(Washington, D.C., February 16, 2000)-In an appearance before the House Ways and Means Committee today, Michael R. Bonsignore, Chairman and Chief Executive Officer of Honeywell International, called on Congress to pass legislation this year that would create Permanent Normal Trade Relations (PNTR) status for China. The legislation is needed to assure that the United States receives the full benefits of a landmark market access agreement signed last November with China that would enable that nation to join the World Trade Organization (WTO). The testimony was delivered on behalf of The Business Roundtable and the U.S.-China Business Council (a complete copy of the testimony is attached).

Bonsignore told the committee that the agreement makes sense for America on many levels. "The WTO deal can be evaluated on its economic merits alone and on that basis be judged a true win for the United States. But let me also underscore that China's accession to the WTO clearly is not about economics alone. It's about expanding the ability of business to do good, while doing well in China. It's about strengthening a pillar of the bilateral relationship that in turn adds much needed stability to the foundation of this strategically important relationship. It's about seizing an important opportunity to work with China on a shared objective of accelerating and managing the transformation of China's economic system," Bonsignore said.

Bonsignore's testimony made five key points:

• the commercial benefits of this agreement are comprehensive and unique;

• the United States' consistent policy of engagement with China is working and should continue;

• U.S. business is a catalyst for positive change in China;

• the opportunity to support enforcement; and

• the United States must show leadership by taking concrete steps with China to improve labor, human rights and environmental conditions.

Bonsignore said that engagement with China is the way to bring about positive change and gave many examples of how U.S. companies are making strides in this area. "Engagement simply means building our economic and political ties with China, bilaterally and multilaterally, so that we provide constant pressure for China to be a constructive and responsible member of the international community," he said. As an example, Bonsignore noted that tens of thousands of Chinese citizens visit the United States each year when the U.S. parent company brings them here for a wide range of technical, managerial, financial, environmental, health and safety training and education.

Bonsignore told the panel that passage of the PNTR legislation this year is vital. "I urge you to focus on one question: is America better off under this deal or not? The answer is a resounding yes-we are better off…. I urge the Committee to take this broad view of the importance of China's accession to the WTO and the U.S.-China bilateral agreement - and lend its full and immediate support to securing PNTR for China this year."

The Business Roundtable is an association of chief executive officers of leading corporations with a combined workforce of more than 10 million employees in the United States. The chief executives are committed to advocating public policies that foster vigorous economic growth and a dynamic global economy.