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1994-05-02
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<text>
<title>
Editorial Examines Issue Of MFN Status
</title>
<article>
<hdr>
Foreign Broadcast Information Service, May 2, 1991
United States: Editorial Examines Issue of MFN Status
</hdr>
<body>
<p>[Editorial: "Obstacles to Most-Favored-Nation Status Should Be
Removed". Hong Kong WEN WEI PO in Chinese 2 May 91 p 2]
</p>
<p> [Text] On the 29th of last month, U.S. President Bush
declared in Washington that he was still not clear about what
the U.S. Government would do regarding the issue of extending
China's most-favored-nation [MFN] status. He also said that the
United States must have dealings with a great nation such as
China, that this conformed with the interests of the United
States, and that it was extremely important to maintain trade
relations with China.
</p>
<p> People in American trade circles also maintained that "not
knowing what to do" was merely a matter of procedure and that
Bush had to see what the result of a Congress vote would be
before he could react. As Administration head, Bush surely
hopes to maintain trade relations with China. He sent Robert
Michael Kimmitt, undersecretary of state for political affairs,
to visit China and this was a positive action.
</p>
<p> The extension of MFN status is one of the important
foundation stones for upholding Sino-U.S. trade relations. MFN
status is not a bounty bestowed by one side on the other but a
reciprocal action of egalitarianism, mutual benefit, and
strengthening trade contacts. When the United States accords
China MFN status, the United States also enjoys MFN status
accorded by China. Should the United States abolish China's MFN
status the inevitable outcome would be that American goods
exported to China would face high duties and sales would shrink.
Such retrogressive action harms both others and oneself and it
is believed that the Bush Administration will make a wise
choice.
</p>
<p> For narrow and limited interests, some U.S. Congressmen have
always advocated pursuing protectionism, frequently criticized
their trade partners for "dumping," or said that the "quota"
and "suspension" systems were to be implemented. Hong Kong
businessmen have had experience of this for many years. Under
the climate that the U.S. Government engages in "human rights
diplomacy" in a big way, it is not strange that some
congressmen connect Sino-U.S. bilateral trade with politics and
take the opportunity to pursue protectionism. They have erected
the following obstacles to the extension of MFN status: 1)
China's human rights are poor; 2) The U.S.-China trade deficit
is $10 billion; and 3) China sells weapons and nuclear devices,
using these as conditions for blackmail.
</p>
<p> For the past 10 years or more since China carried out reform
and opening up, people have enjoyed freedom of speech and peace
of mind. It is much better than in any period in the past. Only
under the circumstances of stability can China carry out reform
and opening up, develop its economy, and improve the people's
living standards. China's stability is favorable to the human
rights of the Chinese people and to the economic prosperity of
the Asian-Pacific region. This is also a viewpoint with which
international statesmen agree. Japanese Prime Minister Toshiki
Kaifu and Sultan Bolkiah of Brunei maintain that China's
stability is extremely favorable to Asia's stability and that
the international community should encourage China to devote
itself to reform and opening up.
</p>
<p> In accordance with the law, China recently tried some people
who had genuinely contravened the criminal law and sabotaged
China's public security and social order. This is an action any
country which devotes itself to upholding stability and law and
order would take. Although the U.S. Constitution provides for
the freedom to strike, did the Bush Administration not hold that
the U.S. railroad workers' general strike impaired the U.S.
economy and immediately signed a decree to ban it and to
prosecute the offenders? Does not the United States have a
record in modern times of trying those who sabotage public
security and endanger state safety regulations according to the
law? Is not McCarthy's bill retained? Since this is so, what
reason or right has the United States to talk about China
arbitrarily? The United States uses the so-called "human rights
issue" to interfere in China's affairs and this both violates
the requirements of international law and harms bilateral
relations.
</p>
<p> As regards the trade deficit issue, due to different methods
of calculation, China and the United States each stick to their
versions and this question can be completely solved after
examination, verification, and consultations by the
administrative departments. The prices of ordinary American
consumer goods are high and they are unsuitable for the Chinese
market. The prices of American high-science and high-technology
products are higher but, as slightly more of these products are
sold, the question can be solved. If the United States really
wants to improve its exports to China, the U.S. side should
relax restrictions on exports of high science and high
technology to China. This element is controlled by the U.S. side
and responsibility does not lie with the Chinese side.
</p>
<p> Regarding the so-called issue of China selling weapons and
nuclear devices, it is just that "when one is out to condemn
another, one can always trump up a charge." China's Ministry of
Foreign Affairs has already cleared up the rumor that "China
sells equipment that can make nuclear weapons" and the United
States need not quibble over this issue. China is open and
above board and states that it can accept the International
Atomic Energy Agency's supervision, inspection, and
verification. "True gold fears no fire."
</p>
<p> Robert Michael Kimmitt, U.S. undersecretary for political
affairs, will visit China. It is believed that he will exchange
views on these three issues with China. We hope that the United
States will view the questions in a strategic light by
vigorously maintaining and developing Sino-U.S. relations,
listen to China's views carefully, take the overall situation
into consideration, have eyes on the future, and make efforts
to remove the obstacles erected by some people to the extension
of MFN status.
</p>
</body>
</article>
</text>