
China, which need to build a financial system that can allocate capital
on a market basis. Hence, one of the most beneficial and far-reaching
aspects of our bilateral WTO accession agreement is China's commitment
to undertake the progressive dismantling of barriers to foreign
investment in its financial services industry.
More broadly, Beijing's commitment to the rules and obligations of a
WTO-based framework should help support China's transition to a modern
market economy based on the rule of law. As the world's most populous
nation, China's successful management of economic and social reform is
very much in the interest of the U.S. and the broader global economy.
Joining the WTO binds China to a set of rules, which limits the ability
of government officials to capriciously change market rules to advance
personal or vested interests. This will help Chinese reformers lay the
basis for a rule-based economy that is the best hope for controlling
pervasive official corruption. In this context, it deserves stressing
that government centered, managed trade provides fertile ground for
corrupt practices. On the other hand, free trade under the rule of law
is an economic framework where social corruption has a more difficult
time flourishing.
Many Americans, including Members of Congress, are vexed by the human
rights record of China and are concerned by the pace of economic and
political change in China. On the other hand, experience teaches that
the political system that best fits economic free enterprise is
reflected in democratic political institutions of, by, and for the
people. Advancing freely associated economic ties with the West under
the rubric of internationally accepted trade rules has one principal
political
[[Page H3736]]
side effect: it builds bridges to democracy. Quixotic attempts to
isolate China economically run the great risk of exacerbating human
rights abuses, stunting prospects of establishing democratic
institutions, and causing intemperate international actions.
Chinese society is changing far more rapidly than most Americans
realize. The late Deng Xiaoping underscored the new Chinese pragmatism
with his cat and mice metaphor, and by promoting ``socialism with
Chinese characteristics.'' Twenty years of ad hoc, pragmatic economic
reforms have moved China from the chaos of the Cultural Revolution to
unprecedented economic development and largely peaceful social change,
quadrupling the standard of living and laying the foundation for
systemic reforms. Indeed, despite indefensible examples of continued
political repression, against groups like the Falun Gong and liberal
intellectuals, China may be changing as rapidly as any other country in
the world. While a communist style political apparatus remains
ensconced at the top of Chinese society, at local government levels,
experiments with democratic elections are occurring and at the
individual and family levels, free speech has become increasingly the
norm. In sharp contrast with the period of Mao's Cultural Revolution
there is little question that China has become a far more open society
than it was just a generation ago when Deng inaugurated his period of
``opening and reform.''
Nonetheless, China's economic and social system cannot develop to its
fullest unless the rule of law and its associated rights-including
freedom of speech and of the press, due process for disputes over
contractual obligations, and a judiciary that efficiently and fairly
adjudicates disputes--are made central tenets of Chinese life. As the
development of a modern market economy impacts on politics, Beijing's
leaders can be expected to recognize the incompatibility of free
enterprise and an authoritarian political system. Instability is simply
too easily unleashed in society when governments fail to provide
safeguards for individual rights and fail to erect political
institutions adaptable to change and accountable to the people.
Lastly, establishing permanent normal trade will help foster a
stable, mutually beneficial Sino-American relationship, a bilateral
relationship that is of profound importance to the future of peace and
prosperity not just in Asia, but for the world. Here, a note about
Taiwan is important. It is no accident that people in Taiwan as well as
Hong Kong strongly favor America normalizing trade relations with
Beijing. The opposite--nonnormal trade--presents too many opportunities
for friction in an area desperate for normalcy and stability.
From a historical perspective free trade is a natural extension of
the open door policy that hallmarked American involvement in China at
the end of the 19th century. Rejecting PNTR would effectively drive a
stake through the heart of our economic ties with China and place in
grave jeopardy the future of our relationship with one-fifth of the
world's population.
Whether the 21st century is peaceful and whether it is prosperous
will most of all depend on whether the world's most populous country
can live with itself and become open to the world in a fair and
respectful manner. How the United States, its allies, and the
international system responds to the complexities and challenges of
modern China is also one of the central foreign policy challenges of
our time.
Failure to approve PNTR would not be responsive to that challenge. It
would not effectively address our legitimate concerns on human rights,
nonproliferation, relations across the Taiwan straits, or trade. On the
contrary, rejection of PNTR would go back on our open door tradition
and suggest that China and the United States can not maintain
cooperative relations. It would be a vote with destabilizing
consequences for the region and beyond.
Ironically, in this seminal foreign policy vote, the president's
political opposition is willing to share the obligations of governance
despite electoral advantage that would accrue in refusing to adopt a
bipartisan approach. Republicans are generally prepared to be
supportive of the president's initiative because the majority consider
PNTR to be key to peace, stability, and prosperity in the 21st century.
It would be tragic, and I might say unprecedented in the post World War
II era in any Western democracy, if the majority of the
administration's own party fails to support its President on what is
almost certainly the Executive Branch's most important foreign policy
initiative.
The irony that should not go unnoticed is that after all the discord
between the Executive and Legislative branches over the past several
years the President's own party may produce a vote of no-confidence in
the President while the Republicans in this instance support his
foreign policy judgment.
In the strongest possible terms, I urge my colleagues to cast a vote
with majority support in both parties in favor of this crucial economic
and foreign policy measure. Absent a Democratic as well as Republican
stamp of approval, foreign economic policy will be seen at home and
abroad as subject to capricious change in Congress if there is a shift
in party control.
Mr. FALEOMAVAEGA. Mr. Speaker, I rise in strong support of H.R. 4444,
which grants the president authority to extend permanent normal trade
relations (PNTR) with the People's Republic of China, and I urge our
colleagues to adopt the measure.
Mr. Speaker, as we all recognize, the decision before us is of
historic dimension and is one of the most important actions taken by
this Congress. The arguments for and against granting PNTR to China are
exceedingly broad and complex. The stakes, too, are tremendous, as it
involves the destiny of the most populous nation with one-quarter of
planet's inhabitants, the future of America's economic strength and
vitality, and perhaps the very stability of the world.
I commend my colleagues and deeply respect their commitment
regardless of their position on the issue before us, for there are
valid and compelling arguments to be made on both sides.
On this matter, Mr. Speaker, I wish to make a few observations. After
examining the November 1999 trade agreement negotiated by the United
States with China, it is abundantly clear that granting PNTR to China
to facilitate its entry into the World Trading Organization (WTO) will
bring innumerable trade benefits to America.
Under the trade agreement, China must dramatically reduce tariffs,
phase out quotas, and open up closed market sectors, while the U.S.
simply maintains the status quo with no further trade concessions to
China. It is truly a one-way deal in our favor. Ensuring that China and
the U.S. trade on a level playing field, with WTO enforcement, should
go a long way toward rectifying our present trade imbalance.
On the other hand, if we fail to grant PNTR to China, Mr. Speaker,
China will still enter the WTO but will not be obligated to extend WTO
trade benefits to the U.S. This will significantly reduce U.S. trade
and investment with China. I believe our economic competitors in
Europe, Japan and Asia will welcome our absence in China, Mr. Speaker,
and through the WTO take advantage of China's market-openings to our
detriment.
Although the trade incentives for extending China PNTR are obvious
and apparent, Mr. Speaker, the most important consideration for me
concerns what will best promote democratization and continued
political, social and human rights progress in China.
On that point, Mr. Speaker, I find most persuasive and enlightening
the voices of those Chinese who have been persecuted and are among
China's most ardent and vocal critics--individuals who would be
expected to take a hard line stance against the Beijing government.
For example, look at prominent dissident Bao Tong, who has urged the
U.S. Congress to pass PNTR as it would hasten China's entry into the
WTO, forcing adherence to international standards of conduct and
respect for the rule of law. Bao has noted that the annual
Congressional trade reviews have not been effective to improve human
rights in China and other tools must be sought.
Xie Wanjun, an exiled leader of Tiananmen Square democracy protests
and organizer of the China Democracy Party, supports PNTR and the China
trade deal. Xie states, ``The closer and economic relationships between
the United States and China, the more chances for the United States to
monitor human rights in China and the more effective for the United
States to push China to launch political reforms.''
Longtime dissident, Ren Wanding, who has been jailed for 11 out of
the last 21 years, states, ``If you really want China to change, then
you should approve PNTR. If you want to isolate China and see it get
worse, then it will get worse and worse.''
Mr. Speaker, these Chinese democracy activists, along with Wang Dan,
Dai Qing, Zhou Litai and other prominent dissidents, urge that the U.S.
extend PNTR to China. Joining their voices are other Chinese leaders
who have opposed Beijing's communist control, including Hong Kong's
Democratic Party Chairman Martin Lee and Taiwan's new President Chen
Shui-bian. Both Lee and Chen have called for normalization of trade
relations between the U.S. and China and WTO accession by China.
Mr. Speaker, we should listen to the wisdom of these courageous
Chinese, whose credentials are impeccable and who clearly have the
interests of all of the Chinese people at heart. They know that it is
absolutely crucial and vital for continued political, social and human
rights progress in China that the U.S. maintain and expand its presence
there through trade.
The Chinese people thirst for U.S. engagement because America, and
everything it represents, is the only nation with the power, the
conscience, and the fortitude to push for true reforms and democracy in
China.
Mr. Speaker, I urge our colleagues to hear the pleas of the Chinese
people for a brighter
[[Page H3737]]
future. It is in their best interests, as well as ours, that we extend
permanent trade relations to China by adoption of the legislation
before us.
Mr. CUNNINGHAM. Mr. Speaker, I rise today in support of establishing
Permanent Normal Trade Relations with China.
Mr. Speaker, China is a rogue nation. Totalitarians and Communists
rule it. These leaders oppress their people and deny the basic freedoms
and religious liberties that we hold so dear here in America. China
regularly fails to abide by standards of good citizenship in the
community of nations. China's officials have been tied with attempts to
influence the 1996 elections in the United States through contributions
to the Democratic National Committee. This nation's spies have stolen
our nuclear technology. It sells missile technology to Iran and North
Korea and regularly threatens war against Taiwan.
It is in this environment that Congress must decide whether we should
continue our annual renewal of normal trade relations (NTR) for China,
and forego the benefits of lower tariffs and increased access to
China's markets, or grant permanent normal trade relations, (PNTR) for
China. I believe firmly that this vote affects the advancement of
America's national interests, including national security, human
rights, religious liberty, and commerce and American jobs.
With very few measures have I so deeply struggled with determining
the best course of action, and with identifying what is right or wrong
for America. After carefully considering all the facts, and reviewing
the notes and letters and calls from my constituents, I believe that
our best hope for advancing American national interests in China is
fulfilled by granting PNTR to China. Moreover, failing to do so today
would damage America's interests, in national security, human rights
and religious freedoms, and American commerce and jobs.
Let me first address the matter of American national security. I can
assure you that since nearly losing my life fighting communism in
Vietnam, the matter of what action best represents America's national
security interests is a matter which I take very seriously. Beijing has
exhibited poor citizenship in the world. It tested missiles in the
Taiwan Straits on the eve of free elections in Taiwan. It has sold
missiles and weapons materials to rogue terrorist nations. It smuggled
AK-47 rifles into the United States, bound for Los Angeles street
gangs. It increased its defense budget 40 percent over the past several
years.
However, in light of this current and emerging national security
concern, I believe it is only through American engagement, through the
extension of PNTR to China, that provides the best hope to advance
America's national security interests in China and East Asia. I am
under no illusion that by extending PNTR to China will work miracles in
the advancement of our national security. It will not. Yet, the penalty
for sacrificing our engagement in China by not granting PNTR is much
worse. Denying PNTR to China will not keep China out of the WTO.
