U.S. Department of State Dispatch 
Volume 7, Number 48, November 25, 1996 
Bureau of Public Affairs


ARTICLES IN THIS ISSUE  
1.  The U.S. and Australia:  Working Together To Meet New Challenges of 
the 21st Century -- President Clinton  
2.   The U.S. and Thailand:  Making a Partnership Work for the Asia-
Pacific -- President Clinton  
3.  The United States and China:  Building a New Era of Cooperation for 
a New Century -- Secretary Christopher  
4.  Strengthening U.S.-China Ties -- Secretary Christopher  
5.  A Pacific Future of Prosperity and Stability:  Sustaining APEC's 
Remarkable Momentum -- Secretary Christopher  
6.  Launching a New Phase In APEC's Evolution -- Secretary Christopher, 
Secretary Kantor, Ambassador Barshefsky   


ARTICLE 1:  

The U.S. and Australia:  Working Together To Meet New Challenges of the 
21st Century 
President Clinton 
Address to Australian Parliament, Canberra, Australia, November 20, 1996  

Mr. Prime Minister, Mr. Speaker, Madam President of the Senate, the 
Leader of the Opposition, all the members of the Senate and House, 
ladies and gentlemen:  Let me begin, Prime Minister, by thanking you, 
the people of Canberra, and all of Australia for the absolutely 
tremendous welcome that Hillary and I and the entire American delegation 
received.  I know this is called the Land Down Under, but after only a 
day, we all feel like we're on top of the world, and I thank you for 
that.  

I appreciate the opportunity to speak to you in this great hall of 
democracy.  Your Prime Minister -- Sir Robert Menzies -- was one of the 
very few world leaders to address our United States Congress twice.  Now 
I give you that fact as a point of interest, not a pitch for a return 
engagement here.  

Forty-one years ago this year, here is what he said to our people:    We 
have, with your great country -- as a result of war as well as of peace 
-- a tie which I believe to be unbreakable and a degree of affectionate, 
simple understanding that I do not believe can be surpassed between any 
two countries of the world. 

Today, 41 years later, the Prime Minister's insight still holds.  The 
ties between us span more than 200 years.  In 1792, an American ship 
named for brotherhood -- The Philadelphia -- arrived at Port Jackson 
with supplies that helped save the colonists from starvation.  Former 
Prime Minister Frasier noted that the beef that The Philadelphia carried 
had been on board for nine months -- well-cured, he called it.  

Well, my friends, two centuries later, our friendship -- tested in war 
and seasoned in peace -- has also become well-cured.  Our people have 
built bridges of commerce and culture, friendship and trust, reaching 
over the greatest expanse of ocean on the earth.  The United States is 
proud to be Australia's largest foreign investor and largest trading 
partner.  We are also proud of the wars we have fought together and the 
peace we have fought to sustain together.

The great diversity of our ties was born of shared experience and common 
values.  Our pioneers both settled vast frontiers and built free nations 
across entire continents.  In one another, I really believe we see a 
distant mirror of our better selves -- reflections of liberty and 
decency, of openness and vitality.  In this century, our bonds truly 
have been forged in the fires of wars -- war after war after war.  
Together, we carried liberty's torch in the darkest nights of the 20th 
century.

My message to you today is that we must embrace the dawn of this new 
century together, and we must make the most of it together.  We carried 
a torch through the night; now we can create the dawn our children 
deserve.

For Australia's strength and sacrifice through these many struggles, for 
your fierce love of liberty and your unfailing friendship to the United 
States, the American people thank you.  And the American people look 
forward with you to this new era of freedom and possibilities.  After 
all, our nations are at peace, our economies are strong.  The ideas we 
have struggled for -- freedom of religion, speech and assembly, open 
markets, tolerance -- they're more and more the habits of all humanity.  
For the first time in all history, two-thirds of all the nations on this 
earth and more than half the people alive today are ruled by governments 
picked by their own people.  The rigid blocks and barriers that too long 
defined the world are giving way to an era of breathtaking expansion of 
information technology and information.

And because of these things, we now have a chance -- greater than any 
generation of people who ever lived before us -- to give more and more 
people the opportunity to realize their God-given potential, to live 
their own dreams, not someone else's plan.

But this chance we have is nothing more than that.  It is a chance, not 
a guarantee.  For all its promise, we know this new century will not be 
free of peril, and therefore, we know that our freedom still requires 
our responsibility.  Nations and people still will be tempted to fight 
wars for territory or out of ethnic, religious, or racial hatred.

As I told the American people over and over again during the recent 
election campaign, it was literally heartbreaking to me to think of how 
much of their time I had to spend dealing with people who still believe 
it's all right to murder each other and each other's children because of 
their racial, religious, ethnic, or tribal differences.  We must stand 
against that, and the example of how we live together must be a rebuke 
to that in the 21st century.

And make no mistake about it, there is a nexus of new threats -- 
terrorists, rogue states, international criminals, drug traffickers.  
They, too, menace our security, and they will do more of it in the new 
century.  They will be all the more lethal if they gain access to 
weapons of mass destruction, whether nuclear, chemical, or biological.

Because of our size, our strength, our prosperity, and the power of our 
example, Australia and the United States have a special responsibility 
not only to seize the opportunities but to move against the new threats 
of the 21st century.  Together, we can reduce even more of the danger of 
weapons of mass destruction.  We can take the fight to the terrorists 
and the drug traffickers.  We can extend the reach of free and fair 
trade.  We can advance democracy around the world.  And, yes, we can 
prove that free societies can embrace the economic and social changes 
and the ethnic, racial, and religious diversity this new era brings and 
come out stronger and freer than ever.

The threat of nuclear weapons, born a half-century ago, finally is 
diminishing as a new century begins.  The United States and Russia are 
reducing our arsenals, pointing our weapons away from one another, and 
working to safeguard nuclear materials and facilities.  Every Australian 
should be very proud of the role your country has played in guiding the 
world toward a more secure future.

You helped lead the fight to extend the non-proliferation treaty.  Your 
determined diplomacy brought the Comprehensive Test Ban Treaty to 
reality and the world to the verge of banning all nuclear testing for 
all time.  Every nation is in your debt for that achievement.  And on 
behalf, again, of the people of the United States, I say thank you.

Now we must pursue together our remaining arms control agenda -- further 
reductions in Russia's and America's arsenals once Russia ratifies Start 
II; a chemical weapons convention, so that our troops never face poison 
gas in the battlefield and our people never fall victim to it in a 
terrorist attack; a stronger biological weapons convention, so that 
disease is never used as a weapon of war; a worldwide ban on landmines, 
so that all our children can walk with confidence on the earth beneath 
them.  

As we deal with these challenges to our security we must recognize the 
new ones which are emerging and the new approaches they require.  
Terrorism, international crime, and drug trafficking are forces of 
destruction that have no tolerance for national borders.  Together, we 
must show zero tolerance for them.  That means putting pressure on rogue 
states, not doing business with them.  It's very difficult to do 
business by day with people who kill innocent civilians by night.

It means giving no aid and quarter to terrorists who slaughter the 
innocent and drug traffickers who poison our children.  It means, in 
short, pursuing a concerted strategy -- intelligence and police 
cooperation worldwide, coordinated legal action in every country to stop 
money laundering, shutting down gray markets for guns and false 
documents, and increasing extraditions.  It means security coordination 
in our airports and airplanes and in giving, each in our own nation, our 
law enforcement officials the tools they need to cooperate and to 
succeed.

The measure of our people's security includes not only their physical 
safety, however, but, as we all know, their economic well-being.  Our 
two countries have led in opening markets around the world and we can be 
pleased with our progress.  Through GATT, the WTO, APEC, and literally 
hundreds of smaller accords, we are moving to extend the reach of free 
and fair trade.  But we can do more, issue by issue, agreement by 
agreement.

I am determined to work with Congress in my second term to move ahead 
boldly on market-opening initiatives around the world.  Decades from now 
I want people to say that our generation rose to the challenge of 
creating a new, open trading system for the 21st century.  If we do, 
more people will have good jobs and better lives as they share in 
humanity's genius for progress.  Over the long-term we can best advance 
the security and prosperity we seek by expanding and strengthening not 
only trade but the community of free nations.

The tide of democracy is now running strong and deep.  Consider this:   
In just the past few weeks, the people of Lithuania, Bulgaria, Romania, 
Moldova, Nicaragua, and Thailand have freely elected their leaders -- a 
prospect literally unimaginable not very long ago.  In my own 
hemisphere, every nation but one has raised freedom's flag.  In central 
Europe and in Russia, Ukraine, and the other New Independent States the 
forces of reform have earned our respect and deserve our continued 
support.

For the first time since the rise of nation states on the continent of 
Europe, it is literally conceivable that we have an opportunity -- a 
real and tangible opportunity -- to build a continent that is 
democratic, undivided, and at peace.  It has never been possible before, 
and together we can achieve it now.

Now, I know that some people on both sides of the Pacific are concerned 
that America's continuing involvement with Europe and our intense 
renewed involvement with our neighbors in Latin America will lead to 
disengagement from the Asia-Pacific region.  They are wrong.  Mr. Prime 
Minister, if I could borrow your eloquent phrase -- at least I'm giving 
you credit, as we politicians don't often do -- the United States does 
not need to choose between our history and our geography.  We need not 
choose between Europe and Asia.  In a global economy with global 
security challenges, America must look to the East no less than to the 
West.  Our security demands it.  After all, we fought three wars here in 
living memory.  The Cold War's last frontier lies now on the Korean 
Peninsula.  The region as a whole is in the midst of profound change.  
So our security demands it.

