DATE=3/9/2000
TYPE=CORRESPONDENT REPORT
TITLE=CHINA - US TRADE  (L-ONLY)
NUMBER=2-260006
BYLINE=STEPHANIE MANN
DATELINE=BEIJING
INTERNET=YES
CONTENT=
VOICED AT:


INTRO:  China has welcomed President Clinton's 
announcement asking Congress to approve permanent 
favorable trade privileges for Beijing.  V-O-A's 
Stephanie Mann reports the Chinese Foreign Ministry 
spokesman said U-S commercial interests will suffer if 
Congress does not approve the measure. 

TEXT:  Foreign Ministry spokesman Zhu Bangzao says the 
United States should grant China permanent normal 
trade relations once and for all and with no 
conditions attached.  He told the regular news 
briefing China appreciates the efforts by the U-S 
administration and American businesses to try to get 
the issue resolved. 

Wednesday, President Clinton sent legislation to 
Congress that would end the annual debate and vote on 
China's trade status and grant it the same low tariff 
access to U-S markets accorded most other countries.

The bill faces a difficult battle.  The 
administration, business and most Republicans support 
it, while many Democrats, with the backing of labor 
unions, oppose it.
 
As part of a bilateral trade agreement reached last 
year, Washington promised to grant permanent normal 
trade relations - formerly called most favored nation 
status - in exchange for China's promise to cut import 
barriers to U-S goods and services.  

The trade deal is an important part of China's 
application to join the World Trade Organization.  But 
American labor unions want the U-S government to 
renegotiate the trade agreement and require China to 
improve its human rights and labor standards before it 
is allowed to join the W-T-O.

The Chinese spokesman said the conditions that the 
United States has imposed on China's trade status in 
the past have seriously affected economic and trade 
relations between Washington and Beijing.  Speaking 
through a translator, Mr. Zhu urged the United States 
to resolve the matter by ending the annual review and 
approving permanent normal trade relations.

            // ZHU / TRANSLATOR ACT //

If this issue cannot be thoroughly resolved, it will 
be detrimental to the interests of U-S enterprises in 
China.  And it is also not conducive to U-S 
competition with the other W-T-O members in the 
Chinese market.

            // END ACT //

Mr. Zhu also said U-S rejection of permanent favorable 
trade terms for China would undermine the basis for 
implementing the bilateral trade agreement.  (Signed)
 

NEB/SMN/FC 



09-Mar-2000 05:06 AM EDT (09-Mar-2000 1006 UTC)
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Source: Voice of America
.