[Congressional Record (Bound Edition), Volume 146 (2000), Part 7]
[Extensions of Remarks]
[Pages 9459-9461]
[From the U.S. Government Publishing Office, www.gpo.gov]



  AUTHORIZING EXTENSION OF NON-DISCRIMINATORY TREATMENT (NORMAL TRADE 
           RELATIONS TREATMENT) TO PEOPLE'S REPUBLIC OF CHINA

                                 ______
                                 

                               speech of

                        HON. SHEILA JACKSON-LEE

                                of texas

                    in the house of representatives

                        Wednesday, May 24, 2000

  Ms. JACKSON-LEE of Texas. Mr. Speaker, I rise today in support of 
granting Permanent Normal Trade Relations for China. I have come to 
this conclusion after intensely listening to arguments for some period 
of time from many supporters and opponents of the PNTR, and weighing 
the pros and cons of this extremely important trade bill.
  I want to thank Chairman Archer and Ranking Member Rangel for their 
important work on this legislation. They should be commended for their 
hard work.
  It is my hope that everyone's views on this bill will be respected on 
this vote, and that we will find a constructive way to unify after this 
vote for the good of all Americans. This is truly

[[Page 9460]]

a vote of conscience that each and every member has wrestled with.
  For several years, I have recognized that trade with China has value 
for Americans and the people of China, yet I have reservations. My 
record on trade measures since coming to Congress demonstrates my 
willingness to evaluate each vote on its own merits. Each year that I 
have voted for most-favored-nation status for China, I have likewise 
raised my voice against the ``undemocratic'' ways of that nation.
  It is imperative that we recognize that American companies must 
reinvest in rural and urban America as a result of PNTR. Unlike during 
the Cold War, we have unparalleled opportunities to bring the people of 
China and America much closer together. America has a responsibility to 
invest and to establish a rapid response for companies that are 
affected as a result of job loss.
  I have been working very closely with the Administration to secure a 
commitment to designate the Department of Labor to study job losses and 
to provide added relief to American workers adversely affected by the 
PNTR agreement.
  I have also worked to establish a Task Force on small businesses from 
a range of agencies within the United States government to facilitate 
and negotiate doing business in China. This Task Force would be 
responsible for specifically encouraging trade between United States 
small businesses and these newly established small businesses in China.
  We are not here to discuss whether China will gain access to the WTO. 
We recognize it will do so and that the unconditional most-favored 
nation (MFN) principle requires that trade concessions be granted 
``immediately and unconditionally'' to all 135 WTO Members. More 
importantly, the World Trade Organization is not nor should it be a 
human rights policy toward China. Nothing about this vote should 
reflect our nation's views about current or past human rights practices 
in China. This is about how to bring about change over the long-term.
  The World Trade Organization would strengthen against surges in 
imports from China and open Chinese markets to more U.S. exports. The 
November 1999 Agreement between the United States and China contains a 
product-specific safeguard, which will be included in China's protocol 
of accession to the WTO. A provision was recently added to this 
legislation that spells out procedures for effectively invoking that 
safeguard.
  H.R. 4444 presently before the House enables the United States to 
grant PNTR to China once it has completed its accession, provided that 
it is on terms at least as good as those in our 1999 bilateral 
agreement. By granting permanent trade relations to China, it will open 
its markets to an unprecedented degree, while in return the United 
States simply maintains its current market access policies. The 
enhanced trade and services for American and Chinese companies could be 
dramatic for Texans and Americans as a whole.
  Texas alone has export sales to China of more than $580 million in 
1998--nearly 50 percent above its sales in 1993. Shipments through the 
Port of Houston with China including Hong Kong totaled $444 million in 
1998. In 1999, air cargo trade between Houston and China including Hong 
Kong totaled 1.5 million kilograms and was valued at $56 million. In 
short, China has come a long way since we established relations in 
1971, and develop further relations through PNTR.
  Through the PNTR deal, we gain even more significant concessions 
regarding PNTR. U.S. companies would be able to take advantage of 
several provisions of the U.S.-China Trade deal after China accedes to 
the WTO, but only if Congress permanently normalizes China's trade 
status. For example, tariffs on industrial products on coming into 
China would fall to an average of 9.4 percent by 2005 from 24 percent. 
Agricultural tariffs will fall to 17.5 percent from 31 percent.
  In addition, the technology industry in my district would benefit 
from PNTR. For example, foreign companies would be able to own up to 49 
percent of Chinese telecommunications ventures upon China's entry into 
the WTO, and up to 50 percent in the second year. And China will import 
some 40 foreign films in the first year of the agreement, up from 10, 
and allow foreign films and musical companies to share in distribution 
revenues on 20 of these films. The benefits are clearly advantageous to 
our industries as we support democratization in China.
  PNTR is more than a matter of economics for so many of us--including 
those that have worked on the promotion of democracy and the rule of 