Denying PNTR to China will not protect Taiwan, which is why the
government leaders of Taiwan support granting PNTR to China. Rather,
denying PNTR to China would bring instability to this critically
important area of the world. Denying PNTR to China would force the
Beijing regime away from the United States, undermine advocates for
democracy in China, and drive China away from the community of law-
abiding countries, into the arms of the world's terrorist nations.
Thus, I conclude that it is in America's national security interest
to encourage American engagement in China and support PNTR for China.
Secondarily, Mr. Speaker, let me address the issue of religious
liberty and freedom for the people of China. Again, Beijing's record in
this field is repugnant to the cause of freedom. Its list of crimes
against freedom goes on and on. Beijing oppresses the Buddhist people
of Tibet, and the Muslims of Xinjiang. It strictly limits the rights of
Christians from meeting or owning religious materials. It practices a
population policy that includes forced abortion and sterilization. It
has detained, jailed, and killed its dissidents. It severely restricts
the activities of people of faith, and imprisons priests and ministers,
and closes house churches that attempt to teach religion free from the
reach of the Beijing regime.
Given this challenge, what action advances America's national
interest in this area? I conclude that our national interest for
religious liberty and freedom is best advanced by extending PNTR to
China. Through American engagement we advance American values, through
the export of commerce and culture, directly into the lives of Chinese
citizens. While I respect the views of my friends at the Family
Research Council and other family organizations who strongly oppose
extending PNTR to China, it is also true that several U.S.-based
organizations that support Christian missionaries in China support PNTR
for China. The case for greater commerce with China can, therefore, be
cast favorably not just in commercial terms, but in moral terms, as an
engine of liberty and freedom in an oppressed nation. This is why many
of our nation's most respected religious leaders, from Billy Graham to
Pat Robertson, have called for keeping the door to China open.
I agree that PNTR for China will not work miracles for the people of
China. It will not directly free a single person wrongly imprisoned by
the communist government of China. However, Wang Juntao, the leader of
the protests at Tiananmen Square several years back, has said this: ``I
prefer to choose `yes' . . . Both fundamental change in the human
rights situation and democratization in China will come from efforts by
Chinese within China. The more the relationship between the two
countries expands, the more space there will be for independent forces
to grow in China. Such independent forces will eventually push China
toward democracy.''
American commerce with China will give the Chinese people a taste of
economic freedom, and economic freedom will pave a path toward more
political and religious freedom.
Lastly, I would like to address the matter of commerce and American
jobs with the world's most populous nation. Companies in San Diego
engage in significant exports in China. Among these are Solar Turbines,
Cubic, Qualcomm, Jet Products, and several other firms large and small,
which engage in manufacturing, telecommunications, television,
computers, biotechnology, pharmaceuticals, and many other industries,
employing thousands of San Diegans in good high tech, high skill, high
wage jobs. Furthermore, many Americans jobs are dependent on imports
from China. These include high-tech jobs in the computer hardware and
electronic device industries, and hundreds of thousands of lower-tech
jobs, including retailers with shops all across America. In addition,
American consumers rely on the ability to purchase goods made in China.
The vote before us today is about granting American companies access
to China. This vote and WTO membership for China only lowers China's
tariffs and China's barriers to trade. This action will allow American
companies to increase distribution in China, allowing more goods to be
made in America and exported. This bill will allow American financial
service companies and insurance companies unprecedented access to
China's markets. Our action today will benefit all Americans through
greater exports, investment, and opportunity in China.
I want to remind my colleagues that this vote is not a goal line.
This is not the end of our duty to the American people on this issue,
nor is this the last time that we must face the burden of addressing
the shortcomings of China. To use a football analogy, this is another
first down in our relationship with China. Since President Nixon
returned to China, our relationship has been growing and China has
changed. Since I was there 20 years ago, China is a better place.
If we are to continue moving China in the right direction during the
next 10-20 years, we must assure that certain conditions are in place
to foster that development.
We need a President who will not sell secrets to China for campaign
contributions;
A Vice-President that will show leadership and distinguish right from
wrong;
A State Department and Commerce Department that will fight for
America's interests and not devalue national security concerns for
business expediency;
A Department of Defense that has a strong leadership and the support
and funding necessary to defend America and protect our servicemen and
women;
And intelligence organizations with the assets and direction to
protect our strategic and economic interests here and abroad.
Right now we have none of these things. And because of the repeated
failures of the Clinton-Gore administration on China policy, Congress
must exercise leadership in the United States-China relationship. Here
in the People's House, we must remember that America is the world's
leader in human rights, religious freedoms and peace and prosperity.
I want to close by sharing a recent experience I had in Vietnam.
Several years ago, my good friend Rep. Hal Rogers asked me to accompany
him to Vietnam to raise the flag and reopen our embassy there. My first
response to him was no. I did not want to return to Vietnam. I had lost
too many friends and had too many memories of my time there to return.
Then Pete Peterson, now our Ambassador to Vietnam, who was then our
colleague, called me. Pete said, ``Duke, I was a POW. It is tough for
me to return to Vietnam, I need you to help me return there and raise
America's flag.'' To Pete I said ``yes.'' So I returned to Vietnam.
While I was there I toured old target sites and met with people who
had led the Vietnamese Army we fought against. One of those was the
head of the Vietnamese security forces. He is now the Mayor of Hanoi.
He shared with us many of his thoughts and views on the United States
relationship with Vietnam and his views on Communism.
[[Page H3738]]
When our conversation turned to questions, I asked him why Vietnam
was not moving to open trade with the United States. And I will always
remember what he said.
He said, ``Congressman, we are communists. If we allow trade with
America, our people will have things. They will have property and be
able to own things without our control. That, Congressman, will hurt us
and weaken our control over the people.''
When he finished, I thought to myself--``trade is good.''
Mr. Speaker, expanding trade with China advances America's national
interests. Expanded trade will help us weaken the hold of the dictators
in Beijing, bring economic prosperity and greater stability to the
entire Far East region, and carry American values of freedom and
liberty into China.
Mr. Speaker, trade is good.
Mr. ORTIZ. Mr. Speaker, I rise in support of H.R. 4444. Establishing
permanent trade relations with the largest market on the face of the
planet is the right thing for the American people and it is the right
direction to support the United States economy.
I have traveled in China and several other Pacific Rim countries. I
understand the wealth of opportunity that is available to the countries
who take the step of moving aggressively into the markets of Asia
without barriers, beginning in the largest market in the world, China.
Establishing normal trade relations with this market so our businesses
have a level playing field has enormous positive economic consequences
for this country that will last throughout the course of this century.
Not so long ago, China was a poor country. Now their coastal cities are
the new, churning economies of the Pacific Rim. The enormous changes
that are occurring on the coast are spreading rapidly to the interior
of China, and touching the lives of people there.
The economic advantages of supporting trade with China may well be
enough reason to support this resolution, but that is only the
beginning. Possibly the most important reason the U.S. needs a
permanent trading relationship with china is the national security
implications it provides to us. I have seen first hand the relationship
China has with the other nations of the Pacific Rim. These nations have
hundreds of centuries of history between themselves and China. When
China stands closer to the United States, it is possible for the other
countries of the Pacific Rim to work with the United States on trade
and make the world safer and more democratic.
While we have an utterly different philosophy of government than does
China, during the course of our history it has been the inherent
responsibility of the American people, especially entrepreneurs, to
spread the spirit of democracy and freedom throughout the world. This
may be our most unique opportunity to reach the largest number of
people yet with the message that the principles of work and
responsibility are the foundation of freedom and self-determination.
There is no better way to spread the message of democracy than to
engage the world's largest nation in a trade agreement that will
benefit the United States and China for decades and probably centuries
to come. When we engage a country of 1.3 billion people, we take a
positive step in demonstrating how freedom works.
This vote will soon take its place alongside the pivotal votes of the
past decade which have played a large role in redefining economic
success and budgetary policy: the 1993 Budget Deficit Reduction Act;
the North American Free Trade Agreement (NAFTA) and the General
Agreement on Tariffs and Trade (GATT). We have been enjoying tremendous
economic opportunities for the past few years and I hope it continues
for a very long time. Remember, we can best provide for people and
communities in the United States when our economy is strong, and PNTR
will go a long way towards keeping our economy strong.
Mr. WELDON of Florida. Mr. Speaker, one of the most important
decisions I have to make as a Member of Congress each year, is how to
vote on our nation's trading relationship with China. This year, many
of my constituents have been engaged in this debate as they have
called, written, or stopped by my office to urge me to vote in favor
of, or in opposition to, normalizing trade relations with China.
I have spent months and indeed years weighing the advantages and
disadvantages of approving Permanent Normal Trading Relations (PNTR)
with China. We have debated this measure ever since I began my service
in 1994. As I reviewed the arguments on whether or not to extend Normal
Trade Relations to China on a permanent basis, I have decided against
PNTR for China.
I plan to vote no for several reasons:
1. The worsening of labor and human rights situation in China;
2. The continued aggressive military statements and actions against a
Democratic Taiwan;
3. The transfer of sensitive military technology by China to rouge
nations; and
4. The failure of the current Administration to effectively monitor
and enforce the trade agreements they have already signed with China,
including launch quota agreements, which of course, are very important
for our district.
First, this is a vote of conscience. My staff and I have thoroughly
reviewed the 1999 U.S. State Department Report on Human Rights
Practices in China, which was released in February. The Report told the
story of egregious civil and human rights abuses by the Chinese
government against its own people.
The Administration's Report said, ``The security apparatus is made up
of the Ministries of State Security and Public Security, the People's
Armed Police, the People's Liberation Army, and the state judicial,
procuratorial, and penal systems. Security policy and personnel were
responsible for numerous human rights abuses.''
The Report goes on to say, ``The [Chinese] Government's poor human
rights record deteriorated markedly throughout the year, as the
Government intensified efforts to suppress dissent, particularly
organized dissent . . . The Government tightened restrictions on
freedom of speech and of the press, and increased controls on the
Internet; self-censorship by journalists also increased . . . The
government continues to restrict freedom of religion, and intensified
controls on some unregistered churches.''
In addition, violence against Chinese women is on the rise as the
government continues to, as the Report states, ``induce coercive family
planning--which sometimes includes forced abortion and sterilization;
prostitution; discrimination against women; [Government] trafficking in
women and children; [Government] abuse of children; and discrimination
against the disabled and minorities are all problems.
I believe that by voting in favor of PNTR, I would be giving my
implicit support for these violations of basic human rights. There are
some of my colleagues who believe that through engagement we can effect
changes in China. There may be some merit to that argument and I do not
fault them for that belief. I cannot, however, in good conscience, vote
to extend this privilege to China at this time. They have shown an
unwillingness to embrace basic freedoms.
I am also deeply troubled by Communist China's aggressive
militaristic threats toward a Democratic Taiwan. The Chinese government
has threatened the democratically elected Taiwanese government. The
Chinese have said in no uncertain terms that the recently elected
democratic leaders of Taiwan have no role as China usurps Taiwan's
independence under the Chinese umbrella of Communism and
totalitarianism.
