[Congressional Record (Bound Edition), Volume 147 (2001), Part 5]
[Senate]
[Pages 6554-6555]
[From the U.S. Government Publishing Office, www.gpo.gov]



                    U.S. POLICY TO CHINA AND TAIWAN

  Mr. BAUCUS. Mr. President, these past few weeks have been eventful 
ones in our relationship with China.
  President Bush announced a robust arms sale package for Taiwan. It 
included several major weapons systems and, of greater long-term 
significance, it provides for increased cooperation and coordination 
between our two military forces. He also announced the end of the 
annual review of arms needs, putting our support for Taiwan's defense 
on a more regular and less political setting.
  We secured the release of our reconnaissance plan's crew that was 
being held on Hainan Island. Subsequently, there were several 
important, albeit inconclusive, meetings with Chinese representatives 
about the return of the plane and about establishing future rules of 
engagement to ensure that there will not be a repeat of this 
irresponsible Chinese action.
  President Bush made a potentially dangerous gaffe in an interview 
where he seemed to reverse precipitously a two decade old policy that 
has resulted in relative stability across the Taiwan Strait. I believe 
that the trilateral relationship among the PRC, Taiwan, and the United 
States, and the ``One China'' policy must adapt and evolve. But change 
must be made with extreme care.
  The United States approved a visa for former Taiwan president Lee 
Teng-hui to visit for a month, and we have agreed to issue a transit 
visa for current Taiwan President Chen Shui-bian, although the 
conditions set on President Chen's visit are still under negotiations.
  China continues to hold as a prisoner Gao Zhan, an innocent scholar 
who is a permanent resident of our country with a U.S. citizen husband 
and son. They also hold several other American citizens of Chinese 
origin.
  Some of these developments are infuriating and frustrating. After our 
plane was downed, some in Congress called for revenge, retaliation, and 
retribution. Proposals include that Congress reverse its approval of 
PNTR, Permanent Normal Trade Relations, for China; that the United 
States oppose holding the 2008 Summer Olympics in Beijing; and that we 
reduce or cease military-to-military relations with China.
  Our long-term interests with China require a carefully measured 
course of action. We cannot allow emotion to obscure our policy 
objectives. And we cannot determine China policy based on vague 
ideological images.
  Like all Americans, I am outraged by the behavior of the Chinese 
Government in holding the crew of our reconnaissance plane and 
demanding an American apology, when the blame was so clearly with a 
reckless Chinese pilot following reckless orders.
  I congratulate President Bush on his handling of the first foreign 
policy crisis of this administration. He kept emotions in check. He 
rejected the advice of those who wanted to take precipitous action. He 
secured the safe release of our crew without giving China the kowtowing 
apology they demanded.
  President Bush's decision last week on which defense items to 
transfer to Taiwan was also responsible and correct. It will provide 
Taiwan with the hardware and the ``humanware'' it needs to defend 
itself, while avoiding actions that would have been unnecessarily 
provocative vis-a-vis China. Unfortunately, he followed this measured 
decision with a ``shoot from the hip'' comment on a possible U.S. 
response to Chinese military action against Taiwan. That remark has 
created unnecessary confusion, uncertainty, and potential instability 
across the Taiwan Strait.
  We need to look at what is good for U.S. interests, not what is bad 
for China. There is no room for emotion as we defined the relationship 
we want with China and determine how to move them in the right 
direction.
  Last year Congress approved, by a wide margin, legislation granting 
Permanent Normal Trade Relations status to China once they join the 
World Trade Organization. The benefits of incorporating China into the 
world trade community were clear.
  American farmers, businesses, and workers would be well served by a 
growing and liberalized economy in China. Economic growth in China 
would, over the long term, lead to a larger middle class making its own 
demands on the government for greater accountability and personal 
choice, just as happened in South Korea and Taiwan. Membership in the 
WTO would bring international disciplines to the Chinese economy. And 
the reformers, led by Premier Zhu Rongji, would be strengthened.
  The events of the last few weeks have not changed this calculation. 
If anything, nurturing growth in our economic and trade relationship 
with China is more important than ever.
  Let's be clear about what happened in China while our crew was 
detained on Hainan Island.
  The delay in releasing our crew members was a reflection of a 
monumental struggle for China's future between reformers led by Premior 
Zhu Rongji and President Jian Zemin, on one side, and the old guard, 
including the People's Liberation Army, the managers of most state-
owned enterprises, and many entrenched politicians, on the other side. 
That is, a battle between those who we hope will be China's future and 
those who should be made part of China's past.
  One manifestation of this struggle is political and perhaps 
increasing military friction with the United States. Taiwan remains the 
No. 1 flashpoint. Add disputes over human rights, political prisoners, 
arrest of American citizens and permanent residents of Chinese origin, 
Tibet, regional policies, weapons transfer. These issues will remain 
with us for years. if not decades.
  Our decisions must be measured through one optic: What are the core 
American strategic and economic interests vis-a-vis China?

[[Page 6555]]

  First, we want stability in the Asian region. We must ensure that 
China does not threaten this stability. That means committing the 
United States to being a full participant in Asia--economically, 
politically, and militarily. This includes ensuring peace across the 
Taiwan Strait, and that means providing Taiwan with the tools necessary 
for its defense and assisting with the peaceful resolution of the 
China-Taiwan issue.
  Second, we want to help in the transformation of China from a 
totalitarian state with a nonmarket economy toward a more liberalized 
political and economic regime. That means incorporating China into the 
world trade community while insisting on respect for basic human 
rights.
  Third, we want full access for American goods and services to the 
largest country in the world with the fastest growing economy. That 
means completing China's accession to the WTO, granting them PNTR, and 
supporting our businesses' efforts to penetrate the Chinese economy. It 
does not mean revoking China's established normal trade status.
  To isolate China and to seek retribution might feel good, but it 
would not do good. Even worse, it threatens our core long-term 
interests. We should responsibly protect our interests and confront 
China when situations warrant. But reason, not emotion, must guide our 
decisions.

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