Our prosperity requires it.  One-third of our exports and more than 2 
million American jobs depend upon our trade with Asia.  Over the next 
decade, Asia's remarkable growth will mean ever-expanding markets for 
those who can compete in them.  Our future cannot be secure if Asia's 
future is in doubt.

As we enter the 21st century, there- fore, I say to you that America not 
only has been, she is and will remain a Pacific power.  We want 
America's involvement and influence to provide the stability among 
nations that is necessary for the people of the Asia-Pacific region to 
make the routines of normal life a reality and to spur the economic 
progress that will benefit all of us.

To meet those challenges of stability, we are now pursuing three 
objectives -- stronger alliances, deeper engagement with China, and a 
larger community of democracies.  First, we share the view of almost 
every nation in Asia that a strong American security presence remains 
the bedrock for regional stability.  We will maintain about 100,000 
troops across the Pacific, just as we maintain about 100,000 troops in 
Europe.  We will keep them well-trained, well-equipped, and  well-
prepared.  We will continue to revitalize our core alliances both 
bilaterally and regionally.

These efforts, let me say clearly, are not directed against any nation.  
They are intended to advance security and stability for everyone so that 
we can grow together and work together, all of us in the new century.

Our alliance with a democratic, prosperous Japan has been one of the 
great achievements of the postwar period.  Last spring, after more than 
a year's hard study and work, Prime Minister Hashimoto and I signed a 
new security charter.  Japan's continued support for our military 
presence and even closer links between our armed forces will enable us 
to deepen our cooperation on behalf of peace and stability in this 
region and beyond.

With our close ally in South Korea, we are working to reduce tensions on 
the Korean Peninsula that threaten all of northeast Asia.  We must give 
new momentum now to the four-party peace talks that President Kim and I 
proposed last spring.  And we must continue our work to dismantle North 
Korea's frozen nuclear program.  We are reinforcing our security ties 
with the Philippines and Thailand, while multiplying the power of our 
troops through greater access to regional military facilities.

And finally and simply put, the defense links between the United States 
and Australia have never been stronger in peacetime.  Mr. Prime Minister 
and members of Parliament, the agreements our foreign and defense 
ministers signed this summer in Sydney authorized the largest exercises 
involving our troops since World  War II.  American Marines will soon 
begin training in northern Australia, and we are deepening our already 
strong security cooperation.  Today I say, again with utter confidence, 
our alliance is not just for this time, it is for all time.

As we work nation to nation, let us continue to build a new architecture 
for regional security as well -- an architecture through ASEAN that will 
strengthen our ability to confront common challenges.  Already this 
effort is helping to diffuse tensions in the South China Sea and to 
dispel distrust across the region.  We must pursue it to its full 
potential.

Our second stabilizing objective is deeper engagement with China.  The 
direction China takes in the years to come, the way it defines its 
greatness in the future will help decide whether the next century is one 
of conflict or cooperation.  The emergence of a stable, an open, a 
prosperous China, a strong China confident of its place in the world and 
willing to assume its responsibilities as a great nation is in our 
deepest interest.

True cooperation is both possible and plainly productive.  We worked 
closely with China to extend a nuclear non-proliferation treaty and to 
secure the passage of the Comprehensive Test Ban Treaty.  We joined to 
shore up peace in Cambodia and increase stability on the Korean 
Peninsula.  We're making progress together on some tough issues -- from 
nuclear technology to intellectual property rights.

The United States and China will continue to have important differences, 
especially in the area of human rights, and we will continue to discuss 
them candidly.  But by working together where possible and dealing with 
our differences openly and respectfully when necessary, we can deepen 
our dialogue and add to Asia's stability.  I look forward to doing just 
that when I meet for the fourth time with President Jiang in the 
Philippines next week.

The third part of our work for stability is support for the advance of 
democracy.  Our two nations know that democracy comes in many forms.  
Neither of us seeks to impose our own vision on others, but we also 
share the conviction that some basic rights are universal and we have to 
decide whether we believe that.  I believe people everywhere aspire to 
be treated with dignity, to give voice to their opinions, to choose 
their own leaders.  We have seen these dreams realized in the democratic 
odyssey of the Asia-Pacific from Japan to South Korea to Thailand and 
Mongolia.

In this century, we have sacrificed many of our sons and daughters, your 
nation and ours, for the cause of freedom.  And so we must continue to 
speak for the cause of freedom in this new age of commerce and trade and 
technology.  We must push repressive regimes in places such as Burma to 
pursue reconciliation and genuine political dialogue.  We must assist 
new democracies such as Cambodia by encouraging the development of 
political parties and institutions.

We know that the freer and better educated people are, the more creative 
they become, the better able they are to compete, the more able they are 
to satisfy each other's deepest wants and needs.  We can look at the 
economic vitality of the Philippines, Thailand, Taiwan, and South Korea 
to see the proof of this assertion.

As stability extends its reach and strengthens its grip, the Pacific may 
finally be able to live up to its name.  In Cambodia, farmers once again 
till the land that had become horrific killing fields.  In Vietnam, 
schoolchildren can worry more about their exams than about the war.  
From Bangkok to Manila, power is no longer used against the people; it 
is in the hands of the people.

A generation ago, it was hard to imagine how rapidly freedom could come 
to these nations, how rapidly their economies could grow.  But freed 
from the threat of war, unleashed by their new-found freedoms, the 
people of this region have built among the greatest success stories the 
world has ever seen.  They have transformed economic wastelands into 
powerful engines for growth and have enriched the lives of millions by 
harnessing the technology of change.  Today, the economies of the Asia-
Pacific are clearly the most dynamic on earth.

More than 7 million Americans trace their roots to Asia.  Five of our 
states touch the Pacific.  We are inexorably linked to the promise of 
the Asia-Pacific region.  That is why in the first year of my term, I 
sought to elevate the APEC forum that began right here in Canberra into 
the first-ever meeting of Asia-Pacific leaders.  At our inaugural summit 
in Seattle, working closely with your former Prime Minister, Paul 
Keating, we agreed to give this extraordinarily diverse region a common 
goal -- to work as a community of nations committed to economic 
integration.

A year later in Jakarta, we made a historic commitment -- free trade and 
investment in the region by 2020. Some said that was an illusory vision, 
but already that vision is becoming a blueprint -- a blueprint taking 
shape as concrete commitments.  At next week's leaders meeting, Prime 
Minister Howard and I hope and expect that APEC will give a boost to 
specific market opening initiatives.  For me, I hope that means 
unshackling trade in computers, semiconductors, and  telecommunications 
-- the high-tech sectors of the future.  We have an opportunity to set 
an example for the rest of the world, and we ought to seize it.  If we 
do, the nations of the region will benefit -- those who provide the 
services and those who receive them.

Progress, after all, is not yet everyone's partner, and we have a 
responsibility to open the doors of opportunity to those who remain 
outside the global economy.  For example, some two-thirds of the people 
on our planet have no access to a telephone.  I found that hard to 
believe when I saw so many of your fellow citizens with their cell 
phones in their hands as I drove up and down your streets.  

More than half the people of the world are two days' walk from a 
telephone.  They are totally disconnected from the communications and 
information revolution that is the present vehicle for human progress 
and possibility.  If we add their creative energies to the mix which now 
exists, of course they will gain skills and jobs and greater wealth, but 
we also will benefit from the higher growth rates, from the expanded 
markets, and from the increasing likelihood that those people will find 
peaceful -- rather than warlike -- ways to release their energies.  We 
can do this if we have the courage not to retreat but instead to 
compete.

At this year's meeting at APEC and everywhere I go, I also will deliver 
again a simple, loud, and clear message:  The United States is more 
determined than ever to create an Asia-Pacific community of shared 
efforts, shared benefits, and shared destiny.  The interests that compel 
our engagement have grown, not shrunk, and so has our commitment to a 
Pacific future.

We know from our past that we can succeed, that we are equal to the 
difficulties ahead.  I began today by quoting Prime Minister Menzies, so 
let me conclude by returning to his words.  He said,   The world needs 
every scrap of democratic strength that can be found in it because 
nobody, however optimistic, need underestimate the measure or the 
character of danger that always confronts us.  It is not merely our 
privilege to be strong, it is our duty to be strong. 

The world needs Australia.  The world needs the United States.  It needs 
us together as partners and friends and allies.  We have stood together 
in the hard times as partners and friends.  Let us stand together and 
work together now for a new future of peace and possibility that extends 
to our children and our grandchildren and to all the children of the 
world.

May God bless Australia, the United States, and the great friendship 
between our nations.  Thank you very much.  

(###)



ARTICLE 2:  

The U.S. and Thailand:  Making a Partnership Work for the Asia-Pacific
President Clinton 
Address at Chulalongkorn University, Bangkok, Thailand, November 26, 
1996 (introductory remarks deleted)  

I am delighted and honored to be here today at a great center of 
learning that is a living memorial to Thailand's glorious past, yet 
which has a mission focused on the future; an institution that is 
proudly and distinctively Asian, yet reaches out to the entire world.  
And in the faces of the young people who are in this audience, we all 
see the shining promise of tomorrow.