Even before threatening Taiwan, China was engaged in a massive spying
effort on the United States. In fact, the Congressional ``Cox
Commission,'' produced a three-volume report outlining and detailing
the military and commercial abuses and concerns the United States has
with the Chinese government. Among the key findings of the bipartisan
Cox China Espionage Report were:
1. That Communist China stole billions of dollars worth of American
nuclear secrets that took our scientists decades of hard work to
develop;
2. The Peoples Republic of China has stolen classified information on
every warhead used for our ICBM and our submarine launched ballistic
missiles; and
3. According to the unanimous judgment of the Committee, The People's
Republic of China will exploit elements of stolen U.S. thermonuclear
weapons designs on its new ICBMs as 2002.
The Report goes on and on, like background for a Tom Clancy novel,
threatening the very fiber of our cultural heritage.
China has taken the technology they have stolen and shared it with
rogue nations. They have encouraged the proliferation of nuclear
weapons and missile technology by sharing these sensitive technologies
with rogue nations.
No longer are the American people safe from terrorists and the
aggressions of our enemies. As many of these rouge nations have access
to our top level military secrets. What is most disturbing is that the
Administration knew about these security breaches as early as 1995,
but failed to act because they were fearful of the repercussions and
potential the political fallout.
My first experience with our government's effectiveness or
unwillingness to challenge the Chinese in their failure to live up to
their agreements came in 1997, and was in relation to the launch
agreements, known as the Bilateral Space Launch Services Trade
Agreement. The Administration significantly expanded agreements with
the Chinese and Russians which permitted U.S. satellite manufacturers
to ship satellites to Russia and China for launch. These agreements
permitted larger numbers of U.S. satellites to be shipped to
[[Page H3739]]
China and Russia for launch in these countries. The Chinese signed an
agreement stating that they, a non-market economy (NME), would not sell
launch services at below market costs, in other words ``no market
dumping.''
In probing this issue, I discovered that the Chinese were indeed
allowed to ``dump'' launch services on the international market at
below market costs. This was in violation of the agreement that they
signed and it also was taking launches away from U.S. launch facilities
at the Cape. Furthermore, our U.S. Trade Representative failed to
respond to my inquiries over whether or not they were addressing this
issue of dumping. It was not until I personally went down to their
offices and went through their files that I discovered the fact that
they were taking no steps whatsoever to curtail this problem.
Furthermore, they never took any action to even discuss this problem
with the Chinese.
This is a very disturbing trend which I cannot envision will improve
until we as a nation decide to look at China differently. We must
always keep our national security, our economic security, and the
security of basic human rights in mind in all our dealings with China.
Thus far, we have not.
Today I have outlined for you numerous abuses by the Chinese
government. And, I understand that at some point there may be the
tremendous economic potential to open our trading relations with the
people of China. However, today I cannot support the Chinese
government's repression of human and civil rights of the Chinese
people; I cannot support their continued threats against Taiwan; and I
cannot support their theft of American technology and military secrets.
Until China can demonstrate a better track record in these key areas; I
will not support Permanent Normal Trade Relations with China.
Mr. KUYKENDALL. Mr. Speaker, I rise today to express my strong
support for H.R. 4444. Why is granting Permanent Normalized Trade
Relations (PNTR) to China so important? There are several answers to
this question. Granting PNTR to China transcends political, economic,
and social boundaries and should foster better relations between the
United States and China. Markets will be opened, diplomatic
communication will be enhanced, and democratic values will spread in a
Communist arena;.
There is no question that the South Bay and the state of California
will see the benefits. China's entry in the World Trade Organization
(WTO) would mean dramatically expanded access to one of the largest and
fastest growing markets in the world. China is currently our 12th
largest trading partner. According to some experts, with China's entry
into the WTO, that trade could double. Trade in and out of the Ports of
Los Angeles and Long Beach would dramatically rise.
To be admitted into the WTO, China will have to make significant
concessions to the other members. The U.S. reached an agreement with
China on bilateral trade terms last November. This agreement
dramatically cuts tariffs on American products, eliminates most
domestic ownership requirements and provides greater transparency
regarding Chinese business practices.
Let's take two industries important to my district to illustrate the
benefits of this agreement. Mattel currently makes toys in China. To
sell these toys in China, they must first be exported out of China and
then imported back into the country. On import, Mattel must pay a
tariff equal to 35%. After importation, Mattel must rely on Chinese
companies to distribute the product in the country. PNTR will eliminate
this requirement and effectively reduce the tariff rates to zero by
2005. The result? Increased sales and improved productivity for a U.S.
company.
The benefits are the same for cars and auto parts. Currently, for TRW
to sell auto parts in China, it must import the parts, which are
subject to tariffs that range between 23.4% and 70%. To sell cars in
China, Honda and Ford are subject to import tariffs as high as 100%.
These companies are also subject to limits on the number of vehicles
they can sell. The Chinese also require that cars sold in China must be
substantially composed of Chinese parts, further hampering TRW's
ability to sell American-made parts in China. With PNTR, tariffs are
substantially reduced and the Chinese component requirement is
eliminated. The result? Increased production and more jobs in the
United States.
Granting PNTR for China is not all about dollar signs. There are also
the social implications that increased trade promotes. There has been
much debate, often times heated and emotional, over whether to enter
into this agreement with China.
Many of the negative feelings associated with China stem from the
oppressive 1989 crackdown of the student protesters in Tiananamen
Square. Communist China reminds us of our Cold War opponents of
yesterday. However, our greatest opportunity to implement change is to
open the avenues of trade. Expanded trade relations means a greater
flow of democratic ideals to a population unfamiliar with the freedoms
we enjoy. The economic freedoms that China is pursuing will not work
without some levels of political and personal freedom as well.
Companies like Mattel also implement strict codes of conduct for
production facilities and contract manufacturers. This focus upon
working conditions and employee treatment means better treatment for
Chinese workers following adoption of PNTR.
Alan Greenspan, Chairman of the Federal Reserve, recently wrote,
``The addition of the Chinese economy to the global marketplace will
result in a more efficient worldwide allocation of resources and will
raise standards of living in China and it's trading partners. . .
Further development of China's trading relationships with the United
States and other industrial countries will work to strengthen the rule
of law within China and to firm its commitment to economic reform.''
Diplomatic ties will also be strengthened with improved trade
relations with China. The worst possible scenario occurs if Congress
denies granting China PNTR. In this case, diplomatic communication
between the United States and China will be severely limited. It would
be dangerous if we, as leaders of the free world, do not have open
lines of communication with the most populated country in the world. I
do not believe that this is a risk worth taking.
There is no doubt that California will make great gains through
increased trade. The 36th congressional district also stands to
benefit. But considering the big picture, increased trade and increased
communication with China will allow an opportunity to lessen tensions
between our two countries. The fall of the Iron Curtain took the Berlin
Wall with it. Progress can be made with China. Support PNTR.
Mrs. FOWLER. Mr. Speaker, I rise today to support Permanent Normal
Trade Relations status for China. This measure is an important step in
promoting free and fair trade between the United States and the
People's Republic of China, and in promoting freedom within China.
I remain concerned about the behavior of the Chinese leadership in a
number of important areas, including weapons proliferation, human
rights, and relations with Taiwan. In the past, I have voted against
extending NTR for these reasons.
But the vote before us today is different. Extending Permanent NTR to
China and supporting its accession to the World Trade Organization is
the strongest catalyst for change in that country. It will promote the
free market there. It will promote the rule of law there. And I
strongly believe that it will ultimately promote the rise of democracy
there.
We have seen capitalism rip through the ``Iron Curtain,'' and now we
have a tremendous opportunity to see it tear through Communist China.
We cannot do this by allowing the remnants of an antiquated economic
system to remain isolated. Those in China who want to see this measure
fail are the hard-line Communists who seek to maintain control and
oppress the new generation that yearns for a better life. The greatest
threat to the future of these Communist tyrants is the passage of PNTR
and the freedom it unleashes.
Today we have an unprecedented opportunity to gain substantially
greater access to China's market of well over one billion people. If we
pass this measure, China will have to change its protectionist laws and
policies, and reduce tariff rates on U.S. products. But if we do not
extend PNTR, we will lose these benefits, while our trade competitors
gain them.
Mr. Speaker the best way to name the communist bear is not to poke it
in its eye, but to endear yourself to its cubs. The new generation of
Chinese knows America and has a strong desire to emulate our values and
culture. This is our country's chance to engage China and have a truly
profound effect on that nation's future.
Mr. MOORE. Mr. Speaker, I rise today in strong support of H.R. 4444,
legislation to grant Permanent Normal Trade Relations with China.
The United States Trade Representative's agreement with China gives
us a unique and historic opportunity to challenge old assumptions and
establish new goals with respect to China. The Administration, in
November, laid its bet on improving economic relations with China as
the best way to ensure that this huge and growing power will become a
constructive member of the world community. Today, it is up to Congress
to affirm this deal to make these opportunities a reality.
Despite our disappointments with China's internal policies, this is
not a time to withdraw and abandon all dealings with China,
particularly those that are clearly in our own interest to pursue. The
deal the U.S. Trade Representative made with China represents a series
of major concessions by the Chinese to accomplish a goal--Chinese
membership in the
[[Page H3740]]
WTO--that is also clearly in our national interests. This deal is a
classic ``win-win'' proposition for the United States.
While China will benefit from expanded trade and investment, this
deal is composed of a series of unilateral concessions by China that
reduce most of its tariffs, open the markets most attractive to U.S.
goods and services, and commit China to international rules of
commercial behavior and extensive monitoring of its compliance.
Granting China PNTR would result in an opening of markets for American
farmers, bankers, insurers, and manufacturers of microchips, chemicals,
cars, computers, and software, who will reap benefits from a whole new
level of access to what is potentially the world's largest consumer
market.
To fully realize the benefits of trade, however, requires more than
agreements to reduce barriers. Sustaining support for the trading
system also requires that the rules under which countries engage in
trade are credible and equitable. The rules should ensure that
governments play fair--that they not seek advantage for favored
interests by subsidizing their producers or passing regulations that
unnecessarily distort international trade. Fairness also requires that
the gains from trade are shared widely and do not come at the expense
of core labor and human rights standards.
Mr. Speaker, the bill before Congress today's bill will make these
larger goals possible. Beyond the market-opening provisions in H.R.
4444, this bill also contains thoughtful provisions developed by
Representatives Levin and Bereuter that will establish mechanisms to
monitor human rights in China, to report on labor market issues, and to
encourage the development of rule of law and democracy-building in
China. Granting China permanent PNTR would also mean the beginning of a
long-term transition from a state-controlled economy toward a free
market that will make these larger goals possible. Indeed, China is not
only agreeing to import more American products, they are agreeing to
import one of democracy's most cherished values--economic and social
freedom.
The only thing the United States would do in return is grant China
the same permanent ``normal trade relations'' status afforded to all
WTO members, which has been granted on an annual basis for the past 19
years. Granting PNTR to China is not a ``blessing'' of their past and
current behavior. Rather, it is a commitment by China to change its
behavior to become a responsible global citizen.
This deal would impose on China a clear set of rules for business
whereby the United States will benefit from China's verifiable and
enforceable commitment to play by the world's rules. This deal will
allow the United States to engage this emerging power in well-defined
and civilized manner, rather than isolating it and strengthening the
claims of its militarists that the America is an enemy. And this deal
will open Chinese markets to U.S. products and services, which I hope
will make the global economic pie bigger, so everyone gets a bigger
piece.
