07 April 2000
Text: Daley Statement to U.S.-China Commerce/Trade Commission
(JCCT meeting underscores China commitment to WTO obligations) (910) U.S. Commerce Secretary William M. Daley announced after two days of talks with Chinese government officials that the two sides had discussed a number of important steps China has taken, and is prepared to undertake, to prepare for accession to the World Trade Organization (WTO). In a prepared statement released April 7, Daley described the just-concluded U.S.-China Joint Commission on Commerce and Trade meeting in Beijing as a success primarily because the result "underscores the firm commitment by China to fulfill its commitments under the WTO." He said China has already set up a high-level committee to oversee changes to its laws, and will establish a comparative law dialogue with the United States to focus on conforming Chinese laws and regulations to WTO requirements. Daley said the United States and China will also establish a cooperative technical assistance program this summer, focusing at first on e-commerce, standards, service regulations, and subsidies. Daley said the two countries intend to launch a major initiative to facilitate resolution of commercial disputes as China enters the WTO. He explained that a major component of this initiative would be regular consultations between the U.S. and Chinese governments in conjunction with the private sector. "As China adapts to the rigors of the WTO, such a mechanism will be crucial for U.S. businesses and the Chinese government to head off formal dispute settlement in the WTO," Daley said. He added that the two countries also discussed the possibility of creating an ombudsman office at the highest levels of the Chinese government to deal with the most difficult commercial disputes involving foreign parties. Daley admitted, however, that the recent talks did not advance all issues of mutual concern. He cited in particular a lack of concrete progress in getting China to follow through on its commitments regarding the digital wireless transmission technology known as Code Division Multiple Access [CDMA]. "Our work is not done," Daley said, but added that "I am reassured that China is firmly committed to fulfill its WTO obligations, and I am confident that the cooperative program that we have put in place will help China meet those obligations." Following is the text of Daley's statement: (begin text) Statement of U.S. Commerce Secretary William M. Daley Joint Commission on Commerce and Trade Beijing April 7, 2000 This meeting has been successful for several reasons -- but the most important is that what we have done here today underscores the firm commitment by China to fulfill its commitments under the WTO. A week from now, I will lead a delegation of members of Congress to China. These are undecided members, and they have a difficult vote on PNTR at the end of May. They have expressed concerns about China's commitment to its WTO obligations and about our ability to enforce those commitments. They are looking for strong signals from China about its commitment. Over the last two days, we discussed a number of important steps China has taken to prepare for the WTO. First, China has set up a high level committee to oversee changes to its laws. Second, we will establish a cooperative program involving technical assistance and a comparative law dialogue. We will provide technical assistance and training programs, and to exchange government and private experts on the operation of the WTO. This program should begin this summer. The first areas we will focus on are: e-commerce, standards, services regulations, and subsidies. The comparative law dialogue will focus on conforming laws and regulations to WTO requirements. This cooperative program will be to our mutual benefit. China will get the benefit of our technical assistance and experience -- and the United States will get assurances that China is fulfilling its obligations and that China is seriously conforming to a rules-based global trading system. Third, we are launching a major initiative to facilitate resolution of commercial disputes as China enters the WTO. As part of this initiative, we will hold regular consultations in conjunction with the private sector. As China adapts to the rigors of the WTO, such a mechanism will be crucial for U.S. businesses and the Chinese government to head off formal dispute settlement in the WTO. We also discussed the possibility of creating an ombudsman office at the highest levels of the Chinese government to deal with the most difficult commercial disputes involving foreign parties. Finally, we continued the important work of the JCCT in areas like trade missions and export promotion. We will do a clean energy trade mission next fall to focus on clean and efficient energy technologies. We announced an internet-based virtual trade mission to develop more commercial ties between small and medium enterprises. We agreed to over 30 joint trade promotion events in sectors ranging from infotech to aviation. Of course, we did not make progress in all areas that are important to us. For example, on CDMA. I stressed the importance to the Chinese government of following through on its CMDA commitments. Our work is not done. But I am reassured that China is firmly committed to fulfill its WTO obligations, and I am confident that the cooperative program that we have put in place will help China meet those obligations. (end text) (Distributed by the Office of International Information Programs, U.S. Department of State. Web site: usinfo.state.gov)
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