I thank you for giving me the opportunity to speak here today about the 
future of the United States, Thailand, and the entire Asia-Pacific 
region we will share in the 21st century.  Three years ago, I took my 
first trip as President overseas to Japan and Korea.  Now, shortly after 
my reelection, again my first trip is to Asia -- to Australia, the 
Philippines, and Thailand.  In Australia at APEC, in my meetings with 
the leaders of China, South Korea, Japan, and your own nation, I have 
reaffirmed America's commitment to the Asia-Pacific region.  That 
commitment is stronger than ever, because in the 21st century America's 
future cannot be secure if Asia's future is in doubt.

I have wanted to visit Thailand for quite some time now, but I am 
especially glad to be able to join you in this historic year as we 
celebrate the life and work of His Majesty the King.  The close ties 
between our two nations go back to 1833, when America signed a treaty of 
amity and commerce with the Kingdom of Siam.  Those early bonds of 
friendship have endured the test of time, anchored by our security 
alliance, strengthened through our comradeship in Korea and Vietnam, and 
kept sharp and ready through Cobra Gold -- the largest exercise 
involving United States forces anywhere in Asia.

Our nations are partners in prosperity as well.  We enjoyed some $18 
billion in two-way trade last year alone.  We've forged important 
agreements  in civil aviation, the protection of intellectual property, 
and the tax treaty I was honored to witness just a few moments ago here 
in Bangkok.  More than ever, our people also are joined by ties of 
culture and community.   My country has been strengthened by the 
contributions of literally tens  of thousands of Americans of Thai 
descent.  And from Southern California to Houston to New York, our 
culture has been greatly enriched by the graceful temples, the ancient 
traditions, the exotic flavors of Thailand, which now have a home in the 
United States.

Now we must deepen our partnership for the demands of the 21st century.  
The United States and Thailand, for all the distance and differences 
between us, share a common vision -- the dream of an Asia-Pacific region 
where economic growth and democratic ideals are advancing steadily and 
reinforcing one another.  That dream is coming true here in Thailand 
today -- to the benefit of your people, this region, and the world.

Consider just how much the world has changed since President Johnson 
spoke here at Chula 30 years ago.  The Cold War is over.  ASEAN -- born 
in the throes of the Vietnam war -- last year welcomed Vietnam as its 
newest member.  Thailand has become an economic powerhouse.  The 
economies of East Asia are the fastest-growing in the world.  The new 
global economy -- spurred on by continuous explosions  in information 
and technology -- is transforming the way we live and work and 
communicate, collapsing the distances between us as the free flow of 
goods and the free flow of ideas are bringing tremendous opportunities 
for people throughout the world.

Of course, for all its promise, the 21st century will not be free of 
peril.  Aggressive rogue states, global crime networks, drug 
traffickers, weapons proliferation, and terrorism -- all these will 
continue to menace our security.

The nations most likely to succeed in this new world -- to succeed in 
seizing the opportunities and meeting the threats of our time -- are 
those that respond to the needs and aspirations of their people, promote 
commerce and cooperation instead of conflict, and have the openness and 
flexibility to harness the winds of change.

Thailand is proving that proposition every day.  Yours has been the 
world's fastest-growing economy over the last decade.  You are laying 
the groundwork for an Asia of the future, where ancient cultures are 
linked by modern communications; where a vast and diverse region is 
joined by values of hard work and enterprise and shared benefits.  This 
benefits the United States with more than 2 million jobs and  40% of our 
trade now tied to the Asia-Pacific region.

In the face of this, some have argued that democracy actually hinders 
economic growth in this region and in developing nations.  But we need 
look no further than the economic vitality of Thailand, the Philippines, 
Taiwan, and South Korea to see that economic growth and democratic 
development can go hand in hand.  Indeed, in the information-based 
economy of today and tomorrow, free market democracies have unique 
advantages.  Freedom and democracy strengthen the prospects for strong 
and enduring economic progress.

A wave of democracy has swept the earth in recent years -- from Hungary 
to Haiti to South Africa to Cambodia to Mongolia.  More than half the 
world's people now live under governments of their own choosing for the 
first time in all of human history.

Here in Thailand, last week's elections were a further milestone in your 
democratic journey.  As always in elections, there were winners and 
there were losers.  I can say that; I have been a winner and a loser.  
And, while losing is not as good as winning, whenever power is 
transferred peacefully and democratically, everyone in that nation is a 
winner.  

The United States is proud to have supported democracy's march across 
Asia.  We do not seek to impose our vision of the world or any 
particular form of government on others.  But we do believe that freedom 
and justice are the birthright of humankind.  The citizens of Thailand, 
Japan, Hong Kong, South Korea, the Philippines, Thailand -- Taiwan -- 
show us that accountable government and the rule of law can thrive in an 
Asian climate.

The people of Cambodia and Mongolia proved that change is possible in 
difficult circumstances.  The brave reformers in Burma led by Aung San 
Suu Kyi remind us that these desires know no boundaries.  Their 
aspirations are universal because they are fundamentally human.

Every nation of the Asia-Pacific must preserve the best of its 
traditions while pursuing the benefits of progress.  But surely we can 
all agree that human dignity and individual worth must never be 
undervalued or abused.  The United States will continue to stand with 
those who stand for freedom in Asia and beyond.  Doing so reflects not 
only our ideals, it advances our interests.  A nation that respects the 
rights of its own people is far more likely to respect the rights of its 
neighbors, to keep its word, to play by the rules, and to be a reliable 
partner in diplomacy and trade and in the pursuit of peace and 
stability.

It is in that pursuit that the United States will continue to maintain 
our strong Pacific presence, with 100,000 American troops to safeguard 
our common security.  We are reinforcing our five core alliances here, 
including our very special alliance with Thailand.  We're helping Asia 
build new security structures to promote stability and peace.

But let me be clear:  Our presence is not aimed against anyone or any 
nation.  Its aim is to benefit everyone and every nation through greater 
security and stability for all.

Safeguarding stability, we know now, requires more than military 
strength.  In a world grown closer, both the rewards of cooperation and 
the costs  of conflict have risen dramatically.   Just yesterday, we saw 
a real result of working together, as the APEC leaders -- with strong 
support from Thailand -- enforced early completion of an information 
technology agreement which would cut to zero the tariffs on products 
from semiconductors to soft- ware by the year 2000.

Imagine the benefits to the students in this auditorium and those just 
outside and in booming countries the world over as ideas become even 
more open and accessible to people -- as the Information Revolution 
spreads to even more eager minds.  Imagine the even greater benefits 
which will come to that one-half of the world's population which, 
believe it or not, is still two days' walk from the nearest telephone.  
They cannot participate in this world we are trying to imagine and 
create unless we all join together to spread the benefits of the 
Information Revolution to everyone and to do it now.

But let us not be blind to the fact that as barriers crumble and borders 
blur and progress spreads quickly, so, too, can trouble spread quickly 
in this new world.  We have only to look at the spread of environmental 
degradation, HIV and AIDS, weapons of mass destruction, terrorism, drug 
trafficking, and the rise of organized crime.  These forces of 
destruction defy traditional defenses, just as traditional barriers can 
no longer keep out ideas, information, and truth.  No nation is immune 
to the forces of destruction and none can defeat these threats alone.

Therefore, we must work together.  The United States is working with 
Thailand to ease the toll that economic growth has taken on your 
environment.  Many American environmental companies are working here for 
a healthier future not only in Thailand, but beyond your borders.  Our 
embassy here is our regional headquarters for working on issues such as 
air pollution and climate change throughout the area.  Thailand is 
helping to lead the way.  Recently you became the first developing 
nation to ban the production and import of refrigerators with ozone-
destroying CFCs, and I thank you for that.

We also are working with Thailand to help stop the terrible AIDS 
epidemic, now spreading faster in Asia than in any other region of the 
world.  Again, Thailand stands on the very front lines, setting a strong 
example in promoting AIDS prevention.  But even with declining rates of 
infection, the public health problem is enormous.   We in America will 
do our part by promoting dramatic increases in research and development 
of new drugs.  I am happy to say that in our country in the last four 
years, the average life expectancy for those with HIV and AIDS has more 
than doubled.  We will continue to do our part, but you must continue to 
work as only you can, here as well.

The United States Agency for International Development helped launch the 
Thai Women of Tomorrow Project to assist young women in finding better 
prospects than the prostitution that puts their lives at risk.  The 
First Lady visited that project the day before yesterday when she 
traveled to Chaing Mai to see the project started by faculty members at 
Chaing Mai University.  Of course, this is important to try to turn 
these young women and their families away from destructive life habits.  
But as the First Lady has said all over the world, it is not enough to 
protect women and girls from those who would exploit them; we must all 
work together to open wide the positive doors of opportunity so that 
every person in every free society can contribute and share in its 
progress.

Our cooperation is nowhere more essential than in the fight against the 
increasingly interconnected and global forces of organized crime.  Left 
unchecked, these criminal conglomerates, multinational masters of the 
underworld, will distort free economies, derail fragile democracies, and 
debilitate our societies with corruption and violence and drugs.

Thailand and the United States are close and committed partners in the 
fight against drugs.  We cannot afford to rest in the struggle, because 
the lives of too many millions of our young people are at stake.  
Thailand  is setting a strong example for other nations.  With the help 
of Their Majesties, the King and Queen, you have helped to give farmers 
the opportunity to give up the cultivation of opium in favor of other 
more productive crops.  You have drafted money laundering legislation 
which we hope will soon be passed.  You have helped to deter drug 
trafficking through your country by toughening your northern border 
patrols.

