[Weekly Compilation of Presidential Documents Volume 30, Number 21 (Monday, May 30, 1994)]
[Pages 1166-1171]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
The President's News Conference

May 26, 1994

China

    The President. Good afternoon. Today I would like to announce a 
series of important decisions regarding United States policy toward 
China.
    Our relationship with China is important to all Americans. We have 
significant interests in what happens there and what happens between us. 
China has an atomic arsenal and a vote and a veto in the U.N. Security 
Council. It is a major factor in Asian and global security. We share 
important interests, such as in a nuclear-free Korean Peninsula and in 
sustaining the global environment. China is also the world's fastest 
growing economy. Over $8 billion of United States exports to China last 
year supported over 150,000 American jobs.
    I have received Secretary Christopher's letter recommending, as 
required by last year's Executive order, reporting to me on the 
conditions in that Executive order. He has reached a conclusion with 
which I agree, that the Chinese did not achieve overall significant 
progress in all the areas outlined in the Executive order relating to 
human rights, even though clearly there was progress made in important 
areas, including the resolution of all emigration cases, the 
establishment of a memorandum of understanding with regard to how prison 
labor issues would be resolved, the adherence to the Universal 
Declaration of Human Rights and other issues.
    Nevertheless, serious human rights abuses continue in China, 
including the arrest and detention of those who peacefully voice their 
opinions and the repression of Tibet's religious and cultural 
traditions.
    The question for us now is, given the fact that there has been some 
progress but that not all the requirements of the Executive order were 
met, how can we best advance the cause of human rights and the other 
profound interests the United States has in our relationship with China?
    I have decided that the United States should renew most-favored-
nation trading status toward China. This decision, I believe, offers us 
the best opportunity to lay the basis for long-term sustainable progress 
in human

[[Page 1167]]

rights and for the advancement of our other interests with China. 
Extending MFN will avoid isolating China and instead will permit us to 
engage the Chinese with not only economic contacts but with cultural, 
educational, and other contacts and with a continuing aggressive effort 
in human rights, an approach that I believe will make it more likely 
that China will play a responsible role, both at home and abroad.
    I am moving, therefore, to delink human rights from the annual 
extension of most-favored-nation trading status for China. That linkage 
has been constructive during the past year. But I believe, based on our 
aggressive contacts with the Chinese in the past several months, that we 
have reached the end of the usefulness of that policy and it is time to 
take a new path toward the achievement of our constant objectives. We 
need to place our relationship into a larger and more productive 
framework.
    In view of the continuing human rights abuses, I am extending the 
sanctions imposed by the United States as a result of the events in 
Tiananmen Square, and I am also banning the import of munitions, 
principally guns and ammunition from China. I am also pursuing a new and 
vigorous American program to support those in China working to advance 
the cause of human rights and democracy. This program will include 
increased broadcasts for Radio Free Asia and the Voice of America, 
increased support for nongovernmental organizations working on human 
rights in China, and the development with American business leaders of a 
voluntary set of principles for business activity in China.
    I don't want to be misunderstood about this: China continues to 
commit very serious human rights abuses. Even as we engage the Chinese 
on military, political, and economic issues, we intend to stay engaged 
with those in China who suffer from human rights abuses. The United 
States must remain a champion of their liberties.
    I believe the question, therefore, is not whether we continue to 
support human rights in China but how we can best support human rights 
in China and advance our other very significant issues and interests. I 
believe we can do it by engaging the Chinese. I believe the course I 
have chosen gives us the best chance of success on all fronts. We will 
have more contacts. We will have more trade. We will have more 
international cooperation. We will have more intense and constant dialog 
on human rights issues. We will have that in an atmosphere which gives 
us the chance to see China evolve as a responsible power, ever-growing 
not only economically but growing in political maturity so that human 
rights can be observed.
    To those who argue that in view of China's human rights abuses we 
should revoke MFN status, let me ask you the same question that I have 
asked myself over and over these last few weeks as I have studied this 
issue and consulted people of both parties who have had experience with 
China over many decades.
    Will we do more to advance the cause of human rights if China is 
isolated or if our nations are engaged in a growing web of political and 
economic cooperation and contacts? I am persuaded that the best path for 
advancing freedom in China is for the United State to intensify and 
broaden its engagement with that nation.
    I think we have to see our relations with China within the broader 
context of our policies in the Asian-Pacific region, a region that, 
after all, includes our own Nation. This week, we've seen encouraging 
developments, progress on resolving trade frictions with the Japanese, 
and possible progress towards stopping North Korea's nuclear program.
    I am determined to see that we maintain an active role in this 
region in both its dynamic economic growth and in its security. In three 
decades and three wars during this century, Americans have fought and 
died in the Asian-Pacific to advance our ideals and our security. Our 
destiny demands that we continue to play an active role in this region. 
The actions I have taken today to advance our security, to advance our 
prosperity, to advance our ideals I believe are the important and 
appropriate ones. I believe, in other words, this is in the strategic, 
economic, and political interests of both the United States and China, 
and I am confident that over the long run this decision will prove to be 
the correct one.
    Q. Mr. President, most of the conditions, the aspects of this 
problem were prevalent

