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DATE=5/17/2000 TYPE=CORRESPONDENT REPORT TITLE=CLINTON - CHINA TRADE (S) NUMBER=2-262485 BYLINE=DEBORAH TATE DATELINE=NEW LONDON, CT. CONTENT= VOICED AT: INTRO: One week before the U-S House of Representatives is expected to vote on whether to extend permanent normal trade relations to China, President Clinton is warning of dire consequences if lawmakers reject the measure. He made his comments in a commencement address at the U-S Coast Guard Academy in New London, Connecticut. Correspondent Deborah Tate reports. TEXT: A close vote is predicted, with the opposition coming mainly from lawmakers of Mr. Clinton's own Democratic party, who fear that freer trade with China would result in lost American jobs and would reward Beijing for its questionable human rights record and its tensions with Taiwan. But the president argued that engaging China would help promote stability in Asia and peace in the Taiwan Strait, advance freedom and human rights in that country, and create jobs by opening Chinese markets to U-S goods. He warned against isolating China. /// CLINTON ACTUALITY /// I believe a `no' vote invites a future of dangerous confrontation and constant insecurity. /// END ACT /// Granting China permanent trade status would end Congress' annual review of that country's trade status, and would help pave the way for Beijing's entry into the World Trade Organization. It would guarantee Chinese goods the same low-tariff access to U-S markets as products from nearly every other nation. (Signed) Neb/dat/gm 17-May-2000 14:49 PM EDT (17-May-2000 1849 UTC) NNNN Source: Voice of America .