Our extensive cooperation in law enforcement is clearly paying off.  In 
1994, Operation Tiger Trap dealt a crippling blow to a major trafficking 
network in Burma -- enabling the arrest of 14 drug kingpins, two of whom 
have now been extradited to the United States.  In all your work in this 
area, Thailand is sending a clear signal to drug lords:  We will fight 
you; we are determined to stop you.  And America has a clear signal to 
Thailand:  We will stand with you all the way.

On behalf of General Barry McCaffrey, who leads our nation's antidrug 
effort and who is with me today, and all those children whose lives we 
are helping to save, I thank the Thai Government and the people of 
Thailand for moving away from the scourge of narcotics.

We know we must do more to fight illegal drugs at the source.  Burma has 
long been the world's number-one producer of opium and heroin and now is 
also making methamphetamines.  The role of drugs in Burma's economic and 
political life and the regime's refusal to honor its own pledge to move 
to multiparty democracy are really two sides of the same coin, for both 
represent the absence of the rule of law.  Every nation has an interest 
in promoting true political dialogue in Burma -- a dialogue that will 
lead to a real fight against crime, corruption, and narcotics, and to a 
government more acceptable to its people.

Whether we are fighting drugs, combating AIDS, trying to open bright new 
futures for our children, or working to protect the planet we share, 
Thailand and the United States are making our partnership work for our 
people.  For we both know we have much more to gain from standing 
together than by going it alone.  And we both appreciate how much can be 
achieved when dialogue and democracy are the life blood of two nations' 
relations with each other, when policies are made through consensus, not 
coercion, and when people everywhere are given the tools and the chance 
to make the most of their own lives.

Working together, the United States and Thailand can help lead the way  
to an Asia-Pacific region in which economic success and greater freedom 
advance together and support one another; a region in which growing 
opportunity is matched and strengthened by increasing freedom, 
stability, and security.

We still have challenges to meet.  We still have opportunities to seize.  
We still have much to learn from one another.  But I am confident we 
will do all these things, because we know that by working together and 
working with others we can build a Pacific community based on shared 
interests, shared values, and shared dreams.

It is my great honor, therefore, to be here today to reaffirm America's 
enduring engagement in the Asia- Pacific and our lasting and proud 
friendship with Thailand.  Thank you very much.  

(###)



ARTICLE 3:  

The United States and China:  Building a New Era of Cooperation for a 
New Century 
Secretary Christopher 
Address at Fudan University, Shanghai, China, November 21, 1996  

Good morning.  President Yang, thank you very much for that nice 
introduction.  Vice Mayor Zhao, honored guests:  I am delighted to be 
here today.  It really gives me great pleasure to be at this center 
which has played such a valuable role in promoting the study of American 
history, culture, and foreign policy.  I am honored to meet with the 
scholars and students of Fudan University, one of China's most 
distinguished institutions of intellectual achievement.  Here in this 
city where East and West have long met and mixed, you are helping to 
shape a modern China with growing links to the wider world.

On behalf of President Clinton, I have come to this great city to speak 
to you about the challenges now facing our two nations.  My message is 
clear:  Now more than ever before, the American and Chinese peoples can 
and must work together to advance our interests.  Like all great 
nations, we will no doubt at times have divergent views.  But history 
has given our two countries a remarkable opportunity -- the opportunity 
to build a new era of cooperation for a new century.  It is an 
opportunity which we simply must seize.

The shape of the world is changing almost as dramatically as this city's 
skyline.  Today, the Cold War is over, the risk of global nuclear 
conflict has been greatly reduced, and the free flow of goods and ideas 
is bringing to life the concept of a global village.  But just as all 
nations can benefit from the promise of this new world, no nation is 
immune to its perils.  We all have a great stake in building peace and 
prosperity and in confronting threats that respect no borders -- threats 
such as terrorism and drug trafficking, disease, and environmental 
destruction.

To meet these challenges most effectively, China and the United States 
must act together -- must act in concert.  Some have argued that with 
the Cold War's end, the strategic importance of the United States-China 
relationship has somehow diminished.  I believe they have it exactly 
backwards.  As a new century begins, the importance of strengthening the 
ties between the United States and China will grow even stronger.

Last May, I proposed that we deepen our cooperation by developing a more 
regular dialogue, including meetings at the highest level.  During the 
last few months, contact between our government officials has 
intensified across  a broad range of issues -- a healthy  sign of 
maturing relations.  Yesterday in Beijing, I had the opportunity to meet 
with President Jiang Zemin; Premier Li Peng; and my counterpart, Vice 
Premier Qian Qichen.  And just three days from now, President Clinton 
and President Jiang will meet at the APEC Leaders' Meeting in the 
Philippines.

These meetings have one overriding purpose:  to reach new understandings 
that will bring concrete benefits to the citizens of both countries and 
the citizens of the world.  The United States is convinced that by 
expanding our cooperation at every level -- global, regional, and 
bilateral -- we will advance our shared interests.  Let me outline 
briefly why.

First, I want to talk about the need for the United States and China to 
work together on the international stage in dealing with global events.  
Our great nations share a weighty, heavy responsibility:  As nuclear 
powers, as permanent members of the UN Security Council, and as two of 
the world's biggest economies, we simply must lead.  We have a common 
stake in building and upholding an international system that promotes 
peace and security and prosperity around the globe.

Nowhere has cooperation been more crucial than in our efforts to halt 
the spread of weapons of mass destruction.  The last few years 
demonstrate just how much the U.S. and China can accomplish when we work 
together.  Together, we helped ensure the indefinite and unconditional 
extension of the nuclear Non-Proliferation Treaty and together helped 
achieve one of the landmarks of this current period, namely the 
conclusion of the Comprehensive Test Ban Treaty.  These two giant steps 
have made our citizens safer.  Americans and Chinese will be even more 
secure if we can redouble our efforts to end the production of fissile 
material for nuclear bombs, if we can work together to join the global 
convention to ban chemical weapons and to strengthen the ability of the 
international community to detect and stop illicit nuclear programs.

While the United States and China have worked side by side to reach 
important understandings on non-proliferation, much remains to be done.  
Indeed, in my meetings yesterday in Beijing we advanced our work 
together toward this goal.  The new regular dialogue that we will have 
between officials from the United States and China on non-proliferation 
and arms control issues will facilitate further progress.  We have a 
shared interest in preventing the introduction of sensitive technologies 
into volatile regions such as South Asia and the Persian Gulf.  Let me 
be particularly clear on one point:  Countries such as Iran that sponsor 
terror and work against peace cannot be trusted to respect international 
norms or safeguards.  Their attempts to acquire nuclear and chemical 
weapons and missile technology threaten the interests of both of our 
countries and, indeed, of all their neighbors.  We must work together to 
stop them.

Both of our countries will also benefit from an effective global 
coalition against terrorists, international criminals, and drug 
traffickers.  In his speech at the UN last September, President Clinton 
called on all nations to deny sanctuary to those global predators in the 
narcotics and terrorism field and to ratify the conventions that prevent 
and punish terrorism.  In addition, China and the United States should 
forge strong ties between our law enforcement officials to fight common 
foes such as the drug lords in Burma whose traffic in heroin threatens 
citizens from Shanghai to San Francisco.

China and the United States have an immense stake in building an open 
global trading system for the 21st century.  Together, our two nations 
account for almost one-third of the global trade and output.  For both 
of our nations, exports are increasingly important to our economic 
growth.  We can both profit by joining to establish and uphold rules 
that will open markets and will make trade fairer than it is now.

The United States actively supports China's entry into the World Trade 
Organization -- WTO -- on commercially meaningful terms.  We welcome 
China's commitment not to introduce new laws or policies that would be 
inconsistent with its WTO obligations.  We are prepared to negotiate 
intensively to achieve a WTO accession package on the basis of effective 
market access commitments by China and adherence to WTO rules.

Our economic growth and well-being are also dependent upon responsibly 
managing our natural resources.  For the United States and China, 
choosing between economic growth and environmental protection is what 
President Clinton has called "a false choice, an unnecessary choice." 
Both are vitally important and both are mutually reinforcing.

Our nations must demonstrate global leadership on these critical 
environmental challenges; perhaps the most dangerous current one is 
climate change.  The United States and China are leading producers of 
greenhouse gases.  These gases threaten to raise sea levels, damage our 
crop production, and spread deadly disease.  As two nations at different 
stages of development, we will shoulder our responsibilities in somewhat 
different ways, but we should agree to act together and to act now -- 
globally, regionally, and bilaterally.  That is why we are jointly 
promoting renewable energy sources and energy efficiency.  Most 
important for the long term -- and especially to great cities such as 
Shanghai -- we are exploring new energy technologies that are less 
harmful to the world's atmosphere.  On a wide range of environmental 
issues -- saving fisheries, controlling toxic chemicals, preserving 
forests -- our two countries have recently expanded our environmental 
dialogue.  We do this to spur progress through the Sustainable 
Development Forum which is led by Vice President Gore and Premier Li 
Peng.

Let me now turn to the second broad area for cooperation between the 
United States and China, namely, the important regional interests that 
we share as great Pacific nations.

Across an ocean where terrible conflicts have given way now to more 
peaceful relations between nations, today's hard-earned security and 
prosperity depend upon maintaining and strengthening stability in this 
region.  We have had significant successes.  We have joined together to 
ensure a non-nuclear Korean Peninsula -- and we are working with China 
to push forward four-party talks to try to ensure permanent peace on the 
Korean Peninsula.  In Southeast Asia, our two countries have worked 
together with the United Nations to promote peace and reconciliation in 
Cambodia.