law around the world. I happen to have been one who with great 
trepidation voted for the MFN status, based upon the many strong 
arguments that have been made that if you continue to expose a nation 
to opportunity, to democracy, to the respect of human rights, would see 
gradually those parts of the world. I am hoping and would hope most of 
us would like to believe that we have that kind of trend moving forward 
in China.
  I have had discussions with Former President Jimmy Carter, who 
strongly voiced his support for granting PNTR to China. Clearly, 
religious oppression is a continuous concern as a general matter in 
China. Nevertheless, President Carter eloquently emphasized that 
villages outside large cities in China are having free elections and 
that the freedom to practice one's religion has been growing. This is a 
very positive development. The Chinese people must be counted on to 
relish these rights and to fight for opportunities at the table of 
democracy.
  Former President Jimmy Carter has worked relentlessly since leaving 
the oval office to press for open, free, and fair elections all over 
the world. He has been advocating a powerful human rights agenda within 
our foreign policy and I salute him for his efforts.
  PNTR could help many of these villagers find ways to improve their 
economic and social well being. For example, some companies are simply 
showing the Chinese how to improve fertilizers to improve agricultural 
growth. The people of China certainly should be empowered with the 
ability to feed their people. That should be a basic right.
  At the same time, Americans should understand that granting PNTR 
should not remove the responsibility from Congress, this 
Administration, or any future Administration in assessing and 
responding to any drastic negative impact on Americans as a result of 
this legislation. For this reason, I expect to develop specific 
proposals with the Administration that will help small businesses under 
PNTR. This is vital to small businesses, especially minority and women-
owned entities.
  In the 18th Congressional District in Houston, Texas, which has a per 
capita income of $11,091, many of the constituents have not prospered 
as much as others throughout the Nation. PNTR will spur capital 
investments, and investment opportunities that would come from 
international trade.
  There will be more appropriate opportunities for expressing 
dissatisfaction with China's human rights record. I strongly share the 
view that we must keep pressure on China. A congressional-executive 
commission within this legislation would help monitor human rights and 
labor rights while placing safeguards against import surges could play 
a pivotal role regarding our concerns in China. By addressing human 
rights matters when they arise, the United States can continue to play 
a crucial role in demanding that the Chinese leadership live up to WTO 
commitments.
  We must also recognize that the United States has held a vote on 
renewal of PNTR status for China every year since 1990, never once 
actually withdrawing NTR status. Unfortunately, the annual NTR vote has 
been less than effective in promoting the protection of human rights 
standards in China.
  Some argue that granting PNTR means the United States loses leverage 
over China by surrendering annual reviews. I have considered the 
gravity of this question for some time. In my work in Congress on 
numerous human rights matters, whether domestic or internationally 
oriented, I have focused much of my attention, as a Representative of 
the 18th Congressional District, on the promotion of economic, civil, 
and political rights. I have never hesitated to expressly address basic 
human rights violations wherever the may occur and specifically in the 
context of the annual review process for normal trade relations (NTR) 
with China.
  Under the proposed legislation, U.S. industries or workers claiming 
injury due to import surges from China would have legal recourse to the 
International Trade Commission and in other venues. This would protect 
our workers or U.S. industries that suffer job losses as a result of 
the agreement with China.
  The vote on PNTR provides a unique opportunity to support the 
democratization of China. We should be honest that it will not happen 
overnight. It will only happen over time.
  Mr. Speaker, a ``no'' vote would damage our Sino-American relations--
both economic and strategic--for years to come. By denying permanent 
normal trade relations status, we would irreparably damage our 
relationship with China, a country of 1.2 billion. I do not think we 
can afford to follow such a perilous course.
  As I review our options today, I am simply unconvinced that 
constraining China in our trade relations within the WTO will help 
advance human rights in China. To the contrary, I have become 
increasingly convinced that changes resulting from the deal, including 
greater foreign investment and trade, will benefit ordinary Chinese 
workers and businessmen with the outside world.

[[Page 9461]]

  Finally, I have deliberated very carefully about the magnitude of 
this decision. I recognize that trade with China and trade generally is 
good for our economy and the American people. At the same time, I look 
forward to opportunities through the WTO to enhance the protection of 
human rights as I and other lawmakers have advocated.
  Mr. Speaker, a vote for PNTR will not leave any American worker 
behind. We must export democracy to China and not ignore this momentous 
opportunity. For these reasons, I will vote to give opportunities to 
the American worker, I will vote to give opportunities to American 
businesses, and I will vote to give opportunities to the people of 
China. We must seize the opportunity to export American values of 
peace, security, democracy, and a better way of life.

                          ____________________