Mr. BARRETT of Nebraska. Mr. Speaker, in order for farmers, ranchers,
and food processors to succeed in a global market, the US needs fair
trade and fair access to growing global markets. Nebraska is one of the
nation's leading producers and exporters of agricultural products.
Market access is absolutely crucial to the well being of our
producers--as it is to producers of all commodities nationwide.
Agriculture will benefit most from the pending trade agreement with
China. China's economy is already among the world's largest, and it has
expanded at annual rates of nearly 10 percent. By supporting PNTR, we
are giving our agricultural producers the access needed to compete in
the global market. Passing up the opportunity to increase trade with a
country that has nearly 26 percent of the world's population would be a
grave error.
Under it's World Trade Organization accession agreement, China will
lower its tariffs from 45 to 12 percent on frozen beef, and 45 to 25
percent on chilled beef by 2004. also, China will accept all beef from
the United States that is accompanied by a USDA certificate of
wholesomeness.
Nebraska's 1998 exports to China totaled $33 million, which
represents a 1,200 percent increase from 1993. China is Nebraska's 14th
largest export destination, up from 31st in 1993. By building on this
trend, the U.S. has taken a step in the right direction. Approval of
PNTR is simply the continuation of this process.
Opponents of PNTR legislation argue that China will no longer need to
respect our positions on human rights and other issues.
However, by joining the WTO, China is agreeing to a rules-based
trading system, and by working closely with China, the U.S. will be
able to influence positive change on human, religious, and political
rights.
Not only must we support PNTR for China for agriculture, but for the
continued growth of our nation as a whole. I urge my colleagues to vote
``yes'' on H.R. 4444.
Mr. PALLONE. Mr. Speaker, I rise today to join in urging my
colleagues to vote No on granting PNTR for the People's Republic of
China.
Since relations between the U.S. and China were normalized, Congress
has had the opportunity, every year, whether or not to grant China the
same trading status we give to other ``friendly'' nations. Although the
China trade deal has won out every year, at least we had an annual
review in place. If this bill passes, I am sure the dictators in
Beijing will take our concerns even less seriously than they have in
the past.
It is well known that China has a terrible record on human and worker
rights, environmental protection, fair trade and weapons proliferation.
China has repeatedly violated almost all of their prior agreements. The
United States consumes 40 percent of China's exports, so common sense
dictates that we can influence China's actions by threatening to cut
off market access. By essentially granting China permanent guaranteed
access to our markets we would surrender our only political and
economic leverage.
Big business claims that granting China PNTR will allow for more
American products to be sold to the 1.2 billion consumers in China. But
even if China opens their doors to our products, which I don't believe
they intend on doing, how many cars or designer jeans will American
workers sell to Chinese workers making 13 cents per hour.
I urge my colleagues to vote against this ``Blank Check for China.''
Mr. PORTMAN. Mr. Speaker, I rise today in support of continued Normal
Trade Relations between the United States and China.
Trade with China has been a significant factor in the economic
expansion we've been able to enjoy during the 1990s. In my own
district, Greater Cincinnati companies exports to China have almost
doubled in this decade alone. That means more jobs for my constituents,
more prosperity for the families and businesses in Southwest Ohio, and
a healthier economy for the area I represent, for the state of Ohio as
a whole and, indeed, for the entire nation.
For those of my colleagues who are undecided on this subject, I'd
urge you to take a close look at this PNTR agreement, because it makes
so much sense. This is a totally one-sided agreement. Because we
already have an essentially open market, we've given away nothing to
get this deal, but we've received unprecedented concessions from the
Chinese.
Mr. Speaker, China has a long way to go on improving labor standards,
human rights and environmental protection. That's why I believe our
most important export to China won't be our products and services. Our
most important export is our ideas and our beliefs about freedom and
democracy.
As the United States and China develop closer ties--as individuals
from both countries begin to interact more often with each other--it's
going to be impossible for the Chinese government to prevent our values
and ideas from spreading. You can already see it happening with the
spread of the internet in China, despite the best efforts of their
government to slow it down.
Mr. Speaker, we can choose to get rid of normal trade relations with
China, and stand on the sidelines when our European and Asian
competitors take our place. Or we can build a strong bilateral
relationship through engagement--opening their country to our products
and ideas.
I urge my colleagues to support the rational approach--and to support
normal trade relations with China.
Mr. SKELTON. Mr. Speaker, I urge my colleagues to support permanent
normal trade relations for China. I will vote in favor of PNTR, not
only because of the benefits that American farmers and businesses stand
to gain in terms of increased trade, which are substantial, but also
because of the impact approval of PNTR will have for U.S. national
security and stability in Asia.
A solid trade relationship with China, with its huge potential
markets, is important to Missouri. In 1998, China was Missouri's sixth
most important export market and the United States' fourth largest
trading partner. From 1991 to 1998, U.S. exports to China more than
doubled. The agreement that the administration reached with China last
November
[[Page H3741]]
concerning China's accession to the World Trade Organization commits
China to eliminate export subsidies and lower tariffs dramatically,
reduce its farm supports, and play by the same trade rules as we do.
Further concessions recently gained by the European Union would
increase the benefits, as the agreement would apply to all parties to
the WTO.
During the first 6 years of the agreement, USDA estimates U.S.
agriculture exports to China will increase a total of $7.5 billion. In
the first ten years of the agreement, USDA projects one-third of U.S.
export growth will be in U.S. agricultural products destined for China.
China is the last major untapped market for American agriculture. As
China moves from an agrarian economy to a modern economy, someone must
fill the gap. As the standard of living increases in China, the Chinese
people will be able to buy more U.S. products. To gain these
advantages, Congress must approve PNTR status for China. If Congress
does not do so, the only winners will be our international competitors
who would welcome the chance to gain market share that would otherwise
go to U.S. farmers and benefit the entire agriculture community.
Congressional approval of PNTR also have implications for U.S. national
security. Early this year, I led a small House Armed Services Committee
delegation on a trip to the Asia-Pacific region. Although we did not
visit China, we did find in our meetings will officials how much other
nations in Asia value America's presence and engagement in the region
to promote stability.
The state of U.S.-China relations is critical to the future
stability, prosperity, and peace of Asia. Encouraging China to
participate in global economic institutions is in our interest because
it will bring China under a system of global trade rules and draw it
into the world community. It is in our long term interest to develop a
relationship with China that is stable and predictable. China will
enter the WTO based upon the votes of all 135 WTO members. Denial of
PNTR by the U.S. will not affect China's entry into the WTO, but
rejecting PNTR after last year's negotiated agreement will diminish our
credibility and our ability to make a difference in China.
WTO memberships will bring China into the system of trading rules and
standards that apply to all other major trading partners in the world.
Congress should approve PNTR so that American farmers, workers,
businesses will be able to take advantage of opening markets in China
and so that our continued involvement in China can help in working
toward other reforms. For all of these reasons, I urge my colleagues to
support PNTR.
Mr. LaHOOD. Mr. Speaker, I rise today in support of granting normal
trade relations to China. This measure is good policy for our Nation as
a whole, and good policy for the people of the 18th district of
Illinois. The choice we have before us today is whether we want to
trade with China with our hand open in friendship, or with our hand
closed in opposition. China is expected to join the WTO later this
year, and today's vote will set the stage on how we will trade with
China in the years to come.
By passing NTR today, we will establish a first in U.S. trade policy.
We will lock ourselves into a one-sided trade deal, which favors the
United States. Last year, Ambassador Charlene Barshefsky and our trade
representatives negotiated a bilateral agreement with China, which not
only significantly lowers many of China's tariffs, but also provides
for anti-surge guarantees to protect American manufacturers from
Chinese dumping of goods into our markets. Failure to pass NTR will not
prevent China from joining the WTO. It will, however, prevent us from
benefiting from the bilateral agreement we negotiated, while at the
same time concede the benefits of this agreement to our Asian,
European, and Latin American competitors.
As a member of the House Agriculture Committee, I recently joined
with my colleagues in a series of field hearings throughout the country
to get a sense of how agriculture is doing in America. The consensus is
that unlike the rest of the country, our agriculture community is in
trouble.
Granting NTR to China will not cure the ills that face our
agricultural economy, but it will help. The facts are that China has 20
percent of the world's population and approximately 7 percent of the
world's arable land. It is shifting from an agrarian economy to an
industrialized/manufacturing economy. China currently has a population
of over 1.3 billion, with a steady rate of population growth. These
facts indicate that over the long term, China represents a hug
potential market for American agriculture products. In the near term,
China is currently the sixth largest market for U.S. farm products. In
1999, the U.S. exported over $2 billion dollars worth of agricultural
commodities to Mainland China and Hong Kong, in spite of high tariff
rates and restrictive trade practices, designed to specifically
prohibit importation of American agricultural products.
Once China joins the WTO and accedes to the bilateral agreement, many
of these high tariff rates and restrictive trade practices will be
reduced, or phased out, by 2005. This agreement, as well as WTO rules,
also contain provisions which allow the United States to act
unilaterally if China violates the terms of the agreement. Granting NTR
is not only good for agriculture--it is good for American business as
well. As President Clinton stated in the State of the Union address,
``Our markets are already open to China. This agreement will open their
markets to us.'' The Commerce Department recently announced that our
trade deficit widened in March to an all time high of $30.2 billion.
Granting NTR to China will help reverse our trade gap by leveling the
playing field, and allowing American business to crack into this highly
protected market.
As I have indicated before, I believe that granting NTR is good for
the country and good for the people of Illinois. In 1998, direct
exports to China from the State of Illinois totaled over $505 million.
If we pass the NTR legislation, I would expect this figure to grow
significantly. In addition to the agricultural interests in my
district, I am also proud to represent America's manufacturing
industry. Caterpillar, Inc., one of nations' leading manufacturers of
earth moving and construction equipment, is based in my hometown of
Peoria, Illinois. Caterpillar employees over 67,000 workers worldwide,
many of whom live in my district, and in 1999, exported $5.2 billion
worth of equipment. For Caterpillar, and other heavy machinery
manufacturers, China has always been a very difficult market in which
to work. The bilateral agreement we negotiated would ease market
restrictions, lower tariffs on heavy machinery, and, in general, make
it easier for American companies to operate in China.
Aside from the obvious economic benefits, I believe that granting NTR
to China will lead to positive societal changes within China. It is my
hope that improved economic conditions in China will result in a higher
quality of life for Chinese workers. I also hope that greater
interaction with Western culture, and its focus on human rights, will
pressure the Chinese Government to continue with the liberalization of
its economic and social structure. We need to approach China with an
open hand, not with a closed fist. I urge my colleagues to support
granting normal trade relations to China.
Mr. McGOVERN. Mr. Speaker, I rise today in opposition to H.R. 4444 to
grant permanent normal trade relations for China. The United States has
engaged in normal trade relations with China for the past two decades.
Since then, trade has grown and flourished between our two countries,
with an ever-increasing U.S. corporate presence in China. In 1999,
China was the 4th largest U.S. trading partner. Since I joined
Congress, I have voted three times in favor of normal trade relations
with China. Today, however, I will vote to reject H.R. 4444 for three
reasons.
First, before today, an annual review of China's performance in the
areas of human rights and nuclear non-proliferation has been concretely
tied to a vote in Congress on its trade status. This has provided the
U.S. with leverage to raise critical issues with China regarding human
rights, workers rights, freedom of religion and association, the
autonomy of Tibet, the transfer of nuclear technology, the security of
Taiwan, and the proliferation of nuclear weapons. At least once a year,
China had to respond seriously to these concerns in order to gain the
two things it most desires: access to U.S. technology and access to the
U.S. consumer market. I don't mean to imply that China's performance
always improved in these areas, but the annual review, directly tied to
a vote on trade, ensured that the dialogue between our two nations was
a serious one.
