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China - MFN (1990)
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China - MFN (1990)
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Records of the White House Office of the Chief of Staff to the President (George H. W. Bush Administration)
John Sununu Issues Files
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Originally Processed With FOIA(s):
FOIA Number:
1998-0004-F[1]; 2000-0116-F
S
FOIA
MARKER
This is not a textual record. This is used as an
administrative marker by the George Bush Presidential
Library Staff.
Record Group/Collection:
George H.W. Bush Presidential Records
Collection/Office of Origin: Chief of Staff, White House Office of
Series:
Sununu, John, Files
Subseries:
Issues Files
OA/ID Number:
29144
Folder ID Number:
29144-002
Folder Title:
China - MFN [Most Favored Nation] (1990)
Stack:
Row:
Section:
Shelf:
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G
15
24
7
3
&
THE WHITE HOUSE
WASHINGTON
MAY 29, 1990
MEMORANDUM FOR THE PRESIDENT
8
THROUGH:
DAVID DEMAREST
ASSISTANT TO THE PRESIDENT FOR COMMUNICATIONS
BK
FROM:
BOBBIE KILBERG
DEP. ASSISTANT TO THE PRESIDENT FOR PUBLIC LIAISON
SICHAN SIV lushane
DEP. ASSISTANT TO THE PRESIDENT FOR PUBLIC LIAISON
DEB AMEND
SPEC. ASSIST. TO THE PRESIDENT FOR COMMUNICATIONS
JEFF VOGT
ASSISTANT DIRECTOR, OFFICE OF PUBLIC LIAISON
SUBJECT:
COMMUNICATIONS PLAN FOR CHINA
Since your announcement to extend MFN to China, we have
distributed a package of material (clippings, fact sheet,
editorials) far and wide. Our target coalition group includes
major association and business groups, the Chinese community, and
Republican officials at every level.
Our short term goal was to make sure our cross section of
opinion leaders knew the details of your decision so they could
respond accordingly. We encouraged them to speak to the press,
issue statements, cut radio and television feeds and write
letters and editorials. For example, two press releases from the
National Association of Manufacturers and the Chamber of Commerce
are attached.
Our plan for the long term -- helping the legislative
process -- is more comprehensive. Our goal is to encourage
general public support while targeting specific constituencies
and areas of the country for special treatment.
We are also enlisting the help of several Members of
Congress. For example, we've asked Congressman Jim Leach to
write an OP/ED supporting MFN for China for the New York Times.
We are talking to staff over the Congressional recess, and will
confirm OP/ED placement for the major daily papers next week.
2
Likewise, a great majority of the business community is very
pleased with your decision and has pledged its strong support. A
coalition comprised of over 50 corporations and associations is
strongly advocating your position on the Hill. Driven by the
Chamber of Commerce, the NAM, the U.S. China Business Council and
the National Foreign Trade Council, the coalition meets weekly to
set lobbying strategy in support of MFN.
We are contacting each of the major associations in this
coalition, as well as others not part of the coalition, to
encourage individual press statements in support of your decision
and to increase lobbying efforts. Moreover, we are providing
association leaders with our MFN "fact sheets,' which serve as
talking points for TV and newspaper interviews. In addition to
those already mentioned, some of these associations include: the
U.S. Council for International Business, the National Corn
Growers Association, the Computer and Business Equipment
Manufacturers Association, Citizens for a Sound Economy, the
American Business Conference, the Business Roundtable and the
National Wholesale Grocers Association.
The Independent Federation of Chinese Students and Scholars
told us that they had expected the outcome but were surprised
that your decision was unconditional. They are lobbying Congress
to attach various conditions to the resolution of disapproval
including:
- The PRC should remove the five year work requirement for
students before they can apply for overseas studies,
- All political prisoners should be released, and
- Martial law should be lifted de facto.
Chinese-American leaders are generally in favor of MFN
extension and have petitioned their elected representatives.
While the exact timing of the legislation is unknown, we
will soon schedule a Roosevelt Room legislative strategy meeting
with key members of our coalition groups to help bolster and
coordinate their targeted grass roots activities.
CC: Governor Sununu
MAY 29 '90 14:40 NAM HQ 14TH FLOOR
P.2/3
NAM
NATIONAL ASSOCIATION OF MANUFACTURERS
NEWS
90-121
CONTACTS:
LAURA BROWN (202) 637-3087
FOR IMMEDIATE RELEASE
JUDGE MORRIS (202) 637-3145
NAM SUPPORTS MOST FAVORED NATION STATUS FOR CHINA
WASHINGTON, DC, May 24, 1990 -- The National Association of
Manufacturers today affirmed its support for President Bush's
announcement on U.S. trade relations with the China.
NAM President Jerry Jasinowski said:
"The president's decision is the right one for China and the
right one for the United States. U.S. trade with China has been on
a non-discriminatory, or most-favored-nation basis, since 1980. It
is the same kind of relationship that the United States has with
approximately 170 other countries, and American companies have a lot
invested in that relationship.
