(ADDS hearing closed, details) - by Veronica Smith

WASHINGTON, Jan 8 (AFP) - Secretary of State-designate Madeleine Albright on Wednesday ranked Asia as a close second to Europe on the US foreign policy agenda, citing China as key to that strategy.

Albright, outlining her views in a Senate confirmation hearing, hammered on the importance of Asian relations to a United States increasingly turned away from Europe to the Pacific for trade.

"Asia is practically equal in importance to us" as Europe, the US ambassador to the United Nations said. "We are very Eurocentric but our trade is now with Asia."

The daylong session was peppered with discussion of China and the difficult US relationship with the world's largest nation. Japan and South Korea, Washington's major allies in the region, drew little attention.

In bipartisan questioning by the Republican-led Senate Foreign Relations Committee, the 59-year-old Czech immigrant was asked to name the major foreign policy items for Clinton's second term.

Albright first cited Europe and NATO expansion, sketching reasons involving strategic defense and trade, as well as historical ties.

But Asia came in a tight second.

Because the region is "growing massively in economic terms," she said, "obviously we need to provide a bridge there for us to work."

Albright, President Bill Clinton's choice and, if confirmed, the first woman to hold the top diplomatic post, vigorously defended Clinton's first-term efforts to broaden the US initiative in Asia.

And she pledged the United States "will not hesitate to address frankly the violation of internationally recognized human rights, whether those violations occur in Cuba or Afghanistan, Burma, Belgrade, or Beijing."

In Asia, she said, "clearly, the relationship we must focus on is China."

Noting that it was widely understood that the Chinese relationship "will be dominant in many ways," she pointed out that it was imperative "to manage that multifaceted relationship very well."

One of the goals in efforts to build a strong bilateral relationship with China is to encourage China's "full emergence as a responsible member of the international community," she added.

She mentioned "important" differences with the world's biggest nation, such as trade, arms transfers and human rights, including Tibet, and concerns about Chinese policy toward Hong Kong, which will be transferred from British control to the communist power on July 1.

"I think that what is of great importance to us is that the freedom and democratic approaches that have been evident in Hong Kong thus far are allowed to continue," she said.

"I would say it's very important that the Chinese understand that they have to maintain Hong Kong or they will be killing the goose that laid the golden egg," she said, without elaborating.

But she also underscored that the two countries have cooperated on issues of common interest, including the Korean Peninsula, crime, the global environment and nuclear testing.

She signaled the United States' desire to play a more active mediating role in trouble spots where there is a US interest, such as South Asia, Cyprus, Central Africa, Nagorno-Karabakh and Northern Ireland.

In one statement regarding the Korean conflict, Albright mentioned "Japan and another valued ally, the Republic of Korea" as partners with the United States in trying to reduce tensions on the divided peninsula.

During administration discussions on China over the past few months, she said, officials have been "laying out a roadmap" for future relations.

"We're at a stage with China where we have to be frank and firm and engage them," she said.

The chairman of the hearing, Republican Senator Jesse Helms, has signaled that Albright will win the approval of committee members.

Members may submit written questions through Friday, and a vote is expected Monday on whether to endorse Albright as secretary of state.

That resolution then goes before the full Senate which usually heeds the recommendation of the committee.