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Mr. MURKOWSKI. Mr. President, the passage of my amendment by a recorded vote of 20-0 reflects the strong support on the Foreign Relations Committee for the sale of defensive arms to Taiwan.
The Taiwan Relations Act of 1979 is quite clear. It specifies, as my colleague from Mississippi noted, that the United States will make available to Taiwan the articles and services necessary for its self defense. The act further specifies that the President and Congress will determine the extent of arms sales to Taiwan `based solely on their judgment of the needs of Taiwan.' The Taiwan Relations Act sets neither a floor nor a ceiling on the quantity of arms sold to Taiwan by the United States.
On August 17, 1982, however, the administration issued a policy statement entitled the `August 17, 1982 United States-China Joint Communique,' otherwise known as the Shanghai Communique. In the Shanghai Communique, the administration agreed `to reduce gradually its sales of arms to Taiwan, leading over a period of time to a final solution.' The Shanghai Communique utterly ignored the law governing United States relations with Taiwan with regard to arms sales, the Taiwan Relations Act. The Taiwan Relations Act is explicit: the United States will sell to Taiwan those arms necessary for its self defense, and Congress will have a role in determining those needs.
Section 707 is necessary for the simple reason that the People's Republic of China is the world's only nuclear power that is increasing its military budget. It is modernizing its military across the board, from ballistic missile systems to power projection forces. This is the threat faced by Taiwan that it must be equipped to defend itself against. Section 707 does not change any existing law, but reaffirms that the Taiwan Relations Act of 1979 has primacy over the Shanghai, or any other, communique.
Mr. COCHRAN. Mr. President, is it the purpose of the Senator from Alaska's amendment to suggest that the executive branch propose to Congress those export licenses necessary for the sale of defensive weapons to Taiwan?
Mr. MURKOWSKI. Mr. President, yes. That is the intent as well of the Taiwan Relations Act. The United States has many strong interests in Asia, the security of Taiwan among them. Taiwan has long been an ally of the United States, and in 1979 the President signed a law which committed our country to selling Taiwan those weapons necessary for its self defense. Contrary to the Shanghai Communique, the law of the United States establishes the threat faced by Taiwan as the benchmark for military sales. The benchmark is the threat, not some number reduced by a fixed percentage each year.
This means not only should United States defense manufacturers be permitted to sell defensive weapons to Taiwan, but that American defense manufacturers should also be able to receive export licenses to sell defense articles to Taiwan that will be physically attached to defense articles made in other nations. Policy restrictions on defense exports inconsistent with the Taiwan Relations Act have already denied United States shipyards, for example, of more than $2.5 billion in export sales to Taiwan, and have created a market opportunity for France. Additional restrictions inconsistent with the Taiwan Relations Act are being imposed on United States exporters who seek to supply subsystems to Taiwan to outfit surface ships supplied by France.
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Mr. PELL. Mr. President, I thank the Senator from Mississippi for his inquiry. As one of the authors of the Taiwan Relations Act, let me assure him that it is my view that it takes primacy over bilateral communiques.
Let me read the relevant portions of the section of the Taiwan Relations Act entitled `Implementation of United States Policy With Regard To Taiwan'
Sec. 3(a). In furtherance of the policy set forth in section 2 of this Act, the United States will make available to Taiwan such defense articles and defense services in such quantity as may be necessary to enable Taiwan to maintain a sufficient self-defense capability.
(b) The President and the Congress shall determine the nature and quantity of such defense articles based solely upon their judgment of the needs of Taiwan, in accordance with procedures established by law. Such determination of Taiwan's defense needs shall include review by United States military authorities in connection with recommendations to the President and the Congress.
Mr. COCHRAN. Mr. President, what is the Senator's understanding of limitations on United States arms sales to Taiwan?
Mr. PELL. Mr. President, arms sales are limited to maintaining Taiwan's defense needs. This need was recognized even by the negotiators of the United States-China Joint Communique of August 17, 1982. As John Holdridge, then-Assistant Secretary for East Asian and Pacific Affairs, testified before the House Foreign Affairs Committee in August 1982:
The Chinese insisted, however, that we agree to the ultimate termination of arms sales [to Taiwan]. We refused because the level of arms sales must be determined by the needs of Taiwan and we could not agree to a termination date, as the Chinese demanded, which might impair our ability to meet those needs.
Furthermore, Secretary Holdrige stated:
Our guiding principle is now and will continue to be that embodied in the Taiwan Relations Act: the maintenance of a self-defense capability sufficient to meet the military needs of Taiwan, but with the understanding that China's maintenance of a peaceful approach to the Taiwan question will permit gradual reductions in arms sales.
There are in effect two primary standards to be considered: First, Taiwan's defensive needs; and second, China's intentions towards Taiwan.
Mr. COCHRAN. Mr. President, is it the view of the Senator from Rhode Island that the Murkowski amendment suggests that the executive branch propose to Congress those export licenses necessary for the sale of defensive weapons to Taiwan, such as conventionally powered coastal patrol submarines and surface ships?
Mr. PELL. Mr. President, yes. That is the intent as well of the Taiwan Relations Act, and I would hope for favorable review by the Congress of sales to meet Taiwan's legitimate defensive needs. The Taiwan Relations Act provides a statutory basis for the United States actions to supply Taiwan with military equipment required for defensive purposes, such as conventionally powered coastal patrol submarines. While the Joint Communique limited United States arms sales to Taiwan in qualitative and quantitative terms, it was not foreseen that Taiwan's military equipment would become outdated and, at the same time, military equipment would become more sophisticated and more costly, placing Taiwan eventually at a defensive disadvantage to China which has recently embarked on an extensive military modernization program. As the People's Republic of China has modernized its naval force, for example, it has also increased its deployments to its eastern and southeastern regions.
Mr. COCHRAN. Mr. President, is it the understanding of the Senator from Rhode Island that China's military modernization program has increased the perceived threat to Taiwan and obviously increased Taiwan's military defense requirements?
Mr. PELL. Mr. President, the Chinese are engaged in the acquisition of modern military equipment, including long-range fighter bombers from Russia, that pose a new military challenge to Taiwan given the progressive deterioration of Taiwan's aging military equipment. As a result of the increasing sophistication of the Chinese military forces and the decreasing operability of Taiwan's military forces, Taiwan should have the opportunity to purchase from the United States weapons appropriate to its needs. President Bush acknowledged the evolving threat and changing circumstances when he approved the sale of F-16's to Taiwan in 1992. Similar logic should apply to other defensive military equipment.
Mr. COCHRAN. Mr. President, I thank the Senator for his clarifications. Based upon his description, I would expect approval by the executive branch for the export licenses necessary to sell those items to Taiwan which are consistent with existing statutory obligations of the United States, such as surface ships and conventionally powered coastal patrol submarines.
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