April 3, 2000
President Clinton Announces Broad New National Support For Congressional Action Granting China Permanent Normal Trade Relations Status
THE WHITE HOUSE
Office of the Press Secretary
___________________________________________________________________________
______
For Immediate Release April 3, 2000
President Clinton Announces Broad New National Support
For Congressional Action Granting
China Permanent Normal Trade Relations Status
April 3, 2000
In an address to the Democratic Leadership Council in San Jose,
California today, President Clinton will again push for a congressional
vote this year granting China Permanent Normal Trade Relations (PNTR)
status. The President will announce broad new national support from the
nation's Governors and high technology leaders for China's entry into the
World Trade Organization. These announcements will come during a speech on
the new economy. The President will note three key challenges to be met in
order to maintain our prosperity: maintaining fiscal responsibility;
continuing to open new markets to American goods; and continuing to make
investments to help Americans get the tools they need to succeed in the new
economy.
More Than 40 Governors Announce Strong New Support For China PNTR Vote This
Year:
Today, more than 40 Governors from across the U.S. and its territories sent
a letter to Senators and Members of Congress expressing how important they
believe passage of China PNTR is to maintaining economic growth and
prosperity for families in their states and territories.
Excerpts From The Governors' Letter
? "We are writing about an issue critical to every state, commonwealth, and
territory of the United States. We hope that, later this year, you and
your colleagues in the U.S. Senate and House of Representatives will have
an opportunity to vote on Permanent Normal Trade Relations (PNTR) for
China."
? "As governors who are working hard to improve living standards for all
Americans, we urge your support of PNTR status for China. China is by far
the world's largest and most important emerging market. The commitments
China made during WTO negotiations with the United States promise to open
new markets and create tremendous opportunities for American companies and
farmers, as well as more high-wage jobs for American workers."
"We believe China's entry into the WTO would be extremely positive for the
United States. The opening of China's markets will create numerous
opportunities for our nation. Yet, if we do not hold up our end of the
bargain by approving PNTR for China, other countries will reap the benefits
of the agreement, leaving the United States sitting on the sidelines. We
strongly urge you to vote in favor of PNTR status for China."
Nearly 200 High Tech CEO's Announce Broad New Support For China PNTR Vote
This Year:
In another letter demonstrating the broad support for China PNTR, nearly
200 high technology CEO's on the front lines of the new economy wrote to
Senators and Members of Congress urging a favorable vote this year in order
to maintain economic growth in the new industries of the future.
Excerpts From High Tech CEO's Letter
"We are writing to urge your strong support for extending permanent
Normal Trade Relations (PNTR) status to China. PNTR is an absolute
priority for high-tech companies, and we consider it the most critical vote
you will make in support of our high technology industries this year."
? "United States negotiators achieved an historic WTO accession package
with China. Its provisions will greatly benefit our firms, our employees,
and our industry more broadly. Since only China made any trade
concessions, it is a completely one-sided deal."
? "Failure to establish PNTR with China would give our formidable European
and Asian competitors a huge advantage in China and threaten America's
position as the global leader in the development and deployment of
cutting-edge technologies."
? "This is the most important vote you will cast for the U.S.
high-technology industry this year. We ask for your support on PNTR with
China."
The Importance Of The US/China WTO Accession Agreement:
A Strong Deal In The Best Interests Of America
China's entry into the WTO will dramatically cut import barriers currently
imposed on American products and services. This agreement locks in and
expands our access to a market of over one billion people. China's economy
is already among the world's largest and over the past 20 years has
expanded at a phenomenal annual rate of nearly 10 percent. During this
period, U.S. exports to China have grown from negligible levels to over $14
billion each year.
China Made Unilateral Concessions. We Would Simply Maintain The Market
Access Policies We Already Apply To China By Granting It Permanent Normal
Trade Relations. China made significant, one-way market-opening concessions
across virtually every economic sector, including increasing access to its
markets for agriculture, services, technology, telecommunications, and
manufactured goods. China also agreed to eliminate "unseen" barriers, such
as exclusive rights to import and distribute goods.
The Agreement Strengthens Our Ability To Ensure Fair Trade And To Protect
U.S. Agricultural And Manufacturing Base From Import Surges, Unfair
Pricing, And Abusive Investment Practices Such As Offsets Or Forced
Technology Transfer. Prior to the negotiations, Democrats and Republicans
in Congress raised legitimate concerns about the importance of safeguards
against unfair competition. As a result, no agreement on WTO accession has
ever contained stronger measures to strengthen guarantees of fair trade and
to address practices that distort trade and investment.
