tomma provisions of this draft clearly fall within the Parisdiction Mr Mouse Comber. For instance, we must closely work with the Ways and Means Committee on most-favored nation shahus, the Wanking Committee on the Multilateral Development Bank, and the Government Operations Committee on U.S. Government procurement, The Congress must realize there is no silver bullet. Sanctions passed by the House and those announced by the President will not alter the Chinese Government's behavior overnight. There is no one simple act that will put an end to the bloodshed, the massacres and the mock trials of Chinese citizens. The struggle for true democracies in China, which began 70 years ago with Chinese students participating in the May 4th movement in 1919, will be long and arduoUS I look forward to the testimony from the administration today. I hope that these discussions will help maintain the bipartisan spirit of cooperation which has thus far guided the response to the China situation I thank you, Mr. Chairman. The prepared statement of Hon. Sam Gejdenson follows:] OPENING STATEMENT REPRESENTATIVE SAM GEJDENSON CHAIRMAN, SUBCOMMITTEE ON INTERNATIONAL ECONOMIC POLICY AND TRADE THURSDAY, JULY 13, 1989 U.S.-CHINA RELATIONS I AM PLEASED TO JOIN TODAY WITH MY COLLEAGUES CHAIRMAN YATRON AND CHAIRMAN SOLARZ TO DISCUSS THE CRUCIAL ISSUE OF U.S.-CHINA RELATIONS. THE FOREIGN AFFAIRS COMMITTEE STRUGGLED IN THE FOREIGN AID BILL, AND WILL STRUGGLE THROUGHOUT THIS SESSION OF CONGRESS, TO CONSTRUCT A BI-PARTISAN POLICY TO PROMOTE FREEDOM AND DEMOCRACY IN CHINA. THE FACT THAT THREE SUBCOMMITTEES HAVE COME TOGETHER TO HOLD TODAY'S HEARING DEMONSTRATES THE COMPLEX NATURE OF CRAFTING SUCH A POLICY. OVER THE PAST SEVERAL YEARS, WITNESS AFTER WITNESS TESTIFIED BEFORE THIS COMMITTEE THAT THERE ARE SIGNIFICANT ECONOMIC OPPORTUNITIES AND PROFITS IN CHINA FOR AMERICAN BUSINESS. BUT THERE ARE NO MARKETS SO IMMENSE AND NO PROFITS SO LARGE THAT WE SHOULD SET ASIDE THE VALUES THAT HOLD AMERICANS TOGETHER AS A NATION. BECAUSE THE ACTIONS OF THE CHINESE GOVERNMENT ARE SO ABHORRENT TO INTERNATIONALLY RECOGNIZED STANDARDS OF HUMAN RIGHTS, THE HOUSE OF REPRESENTATIVES HAS ALREADY APPROVED A FAR-REACHING PACKAGE OF ECONOMIC SANCTIONS AGAINST CHINA. THIS PACKAGE CODIFIES INTO LAW SANCTIONS ALREADY ANNOUNCED BY PRESIDENT BUSH, ESTABLISHES CONDITIONS UNDER WHICH THE SANCTIONS SHOULD BE LIFTED, AND IMPOSES ADDITIONAL SANCTIONS NOT IMPOSED BY THE EXECUTIVE BRANCH. THE PURPOSE OF TODAY'S HEARING IS NOT ONLY TO EXAMINE THE ACTIONS ALREADY TAKEN BY THE ADMINISTRATION AND CONGRESS, BUT ALSO TO LOOK AT THE WISDOM AND POTENTIAL EFFECTS OF IMPOSING ADDITIONAL SANCTIONS UPON CHINA.. I HAVE RECENTLY DEVELOPED A DISCUSSION DRAFT OF LEGISLATION WHICH GOES BEYOND THE ACTIONS ALREADY TAKEN BY THE ADMINISTRATION AND THE HOUSE. WHILE I AM NOT AT THIS POINT ADVOCATING ALL OF THE LEGISLATIVE OPTIONS IN THIS DISCUSSION JRAFT, I BELIEVE IT IS IMPORTANT THAT CONGRESS CONSIDER THE PULL-RANGE OF REASONABLE OPTIONS AND BE PREPARED TO RESPOND QUICKLY TO THE EVER-CHANGING SITUATION IN THE PRC.. WE MUST BE READY TO MOVE ON MORE THAN ONE LEGISLATIVE TRACK. WITH RESPECT TO CHINA SANCTIONS. SUBSEQUENT TO THE HOUSE PASSING THE CHINA AMENDMENT TO THE FOREIGN AID BILL, THE SITUATION IN CHINA HAS CONTINUED TO DETERIORATE.. NEWS REPORTS DISCLOSED THAT OVER 10,000 CHINESE CITIZENS HAVE BEEN ARRESTED IN THE CRACKDOWN. A SECOND VOICE OF AMERICA REPORTER HAS ALSO BEEN EXPELLED FROM CHINA. FURTHERMORE, A C.I.A BRIEFING ON THE CHINA SITUATION ON TUESDAY ONLY REINFORCED MY CONSIDERABLE CONCERN ABOUT THE POLITICAL AND HUMAN RIGHTS SITUATION IN CHINA .. THE TYPES OF ADDITIONAL MEASURES AGAINST CHINA IN THE DISCUSSION DRAFT INCLUDE REVOKING CHINA'S MOST-FAVORED-NATION STATUS, PROHIBITING THE EXPORT-IMPORT BANK FROM OPERATING IN CHINA, UNILATERALLY STOPPING THE EXPORT OF DUAL-USE TECHNOLOGY TO CHINA IF THE CHINESE MILITARY AND POLICE ARE THE END-CSERS, MULTILATERALLY NEGOTIATING TO ROLL BACK THE FAVORABLE TREATMENT ACCORDED TO CHINA IN EXPORT CONTROLS, AND RENEGOTIATING THE U.S.