January 15, 1998

TEXT OF A LETTER FROM THE PRESIDENT TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES, THE PRESIDENT OF THE SENATE, AND THE CHAIRMEN OF THE SENATE COMMITTEE ON FOREIGN RELATIONS AND THE HOUSE COMMITTEE ON INTERNATIONAL RELATIONS

Message Creation Date was at 15-JAN-1998 18:30:00
THE WHITE HOUSE
Office of the Press Secretary
(New York, New York)
_______________________________________________________________
For Immediate Release       January 15, 1998
TEXT OF A LETTER FROM THE PRESIDENT
TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES,
THE PRESIDENT OF THE SENATE, AND THE
CHAIRMEN OF THE SENATE COMMITTEE ON FOREIGN RELATIONS
 AND THE HOUSE COMMITTEE ON INTERNATIONAL RELATIONS
January 12, 1998
I am writing to you with respect to sections (b)(1) and (b)(2) of Public Law 
99-183, relating to the approval and implemen-tation of the Agreement for 
Nuclear Cooperation Between the United States and the People's Republic of 
China, and with respect to section 902(a)(6)(B) of Public Law 101-246.  The 
sections of Public Law 99-183 cited above require certifica-tions to the 
Congress and a report to the Speaker of the House of Representatives and the 
Chairman of the Committee on Foreign Relations of the Senate before exports or 
retransfers to China under the Agreement may begin.  Sections 902(a)6(B)(i), 
(ii) and (iii) of Public Law 101-246 require a certifi-cation to the Congress 
and report to the Congress before terminating the suspen-sions and automatic 
disapprovals of nuclear cooperation with China.
I have made the certifications pursuant to section (b)(l) of Public Law 99-183 
and section 902(a)(6)(B)(i) of Public Law 101-246, a copy of which is 
enclosed.  The certifica-tions pursuant to section (b)(1) of Public Law 99-183 
satisfy the condition under section 902(a)(6)(B)(ii).  Submitted herewith, in 
accordance with the requirements of section (b)(2) of Public Law 99-183, is a 
report in unclassified form detailing the history and current developments in 
the nonproliferation policies, practices and assurances of the People's 
Republic of China.  Because of the information controls that apply to the 
classified report, I am transmitting it by separate letter to the House 
Permanent Select Committee on Intelligence and the Senate Select Committee on 
Intelligence.
In accordance with Public Law 99-183, I have certified as to three matters:
(A)  That the reciprocal arrangements made pursuant to Article 8 of the 
Agreement have been designed to be effective in ensuring that any nuclear 
material, facilities or components provided under the Agreement shall be 
utilized solely for intended peaceful purposes as set forth in the Agreement.
The arrangements for exchanges of information and visits are provided for in a 
Memorandum of Understanding initialed on June 23, 1987.  Side notes on 
protection of business confidential information were signed on October 22, 
1997.  These documents, along with a detailed explanation of my certification, 
are enclosed.  These arrangements will provide the United States with the right 
to obtain all the information necessary to maintain an inventory of the items 
subject to the Agreement.  This will include information on the operation of 
facilities subject to the Agreement, the isotopic composition, physical form 
and quantity of material subject to the Agreement and the places where 
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items subject to the Agreement are used or kept.  The arrangements also provide 
the United States with the right to confirm through on-site visits the use of 
all items subject to the Agreement. Finally, the arrangements apply as long as 
the provisions of Article 8(2) of the Agreement continue in effect, that is, as 
long as items subject to the Agreement remain in China's territory or under its 
jurisdiction or control.  My determination that these arrangements have been 
designed to be effective in ensuring that items provided under the Agreement 
are utilized for intended peaceful purposes is based on consideration of a 
range of factors, including the limited scope of nuclear cooperation permitted 
under the Agreement, U.S. export-control procedures that will apply to any 
transfers to China under the Agreement, the fact that the People's Republic of 
China is a nuclear-weapon state and that the safeguards of the International 
Atomic Energy Agency (IAEA) or their equivalent are not required by the Atomic 
Energy Act for agreements for cooperation with nuclear weapon states.  These 
arrangements will be published in the Federal Register using the procedure 
applicable to sub-sequent arrangements under section 131(a) of the Atomic 
Energy Act.
(B)  That the Government of the People's Republic of China has provided 
additional information concerning its nuclear non-pro-liferation policies and 
that, based on this and all other information available to the United States 
Government, the People's Republic of China is not in violation of paragraph (2) 
of section 129 of the Atomic Energy Act of 1954.
The United States Government has received additional informa-tion from the 
People's Republic of China concerning its non-proliferation policies since the 
enactment of Public Law 99-183 on December 16, 1985, most recently, China's May 
1996 statement, its May 1997 State Council Notice on nuclear export policy and 
its September 1997 nuclear export control regulations (all of which are 
discussed in the 
enclosed unclassified report on China's nonproliferation policies and 
practices).  On the basis of this and all other information available to the 
United States Govern-ment, I conclude that there is no legal bar to cooperation 
in this area, and, in particular, that paragraph (2) of section 129 of the 
Atomic Energy Act does not foreclose nuclear cooperation.  The Government of 
the People's Republic of China has made substantial strides in joining the 
international nonproliferation regime, and in putting in place a comprehensive 
system of nuclear-related, nationwide export controls, since the nuclear 
cooperation agreement was concluded in 1985.  I believe the initiation of 
cooperation under the Agreement will bring significant nonproliferation 
benefits to the United States.
(C)  That the obligation to consider favorably a request to carry out 
activities described in Article 5(2) of the Agreement shall not prejudice the 
decision of the United States to approve or disapprove such a request.
The U.S. consent rights provided for in Article 5(2) of the Agreement satisfy 
this standard because the specific language used ensures that the United States 
must exercise an approval right before the activity in question is carried 
out.  During Congressional consideration of the Agreement, the executive branch 
provided both the Senate Foreign Relations Committee and the House Foreign 
Affairs Committee with a legal memorandum on issues relating to the Agreement 
which covered this point in detail.
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In accordance with Public Law 101-246, I have certified that China has provided 
clear and unequivocal assurances to the United States that it is not assisting 
and will not assist any nonnuclear-weapon state, either directly or indirectly, 
in acquiring nuclear explosive devices or the material and components for such 
devices.  This certification is based on the statements, policies, and actions 
by China that were discussed above in connection with the certification under 
section (b)(1)(A) of Public Law 99-183.
Pursuant to the authority vested in me by section 902(b)(2) of the Foreign 
Relations Authorization Act, Fiscal Years 1990 and 1991 (Public Law 101-246), I 
hereby report to the Congress that it is in the national interest of the United 
States to terminate the suspensions and automatic disapprovals under section 
902(a)(6).  A document discussing the rationale for this report is enclosed. I 
believe the Agreement will have a significant, positive impact in promoting 
U.S. nonproliferation and national security interests with China and in 
building a stronger bilateral rela-tionship with China based on respect for 
international norms.
This report under section 902(b)(2) satisfies the condition under section 
902(a)(6)(B)(iii).
With the submission of the certifications and reports called for by Public Law 
99-183 and Public Law 101-246, I am pleased that the process is underway to 
begin nuclear cooperation with China.
                               Sincerely,
       WILLIAM J. CLINTON
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