The vote today strips the Congress, and I believe the Administration,
of any leverage on these issues. We can establish commissions and
release reports to monitor human rights in China, but we already do
that regularly anyway. More pieces of paper will have little impact on
China. What leverage we had was due to the fact that the review was
tied directly to a vote on trade.
Second, I am interested in not only who benefits from the U.S.-China
bilateral trade agreement, but also who suffers. I believe many of the
claims made on both sides of this debate will prove, over time, to be
exaggerated--especially in light of China's record of non-compliance
with other trade agreements. I believe many businesses in
Massachusetts, including in my own district, will benefit from
increased commerce with China, particularly in the areas of high-tech,
computers and financial services. I believe trade in these areas
between our two countries will increase even if permanent NTR is
rejected today.
I also know, however, that in negotiating this agreement the U.S.
Trade Representative conceded whole areas of trade and commerce to
China. Nowhere is this more true than in the textile and clothing
industry. Prior to the conclusion of negotiations on the bilateral
trade agreement, I wrote and phoned the
[[Page H3742]]
USTR about this issue, pleading for support. My letters and calls went
unanswered. I would like to point out to my colleagues that this is the
very first trade agreement opposed both by the textile manufacturers
and the clothing and textile workers. As this House knows, that was not
the case with NAFTA, the Caribbean Basin Initiative/CBI or the recently
approved Africa trade bill. This alone should give all my colleagues an
idea about exactly how bad this agreement is for clothing and textiles,
and for communities like those I represent in southeastern
Massachusetts. By opposing H.R. 4444, I stand with the families and
towns whose lives and livelihoods have been so callously disregarded by
the USTR.
Third, I believe the very framework around which we currently pursue
trade agreements is flawed. Worse, I believe it runs counter to our
ability to achieve our goals in promoting freedom and democracy
worldwide. Let me be clear, I support normal trade relations with all
nations. I believe it is good for America, good for the exchange of
goods and services, and good for the exchange of ideas. I am not and
never will be an isolationist. I believe strongly, however, that
commerce and trade must not operate separate from, let alone contrary
to, other national priorities; to promote democracy, nuclear non-
proliferation, respect for human rights, and protection of the
environment. Internationally, the U.S. is a leader on these issues and
a party to international agreements, standards and law. Yet in the
areas of trade and commerce, we often negotiate agreements that
undermine these other standards and agreements. I believe we must
integrate these priorities, not separate them. We have a global economy
because the world is now, more than ever before, a global,
interdependent community.
The bilateral trade agreement negotiated between the U.S. and China,
which goes far beyond ``normal'' trade relations, and H.R. 4444 to
grant permanent NTR to China have aggressively sought to ``de-link''
trade from any other U.S. priority or consideration. I believe this
takes us down the wrong path. It says to all the other countries of the
world that human rights, arms control, and the environment are not
important to the U.S. if a buck is to be made. Last minute sugarcoating
to establish commissions to monitor human rights will not change this
basic message. And it's the wrong message.
For these reasons, and many others, I urge my colleagues to oppose
H.R. 4444.
I submit the following materials from the textile industry.
American Textile
Manufacturers Institute,
Washington, DC, May 10, 2000.
RE: China Permanent NTR--Textile and Appeal Markets
Dear Representative: On behalf of the American Textile
Manufacturers Institute (ATMI), I would like to reiterate our
opposition to legislation granting permanent normal trade
relations to China (NTR) and to again urge you to vote
against this proposal. We have written you previously
outlining concerns, and this letter is to elaborate more
fully on the issue of market access. ATMI is the national
trade association for the domestic textile industry, with
member company facilities in more than 30 states.
Contrary to claims that the United States gave up nothing
in the agreement to support China's accession to the World
Trade Organization (WTO), we must emphatically point out that
the U.S. has actually given China greater access to our
textile and apparel market than that given any other WTO
member. Incredibly, the U.S. did this while at the same time
doing nothing to guarantee that we will receive reciprocal
access the China's markets.
While current WTO members are seeing U.S. textile and
apparel quotas phased out over a ten-year period, China will
be allowed to benefit from a phaseout period of five years or
less (depending on when they actually join the WTO). This is
the equivalent of, in a baseball game, allowing one team
(China) to start an inning with a runner leading off second
base while making every other team play by the normal rules
and start each inning in the batters' box. China is being
given an enormous headstart toward home plate, which in this
case is the elimination of all U.S. quotas and thus
unrestricted access to the U.S. market.
At the same time, the U.S. has received nothing but the
same old tired assurance from China that they will allow our
textile and apparel exports to enter their country. We have
heard this song and dance before. But as the following chart
shows. China has effectively used its elaborate system of
tariff and non-tariff barriers to keep its market closed to
our products.
Based on this poor track record, we sincerely doubt that
China's most recent assurance of access will pan out.
So as far as textile trade goes, this is a one-sided trade
deal that only benefits China, Accordingly, we urge you to
reject permanent NTR and allow Congress the chance to use
annual renewal of NTR as leverage to force China to honor the
promises it has already made to allow U.S. textile and
apparel exports access to the vast but heretofore virtually
closed Chinese market.
Sincerely,
Roger Chastain,
President.
____
American Textile
Manufacturers Institute,
Washington, DC, May 18, 2000.
Re: China Permanent NTR--Ineffective Textile and General Product
Safeguards
Dear Representative: We understand that the House Ways and
Means Committee leadership has reached a deal under which the
product safeguard provisions of last November's China WTO
accession agreement will be incorporated into the permanent
normal trade relations (NTR) bill, H.R. 4444. On behalf of
the American Textile Manufacturers Institute (ATMI), I would
like to point out that this ``breakthrough'' will not do
anything to alleviate our concerns. We are still strongly
opposed to this legislation and urge your opposition as well.
Enclosed is a copy of our April 21 letter to Ambassador
Barshefsky, which points out serious flaws in the China WTO
accession agreement's textile product safeguard and 12-year
general product safeguard. As you will note from our letter
and accompanying questions, we believe the safeguard
provisions in the accession agreement will not be effective
in preventing serious harm to the U.S. textile industry as a
result of import surges. Therefore, inclusion of these
provisions in H.R. 444 or any parallel legislation does not
address our concerns.
Also, as we stated in this letter (and as you probably know
from our previous letters, congressional testimony, news
releases and communications from our members and workers in
your district), China's entry into the WTO under the
accelerated quota phaseout schedule is projected to cost over
150,000 jobs in the U.S. textile and related industries.
Thus, we again dispute the claim by supporters of the bill
that the United States ``gave away nothing'' in this
agreement--in fact, the U.S. is proposing to give China
faster access to our market than any other WTO member, and at
the cost of 150,000 U.S. jobs.
Therefore, we urge you to vote ``NO'' on H.R. 4444 when it
comes before the House.
Sincerely,
Roger W. Chastain,
President.
____
American Textile
Manufacturers Institute,
Washington, DC, April 21, 2000.
Ambassador Charlene Barshefsky,
United States Trade Representative,
Washington, DC.
Dear Ambassador Barshefsky: We would appreciate your review
of several important matters concerning the textile product
safeguard and the twelve-year general product specific
safeguard in the China WTO Accession agreement.
An effective safeguard is of paramount importance to the
livelihoods of more than 1.2 million textile and apparel
workers. The study by the International Trade Commission on
China's accession concluded that China's share of the U.S.
apparel market would triple as a result of the agreement.
Another study by Nathan Associates came up with the same
conclusion and examined the impact on U.S. textile and
apparel employment. The Nathan study determined that over
150,000 U.S. jobs in the textile and apparel sector would be
lost as a result of the agreement.
The information we have received thus far as to the details
regarding the use of either the textile specific or the
general product specific safeguard has created serious
concerns regarding the potential effectiveness of either
instrument.
We would appreciate hearing from you at your earliest
convenience about how these safeguard mechanisms will
operate.
Sincerely,
Carios Moore,
Executive Vice President.
____
ATMI Questions on the Textile Product Safeguard and the 12 Year Product
Specific Safeguard in the China WTO Accession Agreement
(1) Textile Product Safeguard
(a) Administration: Will the Committee for the
Implementation of Textile Agreements (CITA) will be the
administrator of the textile product safeguard in the China
WTO accession agreement?
(i) Will CITA be the final decision-making authority on the
imposition of this safeguard?
(ii) Will CITA have authority to direct U.S. Customs to
carry-out safeguard actions?
(b) Timing: Will textile products that have already been
integrated be subject to the textile product safeguard
immediately upon china's entry into the WTO and will those
products that will be integrated in 2002 be eligible for a
safeguard action, if appropriate, in 2002?
(c) Original finding of market disruption: China has by far
the world's largest textile and apparel complex and by far
the largest quota coverage (over 100 quotas) imposed on its
textile and apparel exports. These quotas were imposed
because of findings of market disruption over the past 15
years. Can the original finding of market disruption
automatically be re-applied when these quotas are removed?
(i) If not, if China's imports do surge across most, if not
all, product categories (as the ITC study appears to imply
they will), would separate market disruption findings be
needed on each category, or, if an overall condition of
disruption could be found, could this serve in place of
separate statements?
[[Page H3743]]
(d) New findings of market disruption: If the original
market disruption finding cannot be reapplied, the U.S. has
historically made a determination of market disruption in
textile and apparel cases where imports of a given textile
product were increasing from a particular country (as well as
from the world overall) while domestic U.S. production of
that same product was declining. Could the U.S. use these
same three criteria alone--increasing Chinese imports,
increasing world imports and decreasing U.S. production--to
make a similar finding under the textile product safeguard in
this agreement?
If not, what other or different criteria would be required
under a WTO-based system?
(ii) In other cases, the ITC study predicts that china will
take market share from other countries. Some of these
countries--Mexico and the Caribbean nations--are primary
export markets for U.S. textile products. Please confirm that
the U.S. could take action on the basis of increasing Chinese
imports and declining U.S. production with overall imports
remaining stable.
(e) Use of textile inputs to take an apparel safeguard
action: As mentioned above, a large percentage of U.S.
textile output is now exported to the CBI and Mexico for
assembly into garments for re-export back to the United
States. Displacement of these regional apparel imports into
the United States by Chinese imports would hurt the U.S.
textile industry in the same way that the loss of U.S.
apparel production does. In fact, for many
products, including knit shirts, underwear and woven
trousers, a substantial amount of the production
originally sourced in the United States has now shifted to
the CBI and Mexico. It is extremely important that ATMI be
able to ensure that both safeguards in the agreement can
be used to protect its workers if these re-export markets
are threatened by Chinese imports.
(i) Will the government consider declines in complementary
U.S. textile products as a basis for imposing safeguard
measures against increasing Chinese apparel imports?
(ii) How would the administration ensure that no WTO
difficulties would result from such a result. (see ``e''
below)?
(f) Definition of U.S. apparel production: The United
States currently defines a cut piece of fabric which is being
exported as a completed garment--as a result government
reports sometimes show that U.S. apparel production for a
given product is increasing when in fact it is exports of the
cut pieces of cloth that are increasing (note: these pieces
constitute the bulk of the trade between the U.S. and Mexico
and the CBI). If these cut pieces exports were removed,
actual U.S. apparel production would almost certainly be in
decline.