[[Page 1168]]

last year when you made very strong threats of a cutoff of human rights. 
Aren't you really bowing to big business and backing off of human rights 
in terms of the world perception?
    The President. No. No, I don't think so. And if you've seen the 
statements of recent days by many others--Senator Bradley and many other 
Members of the Senate, other members of the American political community 
who have also evolved in their view, I think most people believe, number 
one, that conditions have changed.
    I think it's very important to say that under the terms of this 
agreement some progress has been made. Some important political 
dissidents have been released. We've gotten information on Tibetan 
prisoners for the first time. We have a process now with operable 
deadlines for looking into these disputes over prison labor matters. We 
have at least an adherence, an explicit adherence by the Chinese to the 
Universal Declaration of Human Rights. We have an ongoing set of 
negotiations now on how to deal with the jamming we've suffered on our 
Voice of America broadcast. So there have been some changes.
    And interestingly enough, many of the most vocal human rights 
advocates have argued that--not that we should lift MFN status but that 
instead we should have some intermediate sanctions which cover a bigger 
section of the economy. But things have changed to the point, both in 
terms of what has gone on in China and in terms of the other strategic 
issues--the situation in Korea, for example, I think everyone would 
admit is somewhat different than it was a year ago--that I believe, that 
everybody believes we should do something differently.
    The question is, should we delink, or should we continue to do this 
on an annual basis? I believe the answer to that is no. And I believe 
the answer to what we should do is to pursue a broader strategy of 
engagement. I think that is where we are now. And I think that it is far 
more likely to produce advances in human rights as well as to support 
our strategic and economic interests.
    Q. Mr. President, how do you answer those who say you are--using 
your own words now--coddling tyrants? And with the leverage of linkage 
now moved away, what incentive is there for China to improve human 
rights?
    The President. Well, let me turn it on its head, first of all. China 
is a very great and important nation. What gave rise to this MFN in the 
first place, this issue? Why did anyone believe human rights should be 
tied to MFN in China as opposed to other nations in the world? The MFN 
law basically is tied to emigration, and we have--I haven't said that, I 
don't think, today--we have successfully resolved all outstanding 
emigration cases with the Chinese. Why was it extended to involve human 
rights here? Because of the frustration in the Congress that the 
previous administration had reestablished relationships too quickly 
after Tiananmen Square, and there seemed to be no other aggressive human 
rights strategy.
    The United States has pursued the cause of human rights around the 
world in many, many ways without tying it to MFN with those countries. I 
have had, for example, several conversations on this subject with one of 
our Nation's most dedicated human rights advocates, President Carter, 
who strongly believes that the decision I have taken today is the right 
one and more likely to produce human rights progress. Because, let me 
answer your question precisely, every nation, every great nation makes 
some decisions and perhaps most decisions based on what is in the 
interest of the nation at that moment in time internally. But no nation 
likes to feel that every decision it makes for the good, to do something 
that's right, that makes progress, is being made not because it's the 
right thing to do but only because of external pressure from someone 
else.
    And I believe, based on my--and this is the root of this judgment, 
and all of you and all of the American people will have to draw your own 
conclusions about whether I'm right or wrong, but I'm prepared to fight 
for my position in the Congress and elsewhere, because I believe it's 
right. I believe, based on intensive efforts over the last few weeks, 
that we are far more likely to have human rights advances when it is not 
under the cloud of the annual question of review of MFN. That is what I 
believe.
    That is not to say that there will not continue to be human rights 
abuses in China,