-CHINA BILATERAL MULTIFIBER ARRANGEMENT. IN ORDER TO PRESERVE THE MULTILATERAL NATURE OF CHINA SANCTIONS, THE DISCUSSION DRAFT ALSO DIRECTS THE PRESIDENT TO CALL AN INTERNATIONAL CONFERENCE OF OUR ALLIES TO AGREE UPON A COMMON SET OF SANCTIONS AGAINST CHINA AS WELL AS COMMON CONDITIONS FOR LIFTING THESE SANCTIONS. SOME PROVISIONS OF THIS DISCUSSION DRAFT CLEARLY FALL WITHIN THE JURISDICTION OF OTHER COMMITTEES OF THE HOUSE. FOR INSTANCE, WE MUST WORK CLOSELY WITH THE WAYS AND MEANS COMMITTEE ON MOST-FAVORED-NATION STATUS, THE BANKING COMMITTEE ON MULTILATERAL DEVELOPMENT BANKS AND THE GOVERNMENT OPERATIONS COMMITTEE ON U.S. GOVERNMENT PROCUREMENT. CONGRESS MUST REALIZE THAT THERE IS NOT A SILVER BULLET. THE SANCTIONS PASSED BY THE HOUSE, AND THOSE ANNOUNCED BY THE PRESIDENT, DEMOCRACY IN CHINA, WHICH BEGAN SEVENTY YEARS AGO WHEN CHINESE BE LONG AND ARDUOUS. I LOOK FORWARD TO TODAY'S TESTIMONY FROM THE ADMINISTRATION. I HOPE THAT THESE DISCUSSIONS WILL HELP MAINTAIN THE BI-PARTISAN SPIRIT OF COOPERATION WHICH HAS THUS FAR GUIDED THE RESPONSE TO THE REPRESSION IN CHINA. Mr. SOLARZ. Thank you. Mr. Leach. Mr. LEACH. Thank you, Mr. Chairman. Mr. Chairman, no country and no citizen can fail to be impressed by the overwhelmingly unified reaction of the people and government of the United States to the vast grinding and relentless sup pression of fundamental freedoms now under way in the People's Republic of China. In this context, not only the rigid and insecure leaders of the Chinese Communist Party but, most importantly, the courageenis and resolute Chinese people must continue to be made aware thatt Americans are unanimously concerned for the fate of their great country, unanimously supportive of the movement for democracy for emancipation, and for human freedom in the world's largest country. As the world stood transfixed watching the brief flowering of the pro-democracy movement, we were ail reminded again of the wisdom of the late theologian, Rynaid Nieber, who observed that "Man's capacity for justice makes democracy possible, but man's inclination for injustice makes democracy necessary." This Congress has made it abundantly clear it is greatly dis tressed by the butchery in Beijing and the cold-blooded reimposi. tion of Stalinist totalitarian controis. But I would stress that Com-gress as an institution needs to exercise a prudentiai caution against the kind of excessive hubris which ignores the very real. limitations on American power to exercise decisive influence om events in Beijing. In this regard. Congress as a co-equai branch of government, but as an unequal partner in the crafting of foreign policy, augnt ta pay heed to Waiter Lippman's chagrined observation that in Wasn ington the art of diplomacy suffers too much from the fascination it exercises upon those non-professional diplomatists who feel that the United States ought to announce pubiiciy what our govern ment will and will not to in ail circumstances and ail quarters of the globe. No one can doubt that a great uncertainty hangs over the political life in the People's Republic of China. The President has wisely reserved substantial freedom of action to respond to new exigencies in China as they occur. I would urge the Congress to remain supportive of the President's policy, and to remember that there are limits to our power.. Self-restraint, after all. is generally conducive to prudentiai conduct in the affairs of state. Thank you. Mr. SOLARZ. Would anyone else care to be heard? Mr. Rora. Mr. Chairman, I would like to make a short state ment. Mr. SOLARZ. Mr. Roth. Mr. RoTH. Thank you, Mr. Chairman. I have never been a particular friend of sanctions. They never seem to work or produce their intended resuits, but there must be some option that we as a nation and as a people can exercise when lagrant violations of human rights take place, i.a., Tananmen nuare. We were ail encouraged over the last number of years on he progress that was made, especially economic progress in China, |