"The next move is up to Congress, and we very much hope wisdom
will win over passion in Congress's deliberations.
"NAM shares the world's outrage over the 1989 tragedy in
Tiananmen Square and is deeply concerned over the political
repression that has followed. We are convinced, however, that
cutting off U.S.-China trade is not the answer. Indeed, it would
worsen the conditions we deplore.
"It would also be a serious blow to American competitiveness.
U.S. firms have invested over $310 million in China. Those
investments are part of our efforts to build U.S. market presence in
China and to increase the global competitiveness of American firms.
They are investments that would be seriously put at risk if the
IIIIIII 1331 PENNSYLVANIA AVENUE, NW, SUITE 1500 - NORTH LOBBY, WASHINGTON, DC 20004-1703
MAY 29 '90 14:40 NAM HQ 14TH FLOOR
P.3/3
United States were to impose high, discriminatory tariffs on Chinese
exports to this country.
"From wheat to airplanes, U.S. exports will fall if Congress
takes normal trade privileges (MFN) away from China.
"It is true that the United States had a trade deficit with
China last year. They sold us $12 billion worth of goods and we
sold them $6 billion. If Congress takes MFN away, other countries
will fill the import gap, but no one is going to offer the United
States a new $6 billion market.
"The United States and China will not be the only victims if
U.S.-China trade is sacrificed to politics. Seventy percent of
China's exports to the United States come through Hong Kong.
The loss of that trade would be a hard blow to Hong Kong, which is
already suffering a worrisome crisis of confidence.
"Sadly, if trade is interrupted and these costs are incurred,
we will look in vain for the pay-off. With less U.S. contact, China
will become more repressive, not less. The more market oriented
industries in China will be dealt the harshest blow, and U.S.
influence in that country will diminish.
"President Bush is keeping this country engaged in China by
keeping the trade lanes open. This is the right course in today's
global economy. We strongly support him. We hope the Congress will
as well. The clearest American message is a united one," Jasinowski
concluded.
-NAM-
TEL No.
May 25,90 10:09
3
PREMISE
U.S. Chamber of Commerce
1615 H. St., NW
Washington, DC 20062
CS CHAMMER of
Media Relations Department (202) 463-5682
NEWS
FOR IMMEDIATE RELEASE
Contact: Thomas Love
COMMENT ON RENEWAL OF MOST FAVORED NATION STATUS FOR PEOPLE'S REPUBLIC OF CHINA
BY RICHARD L. LESHER, PRESIDENT
U.S. CHAMBER OF COMMERCE
WASHINGTON, May 25 -- The U.S. Chamber of Commerce strongly supports
President Bush's decision to extend most favored nation status to the People's
Republic of China for another year. We applaud his leadership on this issue.
The president's comment that our economic competition would not join us in
denying MFN status should particularly be noted. The time is long past when
the United States can afford to impose unilateral economic sanctions that not
only fail to achieve nebulous foreign policy objectives but also severely
damage U.S. commercial interests while benefiting our competitors.
###
90-145
THE WHITE HOUSE
WASHINGTON
DATE:
5-18-90
FROM THE PRESIDENT
The
To:
Brent CC JAB
Re: MFN- China.
I think it is important that
the various interest groups on
the Hill know how their interests
would be affected by curtailing MFN.
Grain
Wood Products
Boeing
etc.etc.
ALso there is a lot of latent
support for Hong Kong in some
conservative circles.
On the other hand, some textile
folks-domestic- would probably sigh
with relief if MFN is stopped.
Challenge: get the special interests
alerted.
CC: John S
CONFIDENTIAL
CONFIDENTIAL
3694
THE WHITE HOUSE
10% PRESIDENT HAS SEEN
WASHINGTON
INFORMATION
MEMORANDUM FOR THE PRESIDENT
FROM:
BRENT SCOWCROFT
B
SUBJECT:
China -- Economic Effects of the Loss of MFN
The costs of loss of MFN for China would be felt by the United
States and Hong Kong, as well as China. A summary of these
effects follows:
United States. China will retaliate for lost markets; it did so
against U.S. grain in 1983 over a textile dispute. Likely
targets would be lumber and paper (Weyerhaeuser) which are
available from other suppliers. Other big losers would be:
Wheat growers (Cargill, Continental Grain), who sold over $1
billion in 1989; commercial aircraft manufacturers (Boeing,
McDonnell-Douglas, Pratt and Whitney, G.E.), who sell a steady $1
billion per year and dominate the Chinese market; phosphate
fertilizer manufacturers (Monsanto, F.M.C.), who sell one-sixth
total output to China at more than $1 billion per year; mining
and construction equipment companies (Bechtel, Combustion
Engineering, GE, Chrysler), who have hundreds of millions in
1990-91 sales at risk.
Importers, too, will be hurt. China produces one-third of U.S.
toy consumption, 10 percent of footwear consumption, and fifteen
percent of imported apparel.
Investors would find their $4 billion in China at risk if
retaliatory duties hit their imported materials and equipment.