Throughout the Asia-Pacific region, America's continuing military 
presence makes a vital contribution to stability.  Some in your country 
have suggested that our presence here in the Asia-Pacific region is 
designed to contain China.  They are simply wrong about that.  We 
believe that our security presence advances the interests not only of 
the United States, but of China and all the countries of the region.  
For this reason, the United States will remain a Pacific power in the 
next century no less than in the last century. In the wake of the Cold 
War, the United States has taken steps to reinvigorate our relationships 
across the Pacific.  We believe that our five alliances in this region 
reinforce peace and benefit all nations -- including China.  So do 
broader contacts between the militaries of the United States and China.  
My nation looks forward to increased exchanges between our armed 
services, regular defense minister meetings such as the one that will 
take place between Minister Chi and my colleague Secretary Perry next 
month, and more port calls such as the one paid by the USS Fort McHenry 
to Shanghai last February.  The United States and China also will gain 
from the success of new regional security dialogues such as the ASEAN 
Regional Forum.  These dialogues encourage meaningful talks, they defuse 
tension, and they promote confidence-building measures.

The United States also is committed to working with China to promote 
regional economic growth and prosperity.  When the original 12 members 
of APEC met in Canberra in 1989, they recognized that the best way to 
sustain Asia's dynamism was to ensure that the economies of the APEC 
countries would grow together.  And now today's APEC members conduct 
almost 70% of their trade with each other.  This week in the 
Philippines, the United States, China, and all the other APEC economies 
will set out plans that will lead to the elimination of all barriers to 
trade and investment in this region by the year 2020.  We also will work 
on plans for economic and environmental cooperation throughout the 
region.  China and the United States, as APEC's two largest members, 
have a special responsibility to turn these plans into forthright 
action.

Our ability to advance these regional and global goals ultimately rests 
on a strong U.S.-Chinese bilateral relationship -- and that is the third 
matter that I want to touch on briefly today.

Here in Shanghai almost 25 years ago, the People's Republic of China and 
the United States of America -- nations too long separated by mistrust 
and suspicion -- took a historic step.  We agreed to advance common 
strategic goals and broaden ties between our people.  Since then, 
relations between our nations have been guided by the set of principles 
set out in the Shanghai Communique and the two communiques that followed 
in 1978 and 1982.

As I have said many times, the United States is firmly committed to 
expanding our relationship within the context of our "one China" policy 
as embodied in these three communiques.  We believe that the P.R.C.  and 
Taiwan must act to resolve their differences between themselves.  At the 
same  time, we have a strong interest in  the peaceful resolution of the 
issues between Taipei and Beijing.  We believe that the P.R.C.  and 
Taiwan share that interest in a peaceful resolution of these issues.  We 
have emphasized to both Taipei and Beijing the importance of avoiding 
provocative actions or unilateral measures that would alter the status 
quo or pose a threat to peaceful resolution of the outstanding issues.  
We are encouraged that both sides have taken steps to reduce tensions in 
the Taiwan Strait.  We hope that the P.R.C.  and Taiwan will soon resume 
a cross-Strait dialogue that can help build trust and settle 
differences.

Both China and the United States also have vital interests in a smooth 
and successful transition of Hong Kong from Britain to China.  More than 
40,000 U.S. citizens call Hong Kong home, and American investments total 
more than $13 billion in Hong Kong.  We have welcomed China's pledge to 
maintain Hong Kong's unique autonomy, to allow its open economy to 
flourish, and to respect its traditions of law and individual freedoms.  
These guarantees are crucial to Hong Kong's continued dynamism -- and to 
the prosperity of China as a whole.  As that vital date approaches -- as 
July 1, 1997 approaches -- the world will look on with great interest 
and watch as China, we all hope, will respect its commitments to Hong 
Kong and to these important principles that will guide Hong Kong in the 
future.

China and the U.S. also stand to gain from the sustained economic growth 
that brings prosperity to every province of your nation.  For two 
decades now, America's actions have reflected our deep interest in the 
success of China's efforts to lift the living standards of its people.  
The United States has supported multilateral assistance to help China 
meet basic human needs.  American foundations have helped China promote 
education and health.  And American universities have helped educate 
almost 200,000 Chinese students -- some of whom, I'm sure, are here in 
the audience today.

Here in Shanghai, the economic benefits of our relationship are readily 
apparent.  About 2,000 American companies have contracted to invest 
almost $4 billion in this city alone, more than anywhere else in China.  
From aerospace and computers to capital markets and life insurance, our 
businesses and workers are turning Shanghai into an engine of growth and 
innovation not just for China and the United States but for the world as 
a whole.

These economic links have already made America your largest export 
market and China one of our most important customers.  Now we can expand 
those links by cooperating  to meet future needs in agriculture, energy, 
and infrastructure -- areas where American know-how is unrivaled.  We 
must work together to widen market access in China and open new 
opportunities for consumers and workers.  We must consolidate the gains 
that we have already made, by strengthening the protection of 
intellectual property.  Economic piracy poses a threat not just to 
American businesses but to China's software, film, and music industries 
as well.  By upholding its commitments to protect intellectual property, 
China will enhance its ability to attract foreign investment in the 
future.

Our work in these and other areas is bringing together our business 
representatives, scientists, legal experts, and scholars -- in person 
and on the Internet.  Last year, more than 400,000 Americans came to 
China.  Speaking of Americans in China, I am very pleased and proud to 
have with me today Ambassador James Sasser and his wife, Mary.  
Ambassador Sasser was a leading U.S. senator for 18 years, a member of 
the President's party, and now is our ambassador to China.  Please join 
me in giving a hand to Ambassador Sasser.  The flow of visitors has 
grown in both directions, and last year more than 160,000 Chinese 
visited the United States.  From the Chinese officials who visit 
America's small towns to the Hollywood producers who flock to the 
Shanghai Film Festival, we are building a human bridge across the 
Pacific, enriching our countries and cultures with new ideas and new 
products.  Strengthening these links will deepen our understanding and 
our trust and will enable our ties of friendship to grow even stronger.

In all the areas that I have discussed today -- global, regional, and 
bilateral -- one lesson stands out:  Containment and confrontation will 
hurt both of our nations; cooperation and dialogue on the other hand 
will best advance our mutual interests.  It is that spirit of 
cooperation and commitment that infuses my country's approach  to our 
relationship.  Cooperation, of course, is a two-way street:  If we are  
to produce concrete results, China must also do its part.

The United States and China will continue to face profound differences, 
some rooted in history, others in tradition and circumstance.  During my 
meetings yesterday in Beijing, we discussed our disagreements quite 
openly and quite candidly.  We have a responsibility to ourselves and to 
the world to manage those differences constructively and to approach 
them in ways that do not undermine our ability to achieve our important 
common goals.

In recent years, our nations have had divergent views about democracy 
and the freedoms enshrined in the Universal Declaration of Human Rights.  
The United States tries to live up to these principles by fighting 
injustice at home and speaking up for all those who are persecuted for 
seeking to exercise universal rights -- wherever they may live.  While 
we recognize that each nation must find its own path consistent with its 
own history, we believe that these ideals of the Universal Declaration 
reflect the values not just of the United States but of countries and 
cultures all over the world.

Americans promote individual freedoms and the rule of law not only 
because they reflect our ideals but because we believe they advance our 
common interest in security and prosperity.  History shows that nations 
with accountable governments and open societies make better neighbors.  
Nations that respect the rule of law and encourage the free flow of 
information provide a stable, predictable, and efficient climate for 
investment.  Those that give their people a greater stake in their 
future are more likely to enjoy economic growth over the long term.  
China's recent efforts to invest authority in its people through legal 
and administrative reforms and village elections are a positive step in 
that direction.

For more than two centuries, Americans and Chinese have reached out to 
each other across a wide geographic and cultural divide.  Many of my 
country's finest entrepreneurs, architects, scientists, and artists have 
come from your shores to shape our society and drive our economy.  At 
times, the results have been nothing short of brilliant.  Americans, in 
turn, have made contributions to China, whether building factories that 
provide jobs or bringing ideas that open new opportunities.  Yet too 
often in our history, distance and difference have blinded us to our 
common hopes and interests, creating distorted images of each other that 
drive us apart.

Each of us still has much to learn.  But technology has shrunk the miles 
between us and given us new insight into one another's lives.  We know 
each other better now than ever before.  In a world where barriers are 
falling and borders are blurring, our nations are united by increasingly 
shared opportunities and challenges.

The United States strongly supports China's development as a secure, 
open, and successful nation.  We welcome its emergence as a strong and 
responsible member of the international community.  Now, on the brink of 
a new century, our nations have a chance to establish a broad and 
durable set of ties for the new era.

As we meet together in this city "above the ocean" that links our great 
lands, let us rededicate ourselves to advancing shared goals.  If we 
unite ourselves in common purpose, we can create a new era of promise.  
History has given us this priceless opportunity, and we must and will 
meet the challenge.  