(i) When considering the use of either safeguard will the
government commit to removing exported cut pieces of U.S.
fabric from its U.S. apparel production calculations?
(ii) Are there any WTO rules or regulations which this
would violate?
(g) Lack of recent U.S. textile and apparel production
data: During the last five years, the Commerce Department has
stopped issuing quarterly textile and apparel production
figures and, as a result, U.S. apparel production figures are
often a year or more out of date. The government has also
sometimes delayed safeguard actions until more recent
production data was available. The imposition of a safeguard
measure requires immediate action if it is to be effective--
particularly when a dominant supplier such as China is
involved.
(i)Will the government agree that it will either re-
institute quarterly reporting or that it will use the most
recent available production data that it has available as a
basis for any safeguard measure and that it will not delay
imposition of a safeguard measure because of production
information?
(h) Definition of ``reapplication'': The textile safeguard
says that after a measure has been in place a year, the
safeguard must be ``reapplied'' in order to be extended. What
does ``reapplied'' mean?
(i) Does it mean that a new market disruption statement
would need to be created?
(1) If so, does this mean that the government would have to
wait until imports started increasing again in large numbers
before a new safeguard could be imposed?
(a) Would this mean that the industry could conceivably be
forced to wait up to a year--in order for a pattern of
increasing imports to be established--before a second
safeguard action could be applied?
(i) Concerns over potential number of cases and speed of
response: Under the category system, China currently has over
100 quotas applied to it. Under the WTO accession package,
almost all of these quotas will disappear on Jan. 1, 2005.
How can the U.S. government ensure that safeguard actions
will quickly be forthcoming if a large number of
categories qualify for action at the same time? ((see b)
and I) above for details).
(j) Can China appeal a safeguard action to the DSB?: If
China disagreed with the imposition of a safeguard by the
U.S., would it have recourse under the WTO to request dispute
settlement?
(i) If so, could a dispute settlement panel or some other
WTO entity overturn the imposition of a quota under this
safeguard or authorize Chinese retaliation?
(1) The creation of a textile safeguard action against a
WTO country in Agreement on Textiles and Clothing has
steadily become more complex, difficult and time-consuming--
at least 12 different areas have to be investigated
thoroughly and reported upon. Safeguard actions have come to
require enormous amount of work and even then outcomes, which
require consensus, are often unsatisfactory. As a result,
textile safeguard actions for WTO countries are now
exceedingly rate.
(a) If a U.S. safeguard action is appealable within the
WTO, how can the U.S. government ensure that safeguard
actions against China do not get bogged down in this
cumbersome process?
(k) Use of the category system in safeguard actions: Under
the MFA and ATC, the U.S. has used a category system in order
to impose specific quotas. Textile Monitoring body (TMB)
reports in the WTO have implied that they no longer consider
the category system a relevant vehicle for safeguard actions.
Would the U.S. use the category system or would it consider
using alternative systems for imposing a safeguard?
(l) WTO criteria: what are the WTO criteria for ``market
disruption'' and what would the U.S. have to do meet to
sustain a textile product specific safeguard action under WTO
review?
(2)The 12 Year Product Specific Safeguard
(a) CITA to administer? Who will be the administrator of
the overall product specific safeguard in textile cases? Will
CITA administer this safeguard as it has other safeguards
under the GATT and the WTO?
(b) Will a Presidential finding be required? Will a
judgment of material injury by the administrator require the
imposition of a safeguard or will presidential action be also
required? (In 301 cases, we note that Presidential action is
NOT required.) The ability of a Presidential to potentially
ignore a finding of material injury concerns us.
(c) Do textile inputs have standing in a case of increased
apparel imports? As stated in regards to the textile
safeguard (see 1d) a large percentage of U.S. textile output
is now exported to the CBI and Mexico for assembly into
garments for re-export back to the United States.
(i) Will declines in complementary U.S. textile products be
accepted as a basis for imposing safeguard measures against
increasing Chinese apparel imports.
(ii) Are there any WTO rulings or regulations which could
be used to prevent such a basis?
(d) A second safeguard action? Can a second safeguard
action be re-instituted after a three-year or two-year
safeguard has been imposed if a new investigation determines
that it is warranted?
(i) Would such a safeguard still be open to retaliation
(eg, China's suspension of concessions)?
(e) Section 406--how does it compare?
(i) Can the safeguard under section 406 be applied rather
than the general product specific safeguard in this
agreement?
(ii) Will section 406 remain in effect in the event that
China gets PNTR and the 406, as a part of Jackson Vanik, no
longer operable?
(iii) The administration claims that the injury threshold
for the product specific safeguard is lower than section 201,
stating that it will be easier for industries to get relief
under this provision from growing Chinese imports. However,
the injury standard for section 406 appears to be the same as
the product specific safeguard and the duration of relief is
actually longer under section 406. Yet, section 406 is almost
never used, while section 201 is more frequently employed.
(1) What is the basis for the administration's belief that
utilization of this product specific safeguard will be
greater and easier to use?
(2) In your opinion, why are section 406 actions so rarely
brought and why should product specific safeguard actions--
which appear to be virtually identical--be any easier?
(3) Dumping
(a) Textile dumping cases: Can language be inserted into
the agreement making it easier to bring dumping cases against
Chinese imports (right now, effective textile dumping cases
are difficult to bring because minor product specific changes
can result in the evasion of dumping margins.)
(4) Countervailing Duty Cases
(a) Are CVD cases now possible? The USTR Fact Sheet
published in Inside US Trade implies that countervailing duty
suits will be allowed against China. However, Commerce
maintains a prohibition on any CVD petitions against non-
market economies and the dumping provisions in the United
States/China agreement refer to China as a non-market
economy. China, therefore, appears to be immune from United
States CVD law.
(i) Will the Administration change the Commerce position?
Mrs. MEEK of Florida. Mr. Speaker, I rise in opposition to H.R. 4444,
permanent normal trade relations for China. While I must first say that
I am essentially a ``free trader'' I am opposed to the extension of
permanent normal trade relations with China because of China's dismal
record on human rights and its dismal record on worker rights, labor
standards and environmental protections. The United States has formerly
criticized China's human rights record before the United Nations Human
Rights Commission for measures against political activists that have
created what officials called a ``sharply deteriorated [human] rights
situation . . .'' Pursuant to a May 1, 2000 Report on International
Religious Freedom, ``Chinese government violations of religious freedom
increased markedly during the past year.''
China has received normal trade relations (NTR) status annually since
1980. However,
[[Page H3744]]
gross human rights abuses in China still prevail. Since the Tiananmen
Square tragedy of 1989, the annual process of renewal has been a
meaningful way to impact human rights considerations into the U.S.-
china trade debate. The annual debate in the Congress on normal trade
relations is the only substantive economic leverage the Congress can
choose to exert against China. If Congress grants China permanent
normal trade status, the United States will lose the best leverage it
has to meaningfully influence China to enact internationally recognized
rights and protections. While there is no doubt that the globalization
of the world's markets is inevitable, Congress should continue to have
an opportunity to review China's human rights performance on an annual
basis before granting China permanent normal trade relations.
Mr. Speaker, in the past, I have voted in support of most favored
nation [MFN] status for China. Last year, I opposed the year long MFN
for China. However, today, I oppose PNTR for China because of its
potential negative impact on the American worker.
While this bill might provide certain economic benefits and
advantages to some American companies, it could hurt other American
industries and may cost many Americans their jobs. Pursuant to a report
by the Economic Policy Institute, American workers in every state will
lose jobs if this bill is passed. Over the next decade, U.S. job losses
would total 872,091 with every industry suffering.
In the State of Florida alone, an estimated 22,277 jobs will be lost.
If we do not protect the interest of the American worker, then who
will? We must not allow ``big business'' to sell out the American
worker, nor can I allow small business in my district to be severely
impacted by this trade pact.
Most Americans recognize the importance of trade. Most Americans also
recognize the importance of decent wages and decent work standards. In
the United States, our manufacturing industry served as the lifeblood
of millions of Americans for generations. The manufacturing industry
and other similar industries served as a vehicle for millions of
Americans to lift themselves out of poverty and achieve the American
dream. However, in the last 20 years, millions of manufacturing jobs
have been lost to low-wage foreign nations producing cheap imports. We
can not continue to lose American jobs to cheap labor abroad without
substantive protections for the American worker.
Free trade without enforceable labor and environmental protections
will promote the growth of child labor, forced labor, poverty-level
wages and environmental abuses. Increasingly, American companies are
moving their operations abroad in order to take advantage of cheap
labor and near non-existent environmental standards. Unfortunately, for
many businesses, this is the great attraction of China. PNTR will
perpetuate the increasing exploitation of Chinese workers and add to
the suffering of thousands of children who toil in filthy hazardous
sweatshops. We must not aid in this human tragedy.
Mr. Speaker, human rights is a fundamental principal of American
democracy; the ability of the American worker to gain meaningful
employment is critical to the prosperity of America; labor standards
and worker rights are fundamental rights which should be extended to
every worker--across the globe; and exploitation of innocent children
is unacceptable. I urge my colleagues to vote against this bill.
The SPEAKER pro tempore (Mr. LaHood). All time for debate has
expired.
Pursuant to House Resolution 510, the previous question is ordered on
the bill, as amended.
The question is on engrossment and third reading of the bill.
The bill was ordered to be engrossed and read a third time, and was
read the third time.
Motion to Recommit Offered by Mr. Bonior
Mr. BONIOR. Mr. Speaker, I offer a motion to recommit.
The SPEAKER pro tempore. Is the gentleman opposed to the bill?
Mr. BONIOR. I am, Mr. Speaker, in its present form.
The SPEAKER pro tempore. The Clerk will report the motion to
recommit.
The Clerk read as follows:
Mr. Bonior moves to recommit the bill, H.R. 4444, to the
Committee on Ways and Means and the Committee on
International Relations with instructions that those
committees report the bill back to the House promptly with
the following amendment:
Add at the end of title I the following new section:
SEC. 105. WITHDRAWAL OF NORMAL TRADE RELATIONS.
(a) Findings.--The Congress finds that--
(1) Article XXI of the GATT 1994 (as defined in section
2(1)(B) of the Uruguay Round Agreements Act (19 U.S.C.
3501(1)(B)) allows a member of the World Trade Organization
to take ``any action which it considers necessary for the
protection of its essential security interests,''
particularly ``in time of war or other emergency in
international relations''; and
(2) an attack on, invasion of, or blockade of Taiwan by the
People's Republic of China would constitute a threat to the
essential security interests of the United States and an
emergency in international relations.
(b) Withdrawal of Normal Trade Relations.--Pursuant to
Article XXI of the GATT 1994, nondiscriminatory treatment
(normal trade relations treatment) shall be withdrawn from
the products of the People's Republic of China if that
country attacks, invades, or imposes a blockade on Taiwan.
(c) Applicability to Existing Contracts.--The President
shall have the authority to determine the extent to which the
withdrawal under subsection (b) of normal trade relations
treatment applies to products imported pursuant to contracts
entered into before the date on which the withdrawal of such
treatment is announced. The President shall issue regulations
to carry out such determination.
The SPEAKER pro tempore. The gentleman from Michigan (Mr. Bonior) is
recognized for 5 minutes on his motion to recommit.
Mr. BONIOR. Mr. Chairman, I yield to the distinguished gentleman from
California (Mr. Berman).