Hong Kong. Already suffering from a crisis of confidence in Hong
Kong's future, loss of MFN would cost at least layoffs of more
than 20,000 workers in the Territory's shipping, banking, and
insurance industries. The effect will be greater as earnings of
export-oriented Hong Kong joint ventures in China are slashed,
consumer spending in the colony drops and potential investors
turn away. Hong Kong's GDP would likely fall 2.5 percent,
leading to zero growth in 1990-91.
CC: Vice President
Chief of Staff
DECLASSIFIED
CONFIDENTIAL
PER E.O. 13526
Declassify on: OADR
CONFIDENTIAL
2010-2784-MR
10/7/2014 MM
CONF IDENTIAL
2
CONFIDENTIAL
China. Chinese exports to the U.S. would face duties as much as
ten times higher than current rates, exacting a heavy toll on
China's foreign trade earnings, calling into question China's
export strategy and its ability to service its $44 billion
foreign debt. China could increase subsidies to Chinese trading
corporations to offset higher U.S. duties, but the government's
budget deficit would rise as a result, perhaps by a third from $8
billion in 1989. Without subsidies, China could lose $6 billion
in direct exports to the U.S.; with subsidies, at least $3
billion will be lost. Rough estimates hold that about 1 million
jobs, particularly in the new export-driven non-state enterprises
in the Southeast, will be put at risk. China currently has a $6
billion trade surplus with the U.S.
CONFIDENTIAL
CONFIDENTIAL
THE WHITE HOUSE
WASHINGTON
May 26, 1990
MEMORANDUM FOR GOV. SUNUNU
THROUGH:
DAVID DEMAREST
FROM:
SICHAN SIV
mg
SUBJECT:
CHINESE STUDENT LEADERS AND MFN
Following the President's extension of MFN status to China,
Yongchuan Liu, President of the Washington-based Independent
Federation of Chinese Students and Scholars (IFCSS), told me that
they had expected the outcome but were surprised that the
President has granted MFN without any conditions.
His group has begun lobbying Congress for conditions to be
attached to the resolution of disapproval. They include:
- The PRC should remove the five year work requirement for
students before they can apply for overseas studies,
- All political prisoners should be released,
- Martial law should be lifted de facto.
Mr. Liu claimed that most students have agreed on conditional
renewal of MFN, but admitted that the denial would hurt "some
people.'
We have already sent information packages to our supporters
beyond the Beltway, primarily on the West Coast.
The Congressional Human Rights Foundation has requested that the
President receive Chi Ling, a Tienanmen Square student leader, on
June 4. She will be in town on June 3-8 and again on June 25-
26. She has appeared on many TV programs including "Nightline"
and was found to be polite and reasonable. However, she believes
that economic sanctions are a forceful message that can be
applied to the PRC. One risk of having her come on June 4 is
that she may speak out strongly again MFN extension. The other
alternative would be to bring in a mixture of non-supporters and
supporters. Some of the latter on the West Coast have already
written to Sen. Wilson expressing their support for the
President. Copies are attached.
I am planning to meet with some student leaders next week.
Please let me know if you would like to see them also.
Attachments
Shulian Zhu
1517 Edith St.
Berkeley, CA 94703
May 22, 1990
Hon. Pete Wilson
U.S. Senate
Washington, D.C. 20510
Dear Senator Wilson:
Since the Agreement on Trade Relations Between the People's
Republic of China and the United States has been signed in
1979, the volume of trade between the two countries has steadily
and greatly developed. The mutually accorded MFN treatment is
beneficial not only to the two countries but also to the economic
prosperity of the Far- East Area. Signing this Agreement was one
of the most sagacious decisions made by the governments of the
two countries.
Any action of going backwards from this Agreement will severely
damage the friendly Sino-U.S. relationship and the benefits of
Chinese people, including Hang Kong people, as well as American
people. From a long-term point of view, the relationship between
the U.S. and the P.R.C. is very important for both the interests
of the two nations and the world peace. We, the undersigned
Chinese students and scholars currently studying in the U.S.
hape the mutually beneficial trade relations between our two
,
countries will be continued and extended.
Dear Senator, we are writing to request your help to urge the
U.S. Senate and Congress make a wise decision on this matter.
Thank you very much in advance for your consideration and
support.
cc: Hon. President Bush, Senators and Congressmen
Sincerely,
Penge S/ILL licen Zhu Yin Changru
2hon Jianming xiachory <i Juhanka Zhang giu Jue
Chen Astaminer Fei Peng Xin lan Shen Liu Sowl
Jang 7 amg Rac Ayan Songgine = has
MAY 24 '90 18:35 EVERGREEN COMPUTER
P.3
Shulian Zhu
1517 Edith St.
Berkeley, CA 94703
May 22, 1990
Hon. Pete Wilson
U.S. Senate
Washington, D.C. 20510
Dear Senator Wilson:
Since the Agreement on Trade Relations Between the People's
Republic o.f China and the United States has been signed in
1979, the volume of trade between the two countries has steadily
and greatly developed. The mutually accorded MFN treatment is
beneficial not only to the two countries but also to the economic
prosperity of the Far- East Area. Signing this Agreement was one
of the most sagacious decisions made by the governments of the
two countries.