[[Page 1169]]

that there won't be ups and downs in this. But I believe that over the 
long run we're more likely to make advances if there's more contact with 
the Chinese, not less; if there's more economic growth, not less--we saw 
that in Taiwan and Korea--and if we are free to explicitly and 
aggressively pursue our human rights agenda, as we would with any other 
country. That is the conclusion I have drawn. I think it's the correct 
one.
    Q. On the first question, aren't you coddling tyrants just as you 
accuse----
    The President. No, because I do believe what happened--what has 
happened since then? Has there been any progress? There's been so much 
progress that even the people who have supported these strong 
resolutions, the legislation in the past, are now arguing for a 
different course. I'm not the only person arguing that the time has come 
to take a different path. It's that they will say, well, I should have 
done something else. But virtually everyone says the time has come to 
move out of the framework now.
    We obviously have something going on in this relationship now. We 
obviously have a broader and deeper relationship, and we obviously are 
going to see some changes here. So I think everybody acknowledges that 
there is some dynamism in this relationship now which warrants a change. 
The question is what tactical path should we take. And I expect that 
many people who criticize my decision will say, ``Well, he should have 
put stiffer tariffs on something or another or should have had a bigger 
section of the economy affected or gone after the military enterprises 
or something like that.'' But I think nearly everybody recognizes that 
there has been some real change in this and that we have the chance to 
move it to a different and better plane. And I think what I'm doing is 
the right thing to do.

Misuse of Government Helicopters

    Q. Mr. President, on another topic, do you have anything to say 
about some of your staffers who apparently used a Government helicopter 
for a golf outing?
    The President. Yes, I do. First of all, I knew nothing about it 
until something during the business day. As you know, I've been working 
on this for the last couple of days. I asked Mr. McLarty to look into 
it, and I can tell you that, number one, I was very upset about it when 
I heard about it. Mr. Watkins has resigned, and the taxpayers will be 
fully reimbursed. That's the most important thing to me. The Treasury 
will not be out one red cent for whatever happened there. Now, I don't 
think there's anything else for me to say about it.
    Q. Will he pay that himself, or will you be paying that money from--
--
    The President. Well, I haven't resolved that yet. Like I said, I 
didn't even know about it. All I can tell you is when I found out about 
it, I asked Mr. McLarty to look into it. Somebody else can give you more 
facts and more background. I've been working on this all day. I just 
know that Mr. Watkins offered his resignation and I insisted that the 
taxpayers be reimbursed. Some way or another they will be, and we'll 
tell you how when we do it.
    Q. Can I follow on that? Do you expect that there will be 
resignations from the two other individuals involved? Is that up to the 
Pentagon since they are in the military?
    The President. No, I don't know enough about the facts. I just 
haven't had time. I've been working on this China issue all day. I'm 
just telling you what I know; the taxpayers will be made whole. There is 
a resignation, more facts to follow.

China

    Q. May I ask you a question about China, sir? Senator Bradley and 
others wanted you to do nothing that would restrict trade. Do you expect 
now that there will be some retaliation from China because of the ban on 
weapons imports or some other lack of cooperation in our efforts to 
restrain the North Koreans, for instance?
    The President. I would hope not. I think this was an appropriate 
thing to do because it was discreet, it recognizes that there has not 
been complete compliance, it is plainly enforceable in ways that many of 
the other suggestions may not be. And I think that there are corollary 
benefits to the United States in this which I think should be well 
understood by the Chinese.
    Many people have said, and I noticed it was reported in a news 
article in the Wall

[[Page 1170]]

