[This was Henry's comment on the points raised in the discussion]
This is the official position copies from the Chiese Embassy web site.
Wrong to Criticize China for Trade Surplus
October 29, 1998
It is wrong for the United States to criticize China for not taking
measures to
reduce its trade surplus with the U.S., Chinese foreign ministry spokesman
Tang
Guoqiang said in Beijing on October 29 at his regular press conference. Tang
noted that the most effective means for increasing exports during the global
economic crisis is to devaluate currency. However, China has decided not to
increase exports through currency devaluation, which actually has a positive
influence on the U.S. economy. The two countries use different methods for
calculating transit trade, thus resulting in differing sums for the trade
deficit between them, he said. It will require measures from both sides to
reduce the trade deficit, he stressed, adding that
the U.S. should ease its restriction on high-tech exports to China. The fact
that U.S. investors have earned rich returns in China demonstrates that the
trade deficit is not the only indicator to look at bilateral trade, he said.
China is opening its market step by step in order to create conditions for
entering the World Trade Organization (WTO), because China needs to develop
its
economy in an open environment, he said, stressing that the country is willing
to reach a package of market-access agreements with the United States and
other
WTO members.
Louis Proyect
(The Marxism mailing list: http://www.marxmail.org)
