Thank You for Your Principled Vote Against China PNTR

October 10, 2000

Dear Representative:

We are writing to thank you again for your principled vote against Permanent Normal Trade Relations (PNTR) for China. We are writing at this time to ensure that you are aware of the developments that already prove the wisdom of your PNTR vote.

For instance, today there is broad recognition that despite Administration promises to the contrary, the terms of China's WTO accession are not actually determined. In fact, this week vital negotiations in Geneva that will determine key terms of China's WTO accession ground to a screeching halt. For Members of Congress who relied on Administration promises that the U.S. had obtained rock solid commitments from China, that benefits were forthcoming and thus that Congress should eliminate its oversight role on China trade, this situation is especially problematic.

One issue now back in play is whether China would enter the WTO as a developed or developing nation. This designation determines how some WTO rules on subsidies, foreign company access, agriculture and anti-dumping are applied. The terms of the much-touted U.S.-China bilateral agreement will be interpreted according to the outcomes of multilateral talks on China's WTO accession terms that have been underway in Geneva for over a decade and, now that PNTR has been approved, are again jammed. Yet, for the advertised "benefits" of the U.S.-China WTO bilateral deal to come into effect will require China to make concessions in these multilateral talks in Geneva.

Instead, China is seeking to roll back some existing commitments. Plus, despite Administration claims that China previously agreed to forego certain developing nation WTO special and differential treatment benefits, China's chief negotiator Long Yongtu has been rather clear that regardless of U.S. demands, China will only enter the WTO under developing country status. "The legal presentation of the commitments that China has already made, of course some of these things they should not press China too much on. China will accede to the WTO as a developed country. This is written instruction from the highest leadership. These kinds of things will never change." (Inside US Trade, 9/29/00 p.19)

Today is also a day to be thankful not to have supported PNTR because of the string of outrageous human rights, religious freedom, proliferation and trade moves by the Chinese government just since the House vote. As well as a lack of benefits, China PNTR supporters will be held accountable back home for new human rights, proliferation and religious freedom problems -- and a mounting trade deficit with China -- following the China PNTR vote.

For instance, in the three weeks since Senate passage of PNTR, the regime in China has increased viciously its crackdown on the Falun Gong movement, tightened its anti-free-speech control over the Internet and limited foreign participation in that sphere, refused to join the Missile Technology Control Regime, clamped down on freedom of the press, and charged the Pope with "severe crimes" for canonizing Chinese Catholics.

Even before the Senate passed PNTR, recent revelations about Chinese government weapons proliferation so disturbed pro-PNTR Senators, such as Sen. Fred Thompson (R-TN), that he held up Senate passage desperately -- and unsuccessfully -- trying to add non-proliferation rules to the bill. During the same period, pro-PNTR House voters woke up morning after morning to read in the newspapers how the Chinese government violently suppressed several massive demonstrations of Chinese farmers and workers protesting government corruption, low crop prices, unpaid wages and unemployment.

We know that as the results of the China PNTR policy increasingly come to be known, your constituents will thank you over and again for your principled vote. Many people have written to us asking how China PNTR was passed when polls, such as a national Harris poll shortly before the vote, showed 79% of the U.S. public opposed China PNTR.

Please find attached a study we did to investigate that very question. We found that corporate interests spent more than $113 million in an unprecedented campaign to persuade Congress to grant PNTR to China. Past corporate cash-fueled lobbying crusades dim in comparison. For instance, proponents of the North American Free Trade Agreement (NAFTA) spent $22.8 million on campaign contributions and $8 million on advertising.

Yet, as many House Members found out in the years after the NAFTA vote, one-time corporate largesse cannot overcome the long-time wrath of betrayed constituents.

We intend to document carefully the policy and political outcomes of the China PNTR vote. We will continue to share with you the information that reinforces how forward-thinking your PNTR vote was. We thank you again and stand ready to provide you with any information on these issue or other trade and globalization matters.

Yours sincerely,

Joan Claybrook President Public Citizen

Lori Wallach Director Public Citizen's Global Trade Watch

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