Street Journal this morning that many of the manufacturers believe that 
a lot of these guns have come in below cost, anyway, in ways that almost 
simulate high-tech Saturday Night Special phenomenon.
    So I think it is the right thing to do. I do not expect that to 
occur. I am plainly offering to build the basis of a long-term, 
strategic relationship with the Chinese. We can work together when our 
interests demand it, and if there is progress on the human rights front, 
we can actually develop the kind of friendship that our relationship has 
seemed to promise at various times since the opening of China over a 
century ago. But that remains to be seen.
    I want to make it clear to you, I do not do this with rose-colored 
glasses on. I know there will be--no matter which approach we take, if 
we had taken another approach, there would have been continuing human 
rights problems. A great society, so large and with such built-in habits 
does not change overnight. Just as I hope I can dramatically reduce the 
climate of crime and violence in this country I know it won't happen 
overnight. So there will be problems regardless. I simply think this is 
the best way to approach it.
    Q. Mr. President, in revoking and delinking human rights with trade, 
can you do that on your own given the fact there is a law, the Jackson-
Vanik law, that does this? Will this require congressional action?
    The President. Well, the Jackson--no, it will permit congressional 
action. That is, if the Congress chooses to disagree with me, of course, 
they can offer an alternative path. And then we will--or some in 
Congress can--then we will debate it. There are many good people who 
disagree with me.
    Q. But you won't have to----
    The President. No, I can do what I have done today under the 
Jackson-Vanik law because the Jackson-Vanik law, which was a product of 
the cold war, says basically that countries with controlled economies 
have to meet certain criteria in order for annual renewal of MFN. We 
will have to continue to certify that they meet those criteria. But they 
relate to emigration. So that's different from trade and different from 
the broader human rights questions that we seek. In other words, the 
trade could be linked to emigration. If the Chinese violate the Jackson-
Vanik law, well, that's something they're still subject to. I can't 
repeal the law.
    Q. So barring action by Nancy Pelosi or George Mitchell or someone 
else in Congress, next year at this time you will not have to certify 
that China has met these basic human rights conditions in order to go 
forward with MFN?
    The President. That is correct. But next year at this time we'll 
still be discussing this, and you will see that we have a very 
aggressive and, I think, more successful approach. That is not about 
forgetting about human rights. This is about which is the better way to 
pursue the human rights agenda.
    Q. What is your analysis of why the Chinese leadership is going 
slower in [inaudible]--on human rights than you would like them to? And 
the foreseeable future, what kind of timetable and standards will you 
use to decide whether any change in policy is necessary if they're not 
making, in your view, sufficient progress?
    The President. I think there are three factors involved in why are 
they going slower. First of all, I think that this is a time of 
considerable political tension in China, that is, tension between the 
center and the provinces, tension because of the inevitable 
transformations of leadership that the passage of time will bring about 
in the--not, at least, in the foreseeable future. And in times of a 
transition like that, it tends to be more difficult to effect change of 
any kind. I think that's the first thing.
    The second thing, I think, is that we see in the culture of China, 
and in many other Asian societies, a desire to preserve order in the 
interest of the group often at the expense of the individual. We saw a 
variant of that in the discussion that I had, you know, with the 
Government of Singapore over the case of the Fay caning. And many 
believe that in a world that is tumultuous like ours is, you have to 
have more order, even at the expense of individual rights. My answer to 
that, obviously, is that what we asked them to do was not to become like 
us but to honor universally recognized standards of human rights. But 
you asked me the question.

[[Page 1171]]

    The third thing, I think, is that a country with 1.2 billion people 
and the third largest economy in the world, conscious of all the cross 
currents of change in the difficulties it is facing, is going to have, 
inevitably, an reluctance to take steps which are right if it looks like 
every step that is taken, is taken under the pressure of the United 
States, some outside power making them do it.
    And the fourth thing I would say is that this was something, a step 
we took not in cooperation with the international community. No other 
nation agreed with us. So it wasn't like there was a big multinational 
coalition; it's not like sanctions on Iraq, for example.
    Now, I think of the most important things is the third point I made. 
Every one of you should put yourselves in that position. Would you move 
forward if you thought no matter what you did and how good it was every 
time you did it, it would be interpreted that you were doing because 
someone from outside your country were pressuring you to do it?
    But I don't want to minimize the fact that there are still serious 
rights problems there. We are going to continue to work on them, but I 
believe doing this in the context of our national security interests, 
our economic interests, and the opening of China, both economically and 
in many other ways, and being able to have an explicit and open human 
rights agenda not hobbled by timetables which may be artificial, is the 
right way to go. I predict that it will be successful, more successful 
on human rights than the alternative would have been, and it is my 
judgment--I am absolutely convinced that's the right thing, that it's in 
the interest of the United States, and I have done it for that reason.
    Thank you.

Note: The President's 58th news conference began at 5:10 p.m. in the 
Briefing Room at the White House.