(###)    



ARTICLE 4:  

Strengthening U.S. China Ties 
Secretary Christopher 
Opening remarks at press conference following meetings with Chinese 
leaders, Beijing, China, November 20, 1996  

Good evening.  Today I held an intensive series of meetings with 
President Jiang Zemin, Premier Li Peng, and Vice Premier Qian Qichen.  
These meetings reflect the importance that both the United States and 
China attach to strengthening our relationship.  I was particularly 
pleased that we had time to discuss at some length the strategic basis 
for the ties between the United States and China.  Indeed, our two 
nations do share many important interests, which we can best advance by 
working together.  I intend to elaborate on these common goals in my 
speech tomorrow in Shanghai.

Our talks today also helped prepare for the meeting between our two 
presidents this Sunday at the APEC meeting in the Philippines.  
President Clinton looks forward to building on the positive momentum we 
have established in recent months and to setting the stage for further 
progress during his second term in office.  

In today's meetings, the United States and China reached some specific 
understandings in several important areas.  Let me go through them and 
highlight them for you tonight. 

First, in the broadest terms, both sides agreed that a healthy 
relationship between the United States and China is in the interests of 
both countries -- also, in the interest of the Asia-Pacific region and 
to the world as a whole.  We are both pleased with the recent progress 
we have made, and we look to strengthen further our relationship.

Second, both sides agreed to expand high-level contacts.  We agreed that 
further discussions on this topic will be held by our two presidents in 
the Philippines.

Third, on non-proliferation, we discussed several important areas, and I 
want to take time to go through them one by one with you.  On nuclear 
non-proliferation, we agreed that both sides will work for early 
implementation of the 1985 U.S.-China Agreement for Peaceful Nuclear 
Cooperation.  This will require establishing the basis for putting the 
agreement into practice.  I am encouraged that China has agreed to 
formulate and adopt comprehensive nationwide regulations on nuclear 
export control.  Both sides reiterated that we will fulfill our previous 
obligations, including the May 11, 1996 Chinese commitment not to 
provide assistance to unsafeguarded nuclear facilities -- a very 
important commitment on their part.  The Chinese also indicated that 
they are studying the question of joining the Zangger NPT Suppliers 
Committee and that they will take into account U.S. concerns regarding 
sensitive nuclear related transfers.  I made clear our strong concerns 
about nuclear cooperation with Iran.  As we move forward on nuclear non-
proliferation, the United States is prepared to consider, as consistent 
with U.S. law, further steps in the area of peaceful nuclear 
cooperation, even in advance of our full implementation of the 1985 
agreement.

On missile non-proliferation -- a very important but distinct area -- 
the United States and China reiterated their commitment to the October 
1994 Joint Statement on Missile Proliferation  that I signed with Vice 
Premier Qian Qichen.  In our meeting today, the Chinese Government 
reaffirmed its commitment to the guidelines and parameters of the MTCR -
- the Missile Technology Control Regime.

On chemical weapons, the United States and China agreed to seek 
ratification of the Chemical Weapons Convention by the end of April 1997 
so that both of our nations can be original parties to the Convention.  
In addition, on the issue of advanced conventional arms, the United 
States stressed the risk that is posed for the stability of the Persian 
Gulf by the sale of such arms to Iran.  

Our discussion, generally, on non-proliferation has advanced our 
cooperation in this area of vital interest.  But we agreed we must do 
more to achieve our goals.  I am very pleased that China has agreed to 
establish regular dialogues on global security, non-proliferation, and 
arms control.  

I have taken some time to go through these issues on non-proliferation 
because, although they are technical, they are of very high importance, 
and those of you who have a special interest in this area will receive 
some briefings and further information after I have finished.

Now, fourth, and turning to trade, I indicated that the United States 
continues to support Chinese accession to the World Trade Organization 
on commercially meaningful terms.  We look forward to intensifying our 
discussions toward this goal that we share with the Chinese.  In 
addition, we discussed several areas of bilateral cooperation, including 
effective implementation of our agreements on intellectual property 
rights.

Fifth, we had useful talks about the future of Hong Kong.  China 
confirmed its intention to honor its commitment under the 1984 United 
Kingdom-P.R.C.  Joint Declaration.  I made clear our support for a 
successful transition that would preserve Hong Kong's high degree of 
autonomy, its distinct economic and legal systems, civil liberties, and 
democratic development.

We also had good discussions today -- reassuring discussions -- 
concerning the basis for our Consulate General to continue operations in 
Hong Kong after July 1, 1997.  China indicated its willingness to 
provide as much protection to our officials and citizens as currently 
exists in Hong Kong.  I must say, this is a considerable reassurance to 
me on that point.

Sixth, we agreed to bolster our cooperation in law enforcement in 
combating illegal drugs and in deterring alien smuggling.  I extended an 
invitation to the Vice Minister for Public Security to visit Washington, 
DC, in the near future.

Seventh and lastly, on the environment, we reviewed the progress we made 
in recent weeks in several areas of importance to both countries, 
including climate change, fisheries, and toxic chemicals.  I made clear 
that Vice President Gore looks forward to strengthening our forum on 
sustainable development, which he will chair jointly with Premier Li 
Peng.  Of course, the United States and China continue to have areas of 
difference, which we discussed today openly and candidly.

On human rights, I raised the full range of our concerns, including the 
treatment of those who express their views peacefully, along with 
raising also the situation in Tibet.  The United States will continue to 
speak out on  the area of human rights in China and around the rest of 
the world.  The ideals that guide our actions reflect not just American 
ideals but universal aspirations.  

As always, we discussed the situation with respect to Taiwan.  We noted 
a welcome reduction in the tensions in the Taiwan Strait in the last 
several months.  We will continue to urge both Beijing and Taipei to 
pursue the resolution of their differences on a peaceful basis and to 
resume at an early time the cross-Strait dialogue.

We also had an opportunity today, because we had more time than usual, 
to discuss several regional and global issues of great interest and 
importance to both nations and to the region.  These included, most 
prominently, the Korean Peninsula, where China has recently confirmed 
its willingness to participate in four-party talks.  Other topics that 
we discussed of that character today included South Asia, the Middle 
East, and the forthcoming APEC meetings.  

In sum, we made useful progress today.  We are committed -- both of our 
nations -- to developing our long-term cooperation and intensifying our 
exchanges.  To that end, I have invited Vice Premier Qian Qichen to 
visit Washington at a time to be determined along with my successor.  In 
order to deepen our strategic dialogue, we have also agreed to establish 
regular exchanges between officials responsible for regional affairs and 
for policy planning.  My 16 meetings over the last four years with Vice 
Premier Qian Qichen -- four a year, approximately -- have helped 
advance, I believe, the common interests of the peoples of both 
countries.  I thank him for his unfailing courtesy and for his 
professionalism.  He has shown me a good deal of courtesy, and he has 
always been able and professional in all of the 16 meetings we have had 
over a four-year period.  I also want to thank President Jiang Zemin and 
Premier Li Peng for their hospitality and their courtesy for meeting 
with me at considerable length today and for their expressions of 
appreciation for me.  Thank you.  

(###)    



ARTICLE 5:  

A Pacific Future of Prosperity and Stability:  Sustaining APEC's 
Remarkable Momentum 
Secretary Christopher 
Intervention at APEC Ministerial Meeting, Manila, Philippines, November 
22, 1996  

Secretary Siazon, excellencies, colleagues, and friends:  I would like 
to pay tribute to President Ramos, Secretary Siazon, Secretary Bautista, 
and their many colleagues for their hard work during the last year.  
Thanks to the skillful leadership of President Ramos, I am confident 
that the agreements our leaders will reach in Subic Bay will sustain the 
remarkable momentum APEC has generated over the last three years.

This is the kind of leadership we have come to expect from Asia's newest 
tiger.  During the last decade, the Philippines has demonstrated that 
democracy and free markets reinforce one another.  In the 10 years since 
the People Power Revolution, the Philippines has achieved rapid growth,  
rising living standards, and broad political participation.  I salute 
the Philippine people for the inspiring and instructive example they 
have set.

The recent success of the Philippines is one dramatic element of Asia's 
broader transformation.  With the Cold War over, these lands of age-old 
tradition and new-found dynamism are together poised to enter an 
unprecedented era of security, stability, and prosperity.  When 
President Clinton took office, he understood America's enormous stake in 
the success of this transformation.  He saw the need for the United 
States to remain a Pacific power in the next century no less than in the 
last.  And he made a strategic choice to deepen America's engagement in 
the Asia-Pacific region.

President Clinton also recognized APEC's potential to forge patterns of 
integration and cooperation in this new era.  That is why, three years 
ago, he brought our leaders together for the first time.  Years from 
now, we may look back on the Blake Island meeting as the moment when the 
leaders of this diverse region began to shape a common identity and 
purpose.  Two years ago in Bogor, the leaders declared the historic goal 
of free and open trade in the Asia-Pacific region by 2010 for developed 
economies and by 2020 for developing ones.  Last year in Osaka, the 
leaders issued the Action Agenda that is our practical blueprint for 
carrying out those commitments.

As we gather here in Manila, we have reached an important new phase in 
APEC's evolution.  Blake Island gave us our vision, Bogor our goal, and 
Osaka our blueprint.  Now we must begin to take specific, concrete steps 
that will open up our economies and help lift the lives and living 
standards of our peoples.

Our individual action plans for liberalizing trade and investment will 
take each of our economies step by step toward our 2010/2020 goal.  
Although they are only the first installments in this process, they plan 
significant openings in our markets for goods and services.  I 
congratulate member economies for taking such encouraging first steps.

