17 June 1998
TEXT: ASSISTANT SEC. ROTH ON RENEWING CHINA'S MFN STATUS
(Revoking MFN would hurt U.S. as much as China) (2960)
Washington -- Revocation of China's most-favored-nation (MFN) trade status would hurt U.S. interests as much if not more than those of China, and would affect America's relationship with China across the board, according to Assistant Secretary of State Stanley Roth.
In testimony before the House Ways and Means Subcommittee on Trade
June 17, Roth said, more specifically, that revocation of China's MFN status could:
-- Undercut U.S.-China strategic cooperation, particularly in defusing escalating tensions in South Asia, dismantling North Korea's nuclear program, and pursuing a permanent peace settlement on the Korean Peninsula.
-- Result in a more belligerent and xenophobic foreign policy.
-- Handicap U.S. efforts to strengthen China's integration into
non-proliferation regimes and limit our ability to curtail technology transfers to unstable regions.
-- Risk China's support for U.S. initiatives at the U.N. as well as cooperation on global issues such as drug trafficking, alien smuggling and climate change.
"Denial of MFN could actually hinder our efforts to improve human
rights in China," Roth said. "Revocation of MFN would create a tense, hostile atmosphere in which Chinese leaders would be less inclined to take the kind of actions we have worked painstakingly to encourage: releasing political dissidents, allowing international visits to prisoners, signing and ratifying international human rights covenants, and engaging international religious leaders."
Furthermore, Roth said, the loss of the U.S. market might have the
unintended effect of weakening the private entrepreneurs that comprise some of the most progressive elements of Chinese society. "We need to encourage this sector, not stunt its growth, and we can only do that by providing access to American markets and ideas," he said.
"There is no greater opportunity -- or challenge -- in U.S. foreign policy today than to encourage China's integration into the world community," Roth said. "President Clinton's decision to extend MFN status to China reflects our commitment to this goal."