Mr. BERMAN. Mr. Speaker, the motion to recommit is the exact same
language as an amendment that the gentleman from Pennsylvania (Mr.
Weldon) and I offered in the Committee on Rules we sought to have
incorporated in the base bill or to be offered as an amendment, but we
were not allowed to so. It is very simple. It simply says that PNTR is
automatically revoked if China attacks, invades, or blockades Taiwan.
Now, when we talk to people in the administration or even outside in
the academic world, people who are China experts, they all say, but if
China invades, attacks, or blockades Taiwan, of course we would revoke
PNTR and much more.
But, over and over again in history, we know that when nations do not
tell the consequences for conduct for aggressive actions, other
countries misread those consequences.
Having studied what happened prior to the Gulf War for a very long
time, I believe if we had made more clear to Saddam Hussein what would
have happened should he invade Kuwait, that particular bloody battle
could have been avoided.
If all we are going to do is agree to revoke PNTR should this very
real threat be implemented, then let us tell the Chinese beforehand.
I agree with the gentleman from Illinois (Speaker Hastert), reach out
to the future. But as we do so, remember the past, give the specific
announcement of the consequence for the threat to our national security
interests for which we spend billions of dollars in forward deployment
in the Western Pacific.
And, by the way, this is GATT pursuant to article 21. Arguments being
spread around this Chamber that this somehow is GATT violative are
inaccurate, wrong, and improper legal analysis.
Mr. BONIOR. Mr. Speaker, I yield to the distinguished gentleman from
Georgia (Mr. Norwood).
Mr. NORWOOD. Mr. Speaker, I rise to support this bipartisan motion.
Surely we should use our economic leverage with China to deter any
Chinese aggression against Taiwan. It is a very simple motion that will
do exactly what we need to do to protect our ally.
Mr. BONIOR. Mr. Speaker, I yield to the distinguished gentleman from
Virginia (Mr. Wolf), who has been so marvelous on this issue.
Mr. WOLF. Mr. Speaker, there are good people on both sides. I know as
a Member that sometimes we want to be with our party and sometimes we
want to be with our President.
For me, I want to be with my conscience. My conscience tells me, and
I think the American people would agree, that if China attacks,
invades, or blockades Taiwan, they should lose PNTR.
Support the motion to recommit. That is where the American people
would be.
Mr. BONIOR. Mr. Speaker, I yield to the distinguished gentleman from
New Jersey (Mr. Smith).
Mr. SMITH of New Jersey. Mr. Speaker, I think the bottom line
question we all need to ask, Mr. Speaker, is, is there anything that
the dictatorship in Beijing can do that would lead to a loss of support
for PNTR that Beijing so desperately wants? They need
[[Page H3745]]
to know, as my friend, the gentleman from California (Mr. Berman),
said, up front what the consequences will be.
If pervasive torture, religious persecution, Laogai labor, a lack of
press freedom, and worker rights and other human rights abuses are not
enough, I sincerely hope that war with Taiwan is sufficiently egregious
to trigger a loss of support for PNTR.
Mr. BONIOR. Mr. Speaker, I yield to the gentleman from Colorado (Mr.
Tancredo).
Mr. TANCREDO. Mr. Speaker, I thank the gentleman for yielding.
Mr. Speaker, I asked only three questions of the CIA when I went in
for the briefing. I said, will PNTR, if we pass it, stabilize or
destabilize the regime? They said, stabilize. I said, what will it do
to buildup of forces on the shoreline and the aggressive forces that
are being amassed against Taiwan? They said, it will improve it.
I tell my colleagues now, as I left that meeting, I walked away
thinking about the oath of office I took with all of my colleagues
here, the oath that said I swear to protect and defend this country.
Think about that oath. Vote for this motion to recommit.
Mr. BONIOR. Mr. Speaker, I yield to the distinguished gentleman from
California (Mr. Hunter).
Mr. HUNTER. Mr. Speaker, I thank the gentleman for yielding.
Mr. Speaker, I would simply say, if we supplied the American dollars
for the missile destroyers, we supplied American dollars for the AWACS
and air refueling equipment and for the kilo submarines that China is
acquiring, we at least owe the commitment to Taiwan to condition those
supplies of American cache with a commitment to have a benign
relationship with Taiwan on the part of mainland China.
Mr. DeLAY. Mr. Speaker, I rise in opposition to the motion to
recommit.
Parliamentary Inquiry
Mr. DeLAY. Mr. Speaker, I have a parliamentary inquiry.
The SPEAKER pro tempore. The gentleman will state his inquiry.
Mr. DeLAY. Mr. Speaker, if this motion to recommit passes, it does
not instruct the committee to report back forthwith with instructions.
Does that mean that if this motion to recommit passes that the bill
will have to go back to committee?
{time} 1700
The SPEAKER pro tempore (Mr. LaHood). The gentleman from Texas is
correct.
Mr. DeLAY. Mr. Speaker, what that means is that it will be reported
back to committee, and there will be no vote on final passage?
The SPEAKER pro tempore. The gentleman from Texas is correct, the
bill would be recommitted to two committees.
parliamentary inquiry
Mr. BONIOR. Mr. Speaker, I have a parliamentary inquiry.
The SPEAKER pro tempore. The gentleman will state it.
Mr. BONIOR. Mr. Speaker, is it not also true that if indeed this
motion passed, this bill could be reported back to the two respective
committees to which it is designated and that bill could be reported
back to the House tomorrow?
The SPEAKER pro tempore. At some subsequent time, the committees
could meet and report the bill back to the House.
Mr. DeLAY. Mr. Speaker, I yield 2 minutes to the gentleman from
Washington (Mr. Dicks).
Mr. DICKS. Mr. Speaker, as a member of the Subcommittee on Defense of
the Committee on Appropriations for 22 years and a former member of the
Permanent Select Committee on Intelligence, I rise to oppose the motion
to recommit. First of all, the Bonior motion to recommit violates GATT
provision article 1, because you cannot condition most favored nation
status, MFN, or NTR, so this is a killer amendment.
The President, by the way, already has the authority to withdraw at
any time MFN or NTR status for the People's Republic of China. Also,
under article 21 of GATT, the United States has unilateral authority to
exert its national security exception for any reason. Clearly reacting
to an attack on Taiwan would meet the security exception.
The U.S. can withdraw MFN or NTR clearly under those circumstances
without having to in any way compensate China. And WTO members have
wide discretion to invoke its GATT 21 rights. This authority has gone
back for many years. We have exerted it against Cuba, we have exerted
it against Nicaragua, and it has been sustained in every instance. So
this amendment is not necessary, it is a killer amendment, and I hope
that the House will reject the motion to recommit.
Mr. DeLAY. Mr. Speaker, I rise in strong opposition to this motion to
recommit. If Members are for the bill, vote for it. If they are against
the bill, vote against it, but do not do it this way. This is a very
clear poison pill by opponents of free trade to kill this historic
legislation, make no mistake about it. This amendment is a procedural
vote that is cleverly drafted to appeal to those of us who support
Taiwan. But let us be clear. This is a blatant political move to bring
down this bill both on substance and on procedure.
Mr. Speaker, there is no bigger supporter and defender of Taiwan than
myself. I have worked with Members on both sides of this aisle and on
both sides of this debate on legislation to protect Taiwan and give it
the resources it needs to defend itself from Beijing. Most Members
voted for the Taiwan Security Enhancement Act. I have been and will
continue to be an outspoken opponent against China's Communist leaders.
I share the concerns of my friend the gentleman from California (Mr.
Berman) about Beijing's constant refusal to renounce the use of force
against Taiwan, and I will continue to work with anyone in this
Congress who wants to address these issues. But, Mr. Speaker, this
amendment does not help Taiwan. It puts them square in the middle of a
vicious political fight. Taiwan supporters need to understand this.
Taiwan does not support this language. We have spoken to I-jen Chiou,
the Deputy Secretary-General of the Taiwan Security Council, and he
made it clear that this amendment is not helpful to Taiwan. They
support PNTR. They support China getting into the WTO. This amendment
puts all of that in jeopardy.
Let me say to my friends on both sides of the aisle, if China attacks
Taiwan, I will be the first to come down on this floor to force any
administration, whether it be Democrat or Republican, to take action
against China. But let us be clear. This language will do nothing to
address our concerns with Beijing, it will have no impact on their
actions but will permit the Chinese to refuse WTO benefits to American
companies.
The USTR has already made it clear that this language will subject us
to punishing tariffs once China enters the WTO. And at the same time,
it does not give us any new authority. We already have the authority
under the WTO to remove PNTR for China for national security reasons.
However, singling out China preemptively is a violation of our
commitments under the WTO. So, Mr. Speaker, I understand why this
language looks appealing, but I urge my colleagues not to use our
friends in Taiwan as a political tool.
After all the discussions, after all the commitments that have been
made on this issue, Members will not even get to vote on final passage
today if this motion to recommit passes. Now, they say it will come
back from committee. I have got to tell Members, they do not come back
from committee. When motions to recommit like this go back to
committee, they are subject to oblivion.
This is it. If you are against it, vote against the bill. If you are
for it, vote for the bill but do not play this kind of game. Vote
``no'' on the motion to recommit.
The SPEAKER pro tempore. Without objection, the previous question is
ordered on the motion to recommit.
There was no objection.
The SPEAKER pro tempore. The question is on the motion to recommit.
The question was taken; and the Speaker pro tempore announced that
the noes appeared to have it.
Recorded Vote
Mr. BONIOR. Mr. Speaker, I demand a recorded vote.
A recorded vote was ordered.