Any action of going backwards from this Agreement will severely
damage the friendly Sino-U.S. relationship and the benefits of
Chinese people, including Hong Kong people, as well as American
people. From a long-term point of view, the relationship between
the U.S. and the P.R.C. is very important for both the interests
of the two nations and the world peace. We, the undersigned
Chinese students and scholars currently studying in the U.S.
hape the mutually beneficial trade relations between our two
,
countries will be continued and extended.
Dear Senator, we are writing to request your help to urge the
U.S. Senate and Congress make a wise desision on this matter-
Thank you very much in advance for your consideration and
support.
CC: Hon. President Bush, Senators and Congressmen
Sincerely,
Du Enotong Hore Iliasfar cher zgen
Xu Zhigun Pinyi Xy Far Shengyan
July Member. Freedship Lee-
yuar Gi Che. thengian?
CHINA People Assoc.
Michael Ler, V.S.C.P.F.A.
Wary Huamed
Linguin $
DAULTAN anu
1517 Edith St.
Berkeley, CA 94703
May 22, 1990
Hon. Pete Wilson
U.S. Senate
Washington, D.C. 20510
Dear Senator Wilson:
Since the Agreement on Trade Relations Between the People's
Republic of China and the United States has been signed in 1979,
the volume of trade between the two countries has steadily and
greatly developed. The mutually accorded MFN treatment is bene-
ficial not only to the two countries but also to the economic
prosperity of the Far-East Area. Signing this Agreement was one
of the most sagacious decisions which has made by the governments
of the two counties.
Any action of going backwards from this Agreement will severely
damage the friendly Sino-U.S. relationship and the benefits of
Chinese people, includes Hong Kong people, as well as American
people. From a long-term point of view, the relationship between
the U.S. and the P.R.C. is very important for both the interests
of the two nations and the world peace. We, the undersigned
Chinese studants and scholars currently studying in the U.S.
hope the mutually beneficial trade relations between our two
counties will be cotinued and extended.
Dear Senator, we are writing to request your help to urge the
U.S. Senate and Congress
make a wise decision on this matter.
Thank you very much in advance for your consideration and support.
cc: Hon. President Bush, Senators and Congressmen
Sincerely,
University of California, San Francisco 3hang. Wengary
Hiaoliang Han MD.
Keli Cao M.D.
minde Yu Windory Huny, MD. Ban guan 2hang M.D.
Lisher Hu, MD
Deper his
Xiautlong Niv
S.E.Yang
H.Su H. Su
WHIm
MAY 24 '90 18:36 EVERGREEN COMPUTER
P.5
Shulian Zhu
1517 Edith St.
Berkeley, CA 94703
May 22, 1990
Hon. Pete Wilson
U.S. Senate
Washington, D.C. 20510
Dear Senator Wilson:
Since the Agreement on Trade Relations Between the People's
Republic of China and the United States has been signed in 1979,
the volume of trade between the two countries has steadily and
greatly developed. The mutually accorded MFN treatment is bene-
ficial not only to the two countries but also to the economic
prosperity of the Far-East Area. Signing this Agreement was one
of the most sagacious decisions whichhas made by the governments
of the two counties.
Any action of gcing backwards from this Agreement will severely
damage the friendly Sino-U.S. relationship and the benefits of
Chinese people, includes Hang Kong people, as well as American
people. From a long-term point of view, the relationship between
the U.S. and the P.R.C. is very important for both the interests
o.f the two nations and the world peace. We, the undersigned
Chinese studants and scholars currently studying in the U.S.
$
hope the mutually beneficial trade relations between our two
counties will be cotinued and extended.
Dear Senator, we are writing to request your help to urge the
U.S. Senate and Congress
make a wise decision on this matter.
Thank you very much in advance for your consideration and support-
CC: Hon. President Bush, Senators and Congressmen
Sincerely,
U.C.S.F.
3/8
chen Lc
Wannian We
huiling
zheamong Jiming
Y. MiNG are
ZVERGREEN COMPUTER INT'L INC
Just Lee Donna chen
Berkeley, CA 94703
May 22, 1990
Hon. Pete Wilson
U.S. Senate
Washington, D.C. 20510
Dear Senator Wilson:
Since the Agreement on Trade Relations Between the People's
Republic of China and the United States has been signed in 1979,
the valume of trade between the two countries has steadily and
greatly developed. The mutually accorded MFN treatment is bene-
ficial not only to the two countries but also to the economic
prosperity of the Far-East Area. Signing this Agreement was one
of the mo.st sagacious decisions whichhas made by the governments
of the two counties.
Any action of going backwards from this Agreement will severely
damage the friendly Sino-U.S. relationship and the benefits of
Chinese people, includes Hong Kong people, as well as American
people. From a long-term point of view, the relationship between
the U.S. and the P.R.C. is very important for both the interests
c.f the two nations and the world peace. We, the undersigned
Chinese studants and scholars currently studying in the U.S.
