Wed, May 10, 2000 - Page 9 News List

Trading with China: profits or human rights?

Increasing trade with China doesn't require a trade-off between business profits and human rights, given that Taiwan and South Korea are prime examples of economic prosperity bringing about increased pressure for democracy

By Doug Bandow

The silliest argument against PNTR is that Chinese imports would overwhelm US industry. In fact, American workers are far more productive than their Chinese counterparts. Moreover, Beijing's manufacturing exports to the US remain small -- about half the level of those from Mexico. PNTR would create far more export opportunities for American than Chinese concerns. Estimates of the likely increase in US exports range up to US$13 billion annually.

There is another issue: The right to trade is a basic human right. Fundamental to one's humanity is the freedom to peacefully exchange the product of one's labor with others. If Americans want to buy, say, toys, clothes, or Christmas ornaments from Chinese rather than US firms, they have a moral right to do so. That trade should be free does not mean anything goes. Congress can rightly restrict trade with security implications: Americans need not improve the accuracy of Chinese ICBM's, for instance. And goods produced by forced labor in prison camps do not represent free trade.

Moreover, US officials should challenge Beijing to respect the rights of its citizens. US taxpayers should not be forced to subsidize the Chinese government through the Export-Import Bank, Overseas Private Investment Corporation and foreign aid agencies. Most Americans -- along with citizens of countries throughout East Asia -- want a freer, more democratic China. Granting PNTR to Beijing would make that more likely.

Doug Bandow is a senior fellow at the Cato Institute in Washington and a former special assistant to President Ronald Reagan.

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