The vote was taken by electronic device, and there were--ayes 176,
noes 258, not voting 1, as follows:
[[Page H3746]]
[Roll No. 227]
AYES--176
Abercrombie
Aderholt
Andrews
Baca
Baldacci
Baldwin
Barcia
Barr
Barrett (WI)
Bartlett
Barton
Berkley
Berman
Blagojevich
Bonior
Borski
Boucher
Brady (PA)
Brown (FL)
Brown (OH)
Burton
Buyer
Capuano
Chabot
Chenoweth-Hage
Clay
Clement
Clyburn
Coburn
Condit
Conyers
Cook
Costello
Coyne
Crowley
Cummings
Danner
Davis (IL)
DeFazio
Delahunt
DeLauro
Deutsch
Dingell
Doyle
Duncan
Engel
Evans
Farr
Forbes
Frank (MA)
Gejdenson
Gephardt
Gibbons
Gilman
Goode
Gordon
Graham
Green (TX)
Gutierrez
Hall (OH)
Hefley
Hilliard
Hinchey
Hoeffel
Hoekstra
Holden
Holt
Horn
Hostettler
Hunter
Jackson (IL)
Jackson-Lee (TX)
Jones (NC)
Jones (OH)
Kanjorski
Kaptur
Kasich
Kennedy
Kildee
Kilpatrick
Kingston
Kleczka
Klink
Kucinich
Lampson
Lantos
Lee
Lewis (GA)
Lipinski
LoBiondo
Luther
Markey
Mascara
McCarthy (NY)
McGovern
McIntyre
McKinney
McNulty
Menendez
Millender-McDonald
Miller, George
Mink
Moakley
Mollohan
Murtha
Nadler
Ney
Norwood
Oberstar
Obey
Olver
Owens
Pallone
Pascrell
Payne
Pelosi
Peterson (MN)
Phelps
Pombo
Rahall
Riley
Rivers
Rodriguez
Rogan
Rogers
Rohrabacher
Rothman
Roybal-Allard
Rush
Sabo
Sanchez
Sanders
Sandlin
Saxton
Schaffer
Schakowsky
Sensenbrenner
Shadegg
Sherman
Shows
Sisisky
Slaughter
Smith (MI)
Smith (NJ)
Souder
Spence
Spratt
Stabenow
Stark
Stearns
Strickland
Stupak
Tancredo
Taylor (MS)
Taylor (NC)
Thompson (MS)
Thurman
Tierney
Towns
Traficant
Udall (CO)
Udall (NM)
Velazquez
Vento
Visclosky
Wamp
Waters
Waxman
Weldon (FL)
Wexler
Weygand
Wise
Wolf
Woolsey
Wu
Wynn
NOES--258
Ackerman
Allen
Archer
Armey
Bachus
Baird
Baker
Ballenger
Barrett (NE)
Bass
Bateman
Becerra
Bentsen
Bereuter
Berry
Biggert
Bilbray
Bilirakis
Bishop
Bliley
Blumenauer
Blunt
Boehlert
Boehner
Bonilla
Bono
Boswell
Boyd
Brady (TX)
Bryant
Burr
Callahan
Calvert
Camp
Campbell
Canady
Cannon
Capps
Cardin
Carson
Castle
Chambliss
Clayton
Coble
Collins
Combest
Cooksey
Cox
Cramer
Crane
Cubin
Cunningham
Davis (FL)
Davis (VA)
Deal
DeGette
DeLay
DeMint
Diaz-Balart
Dickey
Dicks
Dixon
Doggett
Dooley
Doolittle
Dreier
Dunn
Edwards
Ehlers
Ehrlich
Emerson
English
Eshoo
Etheridge
Everett
Ewing
Fattah
Filner
Fletcher
Foley
Ford
Fossella
Fowler
Franks (NJ)
Frelinghuysen
Frost
Gallegly
Ganske
Gekas
Gilchrest
Gillmor
Gonzalez
Goodlatte
Goodling
Goss
Granger
Green (WI)
Greenwood
Gutknecht
Hall (TX)
Hansen
Hastert
Hastings (FL)
Hastings (WA)
Hayes
Hayworth
Herger
Hill (IN)
Hill (MT)
Hilleary
Hinojosa
Hobson
Hooley
Houghton
Hoyer
Hulshof
Hutchinson
Hyde
Inslee
Isakson
Istook
Jefferson
Jenkins
John
Johnson (CT)
Johnson, E. B.
Johnson, Sam
Kelly
Kind (WI)
King (NY)
Knollenberg
Kolbe
Kuykendall
LaFalce
LaHood
Largent
Larson
Latham
LaTourette
Lazio
Leach
Levin
Lewis (CA)
Lewis (KY)
Linder
Lofgren
Lowey
Lucas (KY)
Lucas (OK)
Maloney (CT)
Maloney (NY)
Manzullo
Martinez
Matsui
McCarthy (MO)
McCollum
McCrery
McDermott
McHugh
McInnis
McIntosh
McKeon
Meehan
Meek (FL)
Meeks (NY)
Metcalf
Mica
Miller (FL)
Miller, Gary
Minge
Moore
Moran (KS)
Moran (VA)
Morella
Myrick
Napolitano
Neal
Nethercutt
Northup
Nussle
Ortiz
Ose
Oxley
Packard
Pastor
Paul
Pease
Peterson (PA)
Petri
Pickering
Pickett
Pitts
Pomeroy
Porter
Portman
Price (NC)
Pryce (OH)
Quinn
Radanovich
Ramstad
Rangel
Regula
Reyes
Reynolds
Roemer
Ros-Lehtinen
Roukema
Royce
Ryan (WI)
Ryun (KS)
Salmon
Sanford
Sawyer
Scott
Serrano
Sessions
Shaw
Shays
Sherwood
Shimkus
Shuster
Simpson
Skeen
Skelton
Smith (TX)
Smith (WA)
Snyder
Stenholm
Stump
Sununu
Sweeney
Talent
Tanner
Tauscher
Tauzin
Terry
Thomas
Thompson (CA)
Thornberry
Thune
Tiahrt
Toomey
Turner
Upton
Vitter
Walden
Walsh
Watkins
Watt (NC)
Watts (OK)
Weiner
Weldon (PA)
Weller
Whitfield
Wicker
Wilson
Young (AK)
Young (FL)
NOT VOTING--1
Scarborough
{time} 1724
Mr. Rush and Ms. Waters changed their vote from ``no'' to ``aye.''
So the motion was rejected.
The result of the vote was announced as above recorded.
The SPEAKER pro tempore (Mr. LaHood). The question is on the passage
of the bill.
The question was taken; and the Speaker pro tempore announced that
the ayes appeared to have it.
Recorded Vote
Mr. CRANE. Mr. Speaker, I demand a recorded vote.
A recorded vote was ordered.
The vote was taken by electronic device, and there were--ayes 237,
noes 197, not voting 1, as follows:
[Roll No. 228]
AYES--237
Ackerman
Allen
Archer
Armey
Bachus
Baird
Baker
Ballenger
Barrett (NE)
Bass
Bateman
Becerra
Bentsen
Bereuter
Berry
Biggert
Bilbray
Bishop
Bliley
Blumenauer
Blunt
Boehlert
Boehner
Bonilla
Bono
Boswell
Boyd
Brady (TX)
Bryant
Callahan
Calvert
Camp
Campbell
Canady
Cannon
Capps
Cardin
Carson
Castle
Chabot
Chambliss
Combest
Cooksey
Cox
Cramer
Crane
Cubin
Cunningham
Davis (FL)
Davis (VA)
DeGette
DeLay
DeMint
Dickey
Dicks
Dixon
Doggett
Dooley
Doolittle
Dreier
Dunn
Edwards
Ehlers
Emerson
English
Eshoo
Etheridge
Everett
Ewing
Fletcher
Foley
Ford
Fossella
Fowler
Franks (NJ)
Frelinghuysen
Frost
Gallegly
Ganske
Gekas
Gilchrest
Gillmor
Gonzalez
Goodlatte
Goss
Granger
Green (WI)
Greenwood
Gutknecht
Hall (TX)
Hansen
Hastert
Hastings (WA)
Herger
Hill (IN)
Hill (MT)
Hilleary
Hinojosa
Hobson
Hooley
Houghton
Hoyer
Hulshof
Hutchinson
Hyde
Inslee
Isakson
Istook
Jackson-Lee (TX)
Jefferson
Jenkins
John
Johnson (CT)
Johnson, E. B.
Johnson, Sam
Kasich
Kelly
Kind (WI)
Knollenberg
Kolbe
Kuykendall
LaFalce
LaHood
Largent
Latham
Lazio
Leach
Levin
Lewis (CA)
Lewis (KY)
Linder
Lofgren
Lowey
Lucas (KY)
Lucas (OK)
Maloney (NY)
Manzullo
Martinez
Matsui
McCollum
McCrery
McDermott
McHugh
McInnis
McIntosh
McKeon
Meehan
Meeks (NY)
Miller (FL)
Miller, Gary
Minge
Moore
Moran (KS)
Moran (VA)
Morella
Myrick
Neal
Nethercutt
Northup
Nussle
Ortiz
Ose
Oxley
Packard
Pease
Peterson (PA)
Petri
Pickering
Pickett
Pitts
Pomeroy
Porter
Portman
Price (NC)
Pryce (OH)
Radanovich
Ramstad
Rangel
Regula
Reyes
Reynolds
Roemer
Rogan
Roukema
Royce
Ryan (WI)
Ryun (KS)
Salmon
Sandlin
Sawyer
Schaffer
Serrano
Sessions
Shadegg
Shaw
Shays
Sherwood
Shimkus
Shuster
Simpson
Skeen
Skelton
Smith (MI)
Smith (TX)
Smith (WA)
Snyder
Stenholm
Stump
Sununu
Sweeney
Talent
Tanner
Tauscher
Tauzin
Terry
Thomas
Thompson (CA)
Thornberry
Thune
Thurman
Tiahrt
Toomey
Turner
Upton
Vitter
Walden
Walsh
Watkins
Watts (OK)
Waxman
Weiner
Weldon (PA)
Weller
Whitfield
Wicker
Wilson
Young (FL)
NOES--197
Abercrombie
Aderholt
Andrews
Baca
Baldacci
Baldwin
Barcia
Barr
Barrett (WI)
Bartlett
Barton
Berkley
Berman
Bilirakis
Blagojevich
Bonior
Borski
Boucher
Brady (PA)
Brown (FL)
Brown (OH)
Burr
Burton
Buyer
Capuano
Chenoweth-Hage
Clay
Clayton
Clement
Clyburn
Coble
Coburn
Collins
Condit
Conyers
Cook
Costello
Coyne
Crowley
Cummings
Danner
Davis (IL)
Deal
DeFazio
Delahunt
DeLauro
Deutsch
Diaz-Balart
Dingell
Doyle
Duncan
Ehrlich
Engel
Evans
Farr
Fattah
Filner
Forbes
Frank (MA)
Gejdenson
Gephardt
Gibbons
Gilman
Goode
Goodling
Gordon
Graham
Green (TX)
Gutierrez
Hall (OH)
Hastings (FL)
Hayes
Hayworth
Hefley
Hilliard
Hinchey
Hoeffel
Hoekstra
Holden
Holt
Horn
Hostettler
Hunter
Jackson (IL)
Jones (NC)
Jones (OH)
Kanjorski
Kaptur
Kennedy
Kildee
Kilpatrick
King (NY)
Kingston
Kleczka
Klink
Kucinich
[[Page H3747]]
Lampson
Lantos
Larson
LaTourette
Lee
Lewis (GA)
Lipinski
LoBiondo
Luther
Maloney (CT)
Markey
Mascara
McCarthy (MO)
McCarthy (NY)
McGovern
McIntyre
McKinney
McNulty
Meek (FL)
Menendez
Metcalf
Mica
Millender-McDonald
Miller, George
Mink
Moakley
Mollohan
Murtha
Nadler
Napolitano
Ney
Norwood
Oberstar
Obey
Olver
Owens
Pallone
Pascrell
Pastor
Paul
Payne
Pelosi
Peterson (MN)
Phelps
Pombo
Quinn
Rahall
Riley
Rivers
Rodriguez
Rogers
Rohrabacher
Ros-Lehtinen
Rothman
Roybal-Allard
Rush
Sabo
Sanchez
Sanders
Sanford
Saxton
Schakowsky
Scott
Sensenbrenner
Sherman
Shows
Sisisky
Slaughter
Smith (NJ)
Souder
Spence
Spratt
Stabenow
Stark
Stearns
Strickland
Stupak
Tancredo
Taylor (MS)
Taylor (NC)
Thompson (MS)
Tierney
Towns
Traficant
Udall (CO)
Udall (NM)
Velazquez
Vento
Visclosky
Wamp
Waters
Watt (NC)
Weldon (FL)
Wexler
Weygand
Wise
Wolf
Woolsey
Wu
Wynn
Young (AK)
NOT VOTING--1
Scarborough
{time} 1741
So the bill was passed.
The result of the vote was announced as above recorded.
The title was amended so as to read: ``A bill to authorize extension
of nondiscriminatory treatment (normal trade relations treatment) to
the People's Republic of China, and to establish a framework for
relations between the United States and the People's Republic of
China.''.
A motion to reconsider was laid on the table.
____________________