,
hope the mutually beneficial trade relations between our two
counties will be cotinued and extended.
Dear Senator, we are writing to request your help to urge the
U.S. Senate and Congress
make a wise decision on this matter.
Thank you very much in advance for your consideration and support-
CC: Hon. President Bush, Senators and Congressmen
Sincerely,
yours Clean (Futtor Inc. )
Darthei
Cher Wee
John Xn
David Feng
FA
CHINA BUSINESS ASSOCIATION (U.S.A.)
CHINA'S HOPE DEPENDS ON AN OPEN ECONOMY
- An open letter to Congress
from concerned Chinese students in America
The current debate over China's Most Favored Nation(MFN) status has brought
widespread attention to the Issue of economic sanctions. We are very pleased that the
American government and people. after a year of limited sanctions, are abjectively
discussing an Issue which has great significance for the global economic strategy of the
United States. Your decision will have a long-term impact on the extremely Important
and mutually beneficial Sina-American relationship.
As a group of Chinese students, representing the Chinese Business Association¹,
we earnestly request Congress to continue China's MFN status. This crucial decision should
be made because it supports the principles of human rights and democracy. and also
supports the best Interests of the Chinese and American people.
According to statistics. canceling the MFN status will Inflict a loss of $12 billion to
China's direct and indirect trade income. The American economy will also lose $5 billion
in trade. The steadily growing private and governmental joint ventures between our two
countries will be greatly reduced, and may even cease altogether. Furthermore, the
technical, cultural, and economic exchanges between our peoples will decline, causing
an overall deterioration in the Chinese-American relationship. It could easily cause
Irreversible damage to this relationship which gives so much hope to the Chinese people.
Because of a decade of increasingly liberal economic policies, the Chinese
economy Is very closely related to the International market. In light of this fact. the
central government will easily transfer the burden of this economic belt-tightening caused
by this cancellation to the important coastal economy and the millions of private
entrepreneurs across the country. These independent economic players are already in
a very vulnerable situation because of Beljing's stringent policies. Sanctions will cause
China's balance of payment structure to become much worse off. The country's Inflation
rate would definitely rise and the gross national product would be reduced severely. We
estimate that 30 million people would lose their present jobs. What is more dangerous,
however, Is that the country's whole economic reform process will be devastated. The
whole open door policy will be fundamentally reversed.
After last June's Tiananmen Square event and because of the current political
situation, we fully understand the widespread desire of many Americans to do something
that would punish the Chinese government. Still, we need to point out the following:
Under China's present social-economic structure, cancellation of the MFN will
come with the cost of causing great suffering to innocent Chinese people. Surely this is
not consistent with the desire of furthering human rights.
10025 0 Tel. (212) 678-6859 . Telex 4933677 U.S.A.
MAY-24-98 THU 7:04 TRANSPACIFIC EX CORP.
P.03
B
CHINA BUSINESS ASSOCIATION (U.S.A.)
Since private entrepreneurs in the pivotal coastal economy will be the first to
feel the heat, this action would crush the free market sector of China's economy, which
has been painstakingly developed over the last decade.
A democratic system of government cannot be forced upon a country solety
through economic pressure. On the contrary, sanctions would actually stifie the flower
of economic and political freedom. This struggling flower can only grow, blossom, and
eventually become beautiful in the soll of on open economic environment.
By further boycotting China, America run the risks of giving up Its most
important economic interests In the Pacific Rim to a third country. It aiso risks creating
unstable factors that could threaten the peace and development of the region and the
world.
History proves that economic isolation hinders the development of democracy, social
and political progress. This Isolation is not what the Chinese people hope for and it is also
not in the interest of Americans. If a government can be threatened by economic
sanctions. we think that such a government can be threatened even more by an open
economy. Now more than ever, China needs increased International Input. With more
commercial trade, technical exchanges, and cultural contacts between China and the
rest of the world, the chances are better that ideological change and economic reform
will occur, as more people develop a yearning for free markets and democratic
government.
China's hope depends on an open economy. It is a prerequisite for reforms that will
lead to democracy, freedom. and human rights. Please support the Chinese people's
endeavor towards these goals. as you have done before.
The Board of Directors
China Business Association, Inc.
May 6. 1990. New York.
1. The China Business Association. Inc. (CBA) was established in 1987 as a non-governmental and non-profft organization.
it is made up of students from mainland China who seek to promote understanding and exchange between the Chinese
and American business communities. It has more than 500 members in 9 branches all over the United Stortes, Please
contact: Tel. (212)427-0368; Fax. (212)360-1837; Mailing Address: P.O. Box 1713, New York, NY 10025.
P.O. BOX 1713 New York NY 10025 0 Tel. (212) 678-6859 Telex 4933677 TGI U.S.A.