Refusal To Pass PNTR Would Put American Farmers, Manufacturing, Workers At
A Disadvantage. The United States must grant China permanent NTR or risk
losing the full market access benefits of the agreement we negotiated,
rights to enforce China's commitments through WTO dispute settlement, and
special import protections. If Congress were to refuse to allow the United
States to grant China permanent NTR, our Asian and European competitors
would reap these benefits but American farmers and businesses could well be
left behind.
China's Accession Will Help Promote Reform In China And Create A Safer
World. The agreement will encourage Chinese leaders to move in the
direction of meeting the demands of the Chinese people for openness,
accountability, and reform by deepening market reforms, accelerating the
removal of government from the lives of China's people, and deepening
respect for the rule of law in China.
###
April 3, 2000
Dear Congressman/Senator:
We are writing to urge your strong support for extending permanent Normal
Trade Relations (PNTR) status to China. PNTR is an absolute priority for
high-tech companies, and we consider it the most critical vote you will
make in support of our high technology industries this year.
The high-tech sector is a strong and important contributor to the U.S.
economy. It is the largest manufacturing sector in the United States, and
has been responsible for nearly half of U.S. domestic growth since 1994.
It is the leading R&D sector in the U.S. economy, has provided its workers
with salaries 77% higher than average, and is the top manufacturing
exporter.
United States negotiators achieved an historic WTO accession package with
China. Its provisions will greatly benefit our firms, our employees, and
our industry more broadly. Since only China made any trade concessions, it
is a completely one-sided deal. Among other things, China has agreed to
eliminate tariffs on most information technology products, open its
distribution and after-market service sectors, and eliminate market
barriers such as mandatory technology transfer, local content, R&D, and
export requirements.
PNTR is an imperative for several key reasons. First, China is a huge,
critical and fast growing market for high-tech products and services,
ranging from e-commerce and internet services to products such as
semiconductors, computers, peripherals, software, telecommunications, and
semiconductor and other manufacturing and measurement equipment. The
fruits of those many years of tough negotiating are at risk if Congress
does not establish PNTR with China, since failure to do so would allow
China to discriminate against American products and services. We need to
bring China under international trade rules in order to secure these
benefits and strengthen the position of American high-tech companies in
Chinese markets. This will, in turn, increase U.S. jobs and reduce our
trade deficit.
Second, China is becoming a major competitor in international markets. It
is critical that China compete by the international rules established by
the WTO, and that the United States have the ability to bring China to the
WTO dispute settlement process, if necessary, to ensure fair competition.
Third, we need PNTR in order to ensure that our companies can fully engage
on the ground in China, thereby exposing the Chinese to our American
business practices, values and perspectives. PNTR will also facilitate the
development and spread of information technologies, including the Internet,
ensuring that American firms will be in a position to help shape the
continued evolution of China's economic and social environment.
Finally, the health and competitiveness of our sector significantly impacts
the national economic security of the United States. Failure to establish
PNTR with China would give our formidable European and Asian competitors a
huge advantage in China and threaten America's position as the global
leader in the development and deployment of cutting-edge technologies.
This is the most important vote you will cast for the U.S. high-technology
industry this year. We ask for your support on PNTR with China.
Sincerely,
Eric A. Benhamou
Chairman and Chief Executive Officer
3COM Corporation
Ronnie Tate
Owner and President
A.T.C. Computer Services
Eric W. Kooiman
Owner
Absolute Computing
Mary L. Munger
President and Chief Executive Officer
AC Data Systems, Inc.
Luc D'Arcy Collins
President
ACADZ Inc.
Michael Shepherd
President
Accurate Gas Control Systems, Inc.
Frank Williams
President and Chief Executive Officer
Action Instruments
William J. Cadogan
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W.J. Sanders III
Chief Executive Officer
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Mark McNulty
Chief Executive Officer
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Edward W. Barnholt
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Andre Weiglein
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Tom Leonard
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Peter Polgar
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Ed St. Amour
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Con Brosnan
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Ray Stata
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Chuck Wheatley
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Rex King
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MicroAge #367
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Steve Ballmer
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Efren Yero
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James W. Romlein
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Chuck Jones
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Lars Nyberg
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Frank Carlucci
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W.E. Boomer
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