The U.S. individual action plan reflects -- and will reinforce -- the 
openness of our economy.  It explains how we have already met the Bogor 
objectives in half of the 14 agreed-upon issue areas and the steps we 
are taking in the remaining areas.  Our action plan identifies where we 
already exceed the global commitments we made in the Uruguay Round.  It 
also includes proposals on information technology and open skies, which 
I will address later, and an initiative to ease business travel.  The 
United States will offer 10-year multiple-entry visas to short-term 
business visitors from any APEC economy that offers American business 
travelers reciprocal treatment.

Last year in Osaka, we established two core principles -- 
comprehensiveness and comparability -- to guide APEC's process of 
liberalization.  We must adhere to these principles if we are to meet 
our 2010/2020 commitments and benefit all our economies.

Comprehensiveness means that we will ultimately open up every sector of 
our economies, from agriculture to civil aviation.  Given our region's 
economic diversity, the pace and sequencing of our actions will vary.  
But the bottom line is clear:  If even one member economy protects a 
single sector, others will be denied economic opportunities.  Other 
members may then be emboldened to protect their most important sector.  
That is why our goal of comprehensive liberalization is so important.

Our second principle, comparability, recognizes that we are not expected 
to take identical steps toward free and open trade because of our 
different starting points.  But this principle does commit each of us to 
do our fair share -- to make similar efforts at each step of the way as 
we move forward to meet our common goals.  A key task for the next year 
is ensuring that our individual action plans will accomplish this 
objective.

Beyond our individual action plans, the Manila Action Plan describes our 
collective actions to facilitate trade and investment.  It calls on us 
to reduce the cost of doing business by eliminating administrative 
burdens and overcoming technical barriers.  Already we have made 
progress in simplifying and harmonizing customs procedures, putting us 
on target to establish a regionwide electronic customs system by 2000.  
We are also reducing the cost of compliance with the disparate standards 
and technical regulations of our 18 economies.  And we have published 
business guides on government procurement, intellectual property rights, 
and foreign investment regimes.

The Manila Action Plan also calls for a fresh approach to the other, 
complementary half of APEC's agenda -- economic and technical 
cooperation.  Our cooperation has already extended to more than 320 
activities in 13 different areas.  As we look ahead, we must focus on 
six key areas -- human resources, capital markets, infrastructure, 
technology, the environment, and small- and medium-sized enterprises.  
In each area, we must concentrate on achieving concrete outcomes by a 
fixed deadline.  And in each, we must make the private sector a full 
partner in shaping our specific goals. 

Our first goal is to develop our human resources.  Our highly skilled 
work forces have propelled our economies to the vanguard of the global 
information revolution.  But if we are to preserve our leadership, their 
skills must keep pace with technological change.  That will mean putting 
into action this year's labor ministers' agenda for preparing the 
workforce for the 21st century.  It will also mean expanding the 
Internet database that provides government and business with critical 
information on the regional labor market.

Improving human resources also means implementing the APEC Education 
Initiative, which was adopted at President Clinton's urging on Blake 
Island.  This year, two U.S.-led projects have begun moving us toward 
our goal of increased regional cooperation in higher education.

The APEC Education Foundation, which I proposed two years ago in 
Jakarta, has begun raising funds and is now preparing to make its first 
grants.  The Foundation will promote research, scholarship, and academic 
exchanges among our economies.  I am pleased to announce that former 
Prime Ministers Anand of Thailand and Miyazawa of Japan, as well as 
former Speaker of the U.S. House of Representatives Thomas Foley, have 
agreed to serve on the Foundation's Board of Governors.  Here in Manila, 
we will launch EduNet, a multimedia telecommunications network created 
by the University of Washington in Seattle.  EduNet will enable APEC 
study centers scattered around the Pacific Rim to share information, 
coordinate research, and hold classes -- all done through the Internet.

The second goal of our cooperation  is to foster efficient and stable 
capital markets.  Massive investments are needed to sustain this 
region's pace- setting economic growth.  We have begun to identify the 
most successful policies to help strengthen financial markets and 
promote private financing for large projects.  To attract more foreign 
capital, APEC economies must make transparent rules that build investor 
confidence.  We must also develop common measures to combat money 
laundering.

Our third goal is to strengthen the infrastructure of our economies.  
For all the past success of APEC economies, serious gaps in the region's 
airports, harbors, and highways threaten to hold back future economic 
growth.  If we are to meet these huge needs efficiently, we must foster 
effective public-private partnerships -- a goal that the United States 
and Indonesia highlighted at our successful meeting in July.

Our fourth goal is to harness technologies of the future.  Computers, 
software, fax machines, and modems have driven the Asia-Pacific region's 
rapid economic growth.  As the region becomes ever more integrated, our 
economies will need constantly to sharpen existing technologies and 
invent new ones.  That is why we are cooperating to improve our 
scientific education and research.  And here in the Philippines, we have 
established a center for sharing technology among small and medium-sized 
enterprises within APEC.

The fifth goal is to promote environmentally sound growth.  As President 
Clinton has often said and so many other APEC leaders also believe, 
pitting economic growth against environmental protection is a false 
choice.  They are both necessary, and they are closely linked.  At 
President Clinton's suggestion, APEC environment ministers recently 
adopted an action program that includes initiatives for clean technology 
and production, clean oceans and seas, and sustainable cities.  U.S. 
support for these goals is another example of our determination to place 
environmental issues in the mainstream of American foreign policy, and 
we look forward to making progress on them with our partners in the 
region.

The sixth and final goal of our cooperation is to ensure that our small 
and medium-sized enterprises fully participate in the economic dynamism 
of the region.  Across our economies, they are engines of growth and 
catalysts for innovation.  They are also our principal source of new 
jobs.  That is why we want to encourage the exchange of information on 
trade and investment opportunities across our economies -- and why we 
would like APEC to help draw these firms into the world of Internet 
commerce. 

Our cooperation in these six core areas will solidify the foundation for 
sustained economic growth in the Asia-Pacific region.  In APEC's 
cooperation efforts, no less than in our liberalization efforts, we must 
concentrate on achieving concrete results by a fixed deadline.  That is 
why our efforts this year to heighten the engagement of the private 
sector are so important.  It knows the needs of the marketplace, and we 
need it to work with us to shape realistic objectives.

After all, one of the critical tests of APEC's success will be whether 
its work has practical relevance to the business community.  Two years 
ago,  I proposed establishing the APEC Business Council as a permanent 
forum for business participation within APEC.  This past year, the 
Council has come into its own with a very useful inaugural report.

Today, I would like to make two recommendations that can directly 
benefit the private sector in each of  our economies.  By moving ahead 
in these areas, we can show the business community that APEC means 
business.

First, APEC should address the problem of conflicting professional 
standards among our economies.  If we truly want to work together to 
build our skyscrapers and freeways with maximum efficiency, then 
architects and engineers from Seoul must be able to work as easily in 
Singapore, Santiago, and Seattle as they do at home.  Governments cannot 
solve this problem alone.  In fields such as law, engineering, and 
architecture, the experts themselves play the key role in determining 
the standards for their licenses.  I urge the APEC Business Council to 
work with private sector professional groups to develop mutual 
recognition agreements based on existing standards.

Second, APEC economies, individually and collectively, should modernize 
their policies on civil aviation.  The telecommunications revolution has 
bridged the vast distances that separate the Pacific Rim nations.  But 
we are short-circuiting this revolution by holding on to outdated 
policies in civil aviation.  We are impeding business travel, harming 
productivity, and undermining growth.  For our part, the United States 
will pursue open skies agreements with every APEC economy.  We are 
working hard to reach an agreement with Japan, and we urge our APEC 
partners to liberalize their aviation agreements with each other.

The 1990s have been a defining decade in the evolution of the global 
trading system, and, during this time, APEC has emerged as a leading 
force for liberalization.  Three years ago, APEC stepped forward to 
ensure the successful conclusion of the Uruguay Round.  Now, at next 
month's first meeting of World Trade Organization ministers in 
Singapore, we once again have the opportunity -- and the responsibility 
-- to lead.

At the Singapore ministerial, liberalizing trade in information-
technology products should top the agenda.  APEC economies lead the 
world in these industries of the future, and we share a critical 
interest in reducing barriers to trade in the computer and 
telecommunications industries.

The United States believes that at Subic Bay, APEC leaders should call 
for the WTO's swift conclusion of the Information Technology Agreement 
by Singapore.  The ITA would eliminate all tariffs on computers, 
software, semiconductors, and telecommunications equipment -- a global 
market that generates more than a half-trillion dollars in trade every 
year.  The agreement will dramatically lower costs and raise 
productivity for every business and individual in the world that uses 
information technology.

APEC must also show leadership on the WTO's efforts to conclude the 
Basic Telecommunications Services Agreement.  I urge all APEC members to 
come forward with new and better offers to ensure a successful 
conclusion of negotiations by the February deadline.  With this 
agreement, the world's schools and businesses can build their own on-
ramps to the Information Superhighway and take full part in today's 
global community.

Beyond information technology, the Singapore ministerial can also give  
our economies a chance to promote the full implementation of commitments 
made in the Uruguay Round.  Last July, APEC trade ministers showed 
leadership by pledging that all our economies would be fully up to date 
in implementing our commitments by the time of the Singapore meeting.  
We must also push hard to conclude the Uruguay Round's "unfinished 
business" in 1997, especially in financial services.

