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China Reform Monitor, No. 6, November 1, 1997
American Foreign Policy Council, Washington, D.C.

Donors of $4.6 Million Attend White House State Dinner for Jiang

October 29

Chinese Vice Premier and Foreign Minister Qian Qichen holds a press 45-minute news conference announcing key results of the summit. He focuses on Taiwan, calling it the most critical issue between Washington and Beijing. Qian says what is important is the strict observation and good-faith implementation of the existing communiqués.

"China has never engaged in transfer of nuclear weapons and China has never engaged in the transfer of missiles . . . certainly this is applicable to . . . Iran," Qian tells the Los Angeles Times. He also denies that Beijing "interferes in U.S. internal affairs" and asserts there is "no evidence of PRC espionage." As proof, he says, "No Chinese spy has ever stood trial in the United States." [Editor's note: Last month, Senate Intelligence Committee Chairman Richard Shelby labeled China "the number one intelligence challenge to the United States."]

In a Washington Post op-ed, Reps. Ed Markey (D-Mass.), Benjamin Gilman (R-N.Y.), and Christopher Cox (R-Cal.) oppose certification of China as an eligible recipient of U.S. nuclear technology on the grounds that it has been "identified by the CIA as a 'key supplier of most destructive arms technology' to rogue regimes such as Iran's. We believe that providing access to American technologies that could end up assisting Iran's nuclear weapons programs would constitute an intolerable risk to U.S. national security."

Saying China's "nuclear, chemical, biological and missile proliferation has made it the Wal-Mart of international nuclear commerce," the congressmen observe, "President Clinton has . . . an obligation to require that the People's Republic of China demonstrate its compliance with global nonproliferation norms (as opposed to mere promises) by resisting pressure from the Chinese government (and the American nuclear industry)." If he certifies China, they argue, "he will have eviscerated U.S. non-proliferation policy and compromised U. S. national security."

At the White House state dinner for Jiang, according to the Associated Press, "the main dish was business." Guests include "CEOs from America's biggest corporations" who "perhaps not coincidentally, had donated $4.6 million to the Democratic Party over the last two years." Time-Warner's chief Gerald Levin says, "Just by being here it's a symbolic way of saying we care about the opportunities and the cooperation we have with the government."

"Prominent on the [state dinner guest] list, as well, were former top foreign policy officials who know how to open doors for businessmen hoping to gain entree with Beijing," according to AP, including "former secretaries of State Henry Kissinger, George Shultz, and James A. Baker III, former national Security adviser Brent Scowcroft, and former White House Chief of Staff [and Secretary of State] Alexander Haig."

Of the $4 billion in deals signed by the Chinese trade delegation, it appears that over 86% went to three companies: Boeing, Ford and General Motors at $3 billion, $250 million and $200 million, respectively. The remaining 14% went to some of the companies represented at the state dinner, including Atlantic Richfield and Lucent Technologies.

--Al Santoli


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