THE WHITE HOUSE
WASHINGTON
MAY 24, 1990
MEMORANDUM FOR GOVERNOR SUNUNU
XA
THROUGH:
DAVID DEMAREST
FROM:
DEB AMEND
RE:
MFN FOR CHINA
Since the President's announcement this morning to extend
most-favored nation trading status we have distributed the NSC
fact sheet and a package of favorable editorials far and wide.
Distribution includes:
-- Republican hill offices.
-- The appropriate offices within the White House, including
Legislative, Cabinet Affairs, Intergovernmental, and
Political. The Office of Public Liaison is distributing
material to the business community and our supporters within
the Chinese community.
-- I've also distributed material to the various party
committees for dissemination to their candidates and local
parties.
The first scheduled OP/ED, by Doug Paal, NSC director for
Asian affairs, will appear next week.
The National Association of Manufacturers and the Chamber of
Commerce is reportedly hosting a trade forum on MFN tomorrow
morning for major business leaders. Jeff Vogt's working with
them on a list of things they can do for us.
Generally, we are encouraging public support via letters,
OP/EDs, speeches, satellite interviews, statements, press
releases, etc., from all our various constituent groups
concerned with the issue. We'll target major papers and regional
TV markets for specific placement as the issue develops over the
next few days.
1
May 24, 1990
MEMORANDUM FOR MARLIN FITZWATER
FROM:
JOHN UNDELAND/NEWS SUMMARY
RE:
CONGRESSIONAL REACTION TO THE PRESIDENT'S
ANNOUNCEMENT ON MFN STATUS FOR CHINA
REPUBLICANS
SEN. GARN
"Tiananmen Square was so abhorrent to me. The Chinese government
should be punished," Sen. Garn said.
(Reuter, 5/24)
SEN. D'AMATO
"Sought-after trade concessions should not be given to the butchers
of Beijing," Sen. D'Amato declared
D'Amato and Sen. Dixon
introduced a joint resolution to rescind MFN status until China
showed it has improved its human rights record ... D'Amato
said
that he had supported Bush on [the Chinese students] matter and
helped to sustain his veto in the Senate. But he said he could not
support Bush now and predicted other Republicans would join him in
overriding a possible Bush veto.
(Reuter, 5/24)
REP. SOLOMON
Rep. Solomon, saying, "There are those of us here in this Congress
who respectfully but strongly disagree with [the MFN] decision,'
announced to the House introduction of a bipartisan resolution
disapproving the president's action.
(UPI, 5/24)
DEMOCRATS
SEN. MITCHELL
Bush's decision "is inconsistent with American values, it is
contrary to American interests, and it is profoundly wrong," Sen.
Mitchell said. The Maine Democrat said he and others will
introduce legislation to reverse Bush's action. (Reuter, 5/24)
Sen. Mitchell called the president's decision "profoundly wrong,"
and promised, "We're going to do everything we can to prevent it
from taking effect."
(UPI, 5/14)
-2-
REP. FOLEY
Rep. Foley said MFN extension faced "some very severe concerns" and
"an uphill effort" in the House because of China's human rights
practices
Asked about overriding a presidential veto, Foley
pointed to last year's House vote overwhelmingly rejecting Bush's
veto of legislation to protect Chinese students in the U.S.
(Reuter, 5/24)
Rep. Foley indicated that there was widespread support for revoking
China's trade status. "Across the board, from the most liberal
members to the most conservative members of both parties there is
a great deal of concern," Foley said.
(UPI, 5/24)
REP. OBEY
"At a time when we are trying to encourage the Chinese government
to demonstrate recognition of the need to support individual
rights, Bush sends them a message 'Don't worry, we really don't
mean it, Rep. Obey said. "I think it's very bad business," Obey
said.
(Reuter, 5/24)
SEN. BENTSEN
Some lawmakers expressed support or a willingness to be convinced
of the administration's position. "Obviously, the president's
policy in China has not worked
Still, I'm ready to listen to
the administration's explanation,' Sen. Bentsen said.
(Reuter, 5/24)
Sen. Bentsen promised hearings on the decision and said Bush's
"policy of accommodation toward China has not worked to this
point."
(UPI, 5/24)
SEN. GRAHAM
Sen. Graham said: "I think it's a marginal call. In close calls,
I leave it to the president."
(Reuter, 5/24)
SEN. CRANSTON
A Senate Foreign Relations subcommittee will conduct a hearing June
5 to probe human rights abuses in China, Sen. Cranston said.
China's "human rights record is abominable and shows no signs of
improving," he said.
(Reuter, 5/24)
MYLIFE
is
AFP PHOTO
Beijing University students march toward Tiananmen Square last May just before Mikhail Gorbachev's visit to China.
but there have been few reports of purely
political protest since last June.
It is possible, of course, that the Chi-
nese people will eventually side with dis-
contented elites and usher in China's first
An excellent anslysis of democratic
real democratic government. The sudden
movement in China in 1989 and sub-
explosion of popular enthusiasm for
sequent activities by dissident
change in Eastern Europe this year shows
group in the USA and France.
that long-term passivity may mask a deep
desire for change. But solid evidence of
any popular spirit for rebellion has yet to
emerge, and the students and exiles have
yet to embrace their own people in a truly
democratic way. It seems overly optimistic
to label last year's unrest and this year's
posturing a "mass movement for democra-
cy."