In Singapore, we must also take up government procurement.  APEC 
economies have massive infrastructure requirements and need fair 
competition from low-cost, high-quality global suppliers.  We must honor 
the pledge made last year in Osaka to contribute to global progress on 
this issue.  The United States believes APEC should support a WTO 
agreement to increase transparency in government procurement.  At the 
same time, we should intensify our work within APEC to adopt a set of 
principles to promote fair practices in government procurement, as I 
urged last year in Osaka.

Finally, we should begin in Singapore a dialogue on the relationship 
between trade and core labor standards.  The United States recognizes 
that different countries have different economic situations, including 
different wage rates and that labor standards are set in the ILO.  We do 
not propose to interfere with those established standards.  But workers 
everywhere should know that trade expansion will take into account their 
concerns.  Such a discussion can only reinforce support for our trade 
goals.

Let me conclude by observing that the United States has a great stake in 
APEC's success in part because America has truly become an Asia-Pacific 
nation.  Almost 10 million Asian-Pacific Americans have enriched our 
culture, enlarged our economy, and enlivened our democracy.  When 
Americans of all heritages look across the ocean that links us, we see a 
future of opportunity.  That is why more and more companies find 
themselves equally at home from San Francisco to Shanghai, more and more 
American state governors and mayors look to Asia for economic 
partnerships, and more and more of our students enroll at each other's 
universities and learn each other's languages.

The United States is committed to helping APEC succeed in shaping a 
Pacific future of prosperity and stability.  We have made historic 
commitments that will bring our economies and our peoples together.  I 
am confident that we will meet them.  Thank you very much.  

(###) 
   


ARTICLE 6:  

Launching a New Phase in APEC's Evolution 
Secretary Christopher, Secretary of Commerce Mickey Kantor, Ambassador 
Charlene Barshefsky 
Opening statements at joint press conference, Manila, Philippines, 
November 23, 1996  

Secretary Christopher.  Good afternoon.  About an hour ago, we concluded 
a very successful APEC Ministerial Meeting.  I believe that here in 
Manila, we have prepared a new and important phase in APEC's evolution 
that our leaders will launch when they meet on Monday at Subic Bay.  
When President Clinton first brought the APEC leaders together at Blake 
Island, some three years ago, they embraced a far-reaching vision of 
economic cooperation in the Asia-Pacific region.   Two years ago in 
Bogor, our leaders committed to reach a common goal of free trade and 
investment by 2010 and 2020 in the 18 diverse APEC economies.  Last year 
in Osaka, we agreed  on an Action Plan, and now, here in Manila, we've 
agreed on specific steps that each of our member nations and economies 
will take to carry out the original vision looking all the way back 
three years to Blake Island.  The APEC economies have each agreed to 
take a series of steps that represent the first installment toward 
meeting our fundamental 2010 and 2020 commitments.  

Over the next several years, our Individual Action Plans will produce 
important openings in each APEC economy -- openings that will mean new 
opportunities for new investment, trade, growth, and jobs.  We've also 
agreed to sharpen the focus of APEC's significant agenda of economic and 
technical cooperation.  We'll concentrate our efforts in six core areas:  
human resources, capital markets, infrastructure, technology, the 
environment, and small and medium-sized enterprises.  In each area, we 
will work toward concrete outcomes by a fixed deadline.  And, in 
connection with this, we'll enlist the advice and technical support of 
the private sector to ensure that our work makes a direct and positive 
impact on the APEC business environment.  

In this connection, let me say that President Ramos has made a very 
significant contribution by emphasizing that APEC means business.  Since 
the very beginning of my own involvement in the APEC process, I've 
stressed that the critical test of APEC's success is whether it has a 
practical relevance to the private sector.  I believe this message is 
certainly getting through to the business communities, and we're 
beginning to see the concrete benefits of our work to knock down 
barriers and to promote trade liberalization throughout the Asia-Pacific 
region.

Over the last three years, APEC has emerged as a strong force for global 
as well as regional liberalization.  That's why the consensus the APEC 
ministers reached on the Information Technology Agreement today is such 
an important one.  Yesterday, I believe many of you were there when we 
witnessed the power of technology to bring us together when we 
participated in the launch of EduNet, an interactive medium that brought 
home the importance of information technology to regional cooperation.  
Concluding an Information Technology Agreement is a top priority that 
the United States shares with many of its trading partners, and my 
colleague, Ambassador Barshefsky, has been working very hard to achieve 
this.  

What happened today at APEC is another achievement by her, and in a 
moment I'll ask her to report to all of you where we stand, what the 
agreement at APEC means, how it will be significant as we move into 
Singapore.  

Let me conclude by observing that the value of these APEC meetings is 
even greater than the specific steps that the member economies agreed to 
take.  These meetings afford an opportunity for our foreign ministers 
and trade ministers to come together to exchange views, to forge a new 
consensus on various issues, and to move forward as we shape the Pacific 
community and draw all of our economies closer together.  President 
Clinton will build on our work in his meeting with the other APEC 
leaders here in Manila tomorrow and at Subic Bay on Monday.

Now with that opening statement, please let me turn to Ambassador 
Barshefsky and then Secretary Kantor.


Ambassador Barshefsky.  Thank you very much.  The endorsement today by 
APEC member economies of working to conclude an ITA by Singapore -- and 
may I say that this was not merely consensus, this was unanimity among 
the APEC member economies -- is an extremely important step.  This 
unanimity was our primary objective with respect to the trade portions 
of the ministerial, and I believe that the clear intention of the 
ministerial declaration will provide a very significant boost to ongoing 
negotiations in Geneva with respect to the ITA.  We -- that is, the 
United States -- have identified the ITA as a priority for this APEC 
meeting because of its significance to the APEC member economies which 
comprise about 80% of global trade in ITA products.  ITA production 
worldwide in 1995 was $1 trillion.  Exports in international trade in IT 
products was, in 1995, a half-trillion dollars, and APEC represents 
about 80% of that global trade.  This is one reason why unanimity 
ultimately was achieved.  The interest of the APEC member economies in 
free and open trade in this sector is quite clear.

Let me say also that this is a sector that is growing at an astonishing 
rate.  In 1990, global trade was about $350 billion in IT products.  In 
1995, it was a half-trillion -- by the year 2000, it should be $800 
billion.  This rapid growth exceeds the rate of growth in any other 
sector in any of our member economies.  So this is clearly an important 
area for APEC, and the unanimity reached today with respect to APEC's 
desire that these negotiations come to a successful conclusion by 
Singapore attests to the importance of this sector to each of our 
economies and to global growth in general.

Let me also say that we achieved, I think, important results with 
respect to the Individual Action Plans by APEC members as well as with 
respect to the Collective Action Plans.  With respect to the Individual 
Action Plans, of particular interest to the United States is a very 
excellent offer by Indonesia to further reduce its tariffs, on an MFN 
basis, particularly in sectors of substantial interest to the United 
States, for example, for scientific equipment, pulp and paper products, 
and automotive parts.  The tariff reductions that Indonesia has put 
forward in its Individual Action Plan are very significant -- about a 
60% reduction on the average shortly after the turn of the century.  So, 
we applaud that plan as well as many of the individual items in many of 
the other plans.  

On the collective action side, among the most dramatic is expanded 
Internet access to various customs and other tariff data bases; we were 
treated to a demonstration at a ministerial lunch.  It is anticipated 
that having these broad-based regional data bases on the Internet will 
help businesses cut transaction costs and time by a significant amount, 
enhancing the commercial relations among the members and enhancing the 
profitability of businesses dealing within the APEC region.

So we're very pleased with the outcome of this ministerial, and may I 
also say that we applaud the leadership demonstrated by the Philippines 
and by President Ramos in helping the ministers bring this session of 
APEC to such a successful conclusion.  And with that, may I introduce 
Secretary Kantor.


Secretary Kantor.  Thank you, Ambassador Barshefsky.  Of all my 
introductions, that was the shortest but the most welcome.  Thank you, 
Secretary Christopher.

I would just like to put this very quickly into some context here.  The 
President's first trip as President, of course, was to Japan -- to this 
region.  His first trip as President-elect is to this region -- and with 
good reason.  What we're talking about, of course, are the most dynamic 
economies on earth.  When you combine the U.S.-Canada-Mexico-Chile free 
trade area with our other 14 partners in Asia, what we have are the most 
dynamic economies on the earth, representing well over 2 billion people, 
$16 trillion in income a year, 50% of the world's GDP, and 50% of the 
world's trade.  

So it is of necessity that we're here in a modern world, globalized and 
interdependent, where economic security clearly has become inextricably 
entwined with national security interests -- where growth and prosperity 
are foundations for stability and security and must be mutually ensured 
and where the opportunities that we are presented with can be achieved 
only by corresponding responsibility.  And what you see is that -- 
through the leadership of Secretary Christopher and Ambassador 
Barshefsky, working under the President's direction -- we've been able 
to take the next giant step.  

If you remember when we were  in Seattle where the President called the 
APEC leaders together at Blake Island -- when we established the goals 
of Bogor, then the Action Plan at Osaka, and now we find ourselves in 
Manila with these Action Plans -- collective and individual -- and trade 
facilitation measures, with business inextricably involved, intimately 
involved in what we're doing -- I think you can see great progress has 
been made.  Sometimes, we're somewhat cynical about what's been 
achieved.  The fact is that, if you look back, there has been tremendous 
progress made by APEC, and I believe it has a very bright and prosperous 
future for all of us.  

(###)  

[END DISPATCH VOL. 7, NO. 48]
(###)

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