Joseph Kahn, who has been a journalist in
China, is currently a graduate student in
East Asian studies at Harvard University.
THE BOSTON SUNDAY GLOBE
MAY 20, 1990
THE WORLD
Did the media idealize dissidence in China?
Not all scholars see the uprising rooted in a 'mass movement' for democracy
Is it really a 'mass movement?
By Joseph Kahn
Popular among a faction of students
he latest "democrat" to emerge
from outside Beijing itself, Chai cham-
from China, the well-spoken
pioned the desire of a minority to remain
graduate student Chai Ling, ar-
in the square well after the protest had
rived in Paris recently to a bois-
lost its steam, steeling them to face the ire
terous, uncritical reception. Like
of the government. e-spurned the pleas
a half-dozen young dissidents before her,
of other student leaders to return to cam-
Chai, having hid in China for 10 months,
puses and sealed Tiananmen Square from
converted a couple weeks of experience as
those she disliked.
a student leader in Tiananmen Square one
The failure of the Western press to
year ago into the resume of an internation-
delve into these characteristics of Chai
al heroine, a savior of China and an em-
Ling is emblematic of a general glorifica-
bodiment of the democratic conquest of
tion of the events of last April, May and
1989.
June. Initially skeptical of the motives of a
The media greeted the 24-year-old
small group of university students who
Chai, as they did her fellow dissidents,
mourned the death of a former party offi-
with a rush of hagiographical sketches. On
cial, reporters had, by the time of the mili-
"Nightline," Ted Koppel conducted an un-
tary crackdown last June, become champi-
characteristically velvet-gloved interview,
ons of the student cause. They described a
interspersed with slow-motion video of the
democratic, pluralist struggle of American
erection of the students' Goddess of De-
images, a colossal shift of popular opinion
mocracy statue, an image conveyed SO of-
against a once all-powerful regime.
ten in the West it has become literally the
Today, the idealization continues. Even
central event in the student uprising. Chai,
some seasoned Sinologists now make facile
we are told, is a pluralist, a natural leader,
references to "China's mass movement for
SO popular among the Chinese people that
democracy." Many analysts include the
she found shelter from the head-hunting
Chinese protest as a central, leading event
Chinese authorities for almost a year.
in the dramatic revolutions of Eastern Eu-
But Chai had another side largely ig-
rope. This is the domino theory in reverse:
nored in the coverage. According to some
No corner of the world can remain safe
supporters and detractors alike, she was
from Western democratic values.
perhaps the least stable and most contro-
In contrast, some scholars who have
versial of the student leaders in Beijing.
studied the student movement and some
Emotional, single-minded and fiercely
Chinese participants themselves believe
competitive, Chai waged a public power
the uprising had it roots primarily in the
struggle to wrest control of the student
social and cultural discontent of elites, and
AP PHOTO
leadership in the final days of the six-week
only secondarily in political and economic
uprising and then named herself "supreme
unrest among the population at large. The
Chai Ling at'a pro-democracy rally in Tiananmen Square last June: She may
commander of Tiananmen Square."
movement showed only inchoate signs of
not be the pluralist that the media have painted her.
"mass" involvement. And it was a "democ-
racy" movement more in rhetoric than in
80 years ago, virtually every major Chi-
When a small but potentially promising
forward a baffling array of demands that
action.
nese social and political movement has
"workers union" formed after the Li Peng
left most observers confused.
"The media is vulnerable to the infec-
made- a democratic state a central goal.
government declared martial law last
Those activists who escaped the crack-
tious hope that there is something in the
The intellectual movement of 1919, the li-
spring, the students - despite their knowl-
down last June and fled overseas this year
air worldwide that will bring a new age
berals of the 1920s, the Nationalists, the
edge of Solidarity in Poland - made Her-
have embraced democracy as an alterna-
when democracy is universal," says James
communists and the dissenters under each
culean efforts to keep their distance. The
tive to the repressive system that drove
C. Thomson, a professor of history and
to a greater or lesser degree focused on
reason was partly tactical; many students
them out. But once again their actions
journalism at Boston University who has
the need for devolution of political power.
hoped to avoid inciting the government.
seem more ambiguous than their words.
written extensively on press coverage of
Mao Tse-tung pursued his goal of radi-
But many students said involvement by
The Federation for a Democratic Chi-
China. "Many people witnessed what hap-
cal egalitarian democracy in the Cultural
workers would sully the purity of the stu-
na, the leading dissident group, is headed
pened in Eastern Europe and then read
Revolution. Deng Xiaoping promised de-
dent ideals and possibly radicalize the
by some intellectual exiles who only one
that back on China. Beijing must be like
mocracy would flower with economic
movement.
year ago strongly advocated a theory of
Leipzig and Prague. I don't buy it."
growth and stability. In 1979 and 1987, the
"new authoritarianism." Modeled after
Western media celebrated two major "de-
A view from Czechoslovakia
Without question, the students who
authoritarianism in South Korea and
mocracy" movements led by students and
"The students did not want to set off a
marched in the streets of Beijing frequent-
Taiwan, this system would vest in one pa-
intellectuals in Beijing and other cities.
social uprising. They wanted a symbolic
tron leader, presumably the now fallen
ly chanted the Chinese word for "democra-
event that would benefit the reform faction
Zhao Ziyang, great political and economic
cy," which translates more accurately and
Democracy cut across SO many differ-
in the leadership," Nathan said.
less distinctly to "people in the leading
ent political movements because few both-
The isolation of the Chinese students
power to transform the nation.
role." Students and intellectuals made ex-
ered to define it in-any detail. Most used it
prompted a leading protester in Czecho-
For the federation's leadership, Yan
cellent testimonials to the need to liberal-
as a euphemism, or a catch-all, for more
slovakia's "Velvet Revolution," where stu-
Jiaqi and Chen Yizi (both top advisers to
ize the government and wipe out corrup-
concrete demands and objectives. The re-
dents also played a key role, to label the
Zhao) and Wan Runnan (a well-connected
tion. Many of the student and intellectual
lationship between these movements and
Chinese youth "totally naive."
millionaire businessman), democracy was
dissidents who escaped China after the
the "masses" was at best one of tutelage
Michael Hala, an organizer from Co-
a second choice adopted only because the
military crackdown, including the group
and at worst outright neglect.
menius University, said in a recent inter-
winds in China blew hard-line last June.
that formed the Paris-based Federation
"There are a lot of reasons to be pessi-
view, "It was like they were having a pro-
They are not Lech Walesa and Vaclav Ha-
for a Democratic China, have made "de-
mistic. One hundred years have passed,
test against their parents, like little boys
vel. When pressed on their goals for trans-
mocracy" their stated raison d'etre.
and they haven't moved off the dime," said
and
girls
They had no contact with the
forming China, the three declare their
But despite the common use of the
Andrew Nathan, a professor of Chinese
rest of the population. They had no idea
democratic intentions but adroitly skirt
word, the participants in the movement in
government at Columbia University. "I
when to take center stage and when to
outright opposition to the Communist Par-
China and later in exile have failed, as did
think fundamentally these people really
fade away. In Czechoslovakia, we had no
ty.
their dissident brethren in the past, to
want to move in the general direction of
such problem. There was never any ques-
"They seem to be hoping the refor-
cross a major hurdle characteristic of de-
democracy, in a rudimentary sense. But
tion that the students were an intricate
mists will come back into power, and they
mocracy in the West, namely the settle-
the elitist strand is there and will continue
part of the people as a whole."
will return to power themselves," said Na-
ment of the tense relationship between the
to be an issue."
Although Wu'erkaixi, a primary leader
than of Columbia University. "They do see
"people" and the state.
The students and exiles have continued
in Tiananmen Square and now a leading
elections and a market economy. But they
this elitist tendency. Led by students from
representative of the Chinese movement
are a moderate faction that wants to go
slow."
Talk of 'democracy' nothing new
the best universities in the capital, a small
in exile, once insisted he spoke for all the
The dissidents themselves are the elite
Chinese people, he has now accepted a far
Excluded from the dissident discussion
fraction of the 1 percent of Chinese ever
of the elite, a tiny coterie of gifted and
fortunate enough to receive a higher edu-
more modest role. "The criticism is right, I
almost entirely are the concrete desires of
privileged intellectuals in a nation of 1.1
cation anywhere, the movement never ex-
think," he said. "In China, there were
Chinese peasants and workers. Following
billion people. These elites have not balked
many thousands who came on the streets,
the lead of students in Tiananmen Square,
plicitly embraced workers, peasants or
at their supreme status in Chinese society.
even older intellectuals. Aside from the ex-
maybe a million. But they were spectators,
the federation includes no worker or peas-
Both during and after the uprising, they
pressed intention to "educate the masses"
not participants. And they disappeared
ant representatives.
have sought to perpetuate a decided sepa-
quickly.
Perhaps most important, the lack of
in due course, the students erected phys-
ration from those they refer to as the un-
"The students were not just the lead-
strikes or sustained public protest in the
ical barriers to protect their domain in
differentiated "masses."
Tiananmen from mass intrusion and limit-
ing force. They were the only force."
year since the brutal crackdown do not
Chinese elites throughout 20th-century
ed their major activities, speeches, hunger
The social discontent of the students
suggest any visceral attachment to the val-
history have spoken and written volumes
strike and dialogue to student representa-
and their desire for individual freedom did
ues propagated by students and exiles.
about the need for democracy. Since Sun
tives.
prompt a sustained clash with obtrusive
Workers and peasants- in recent years
Yat-sen led his own exile movement some
authorities. But with a social and not po-
have often shown willingness to risk the
litical program at heart, the students put
ire of the government striking for higher
wages or against restrictive regulations,