Identifier
Created
Classification
Origin
06BEIJING4958
2006-03-16 11:57:00
UNCLASSIFIED
Embassy Beijing
Cable title:
MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
how-toVZCZCXRO0850 OO RUEHCN DE RUEHBJ #4958/01 0751157 ZNR UUUUU ZZH O 161157Z MAR 06 FM AMEMBASSY BEIJING TO RUEHC/SECSTATE WASHDC IMMEDIATE 0452 INFO RUEHOO/CHINA POSTS COLLECTIVE IMMEDIATE RUEHBR/AMEMBASSY BRASILIA IMMEDIATE 0359 RUEHLM/AMEMBASSY COLOMBO IMMEDIATE 0794 RUEHMD/AMEMBASSY MADRID IMMEDIATE 0681 RUEHSG/AMEMBASSY SANTIAGO IMMEDIATE 0207 RUEHTV/AMEMBASSY TEL AVIV IMMEDIATE 1909 RHHMUNA/CDR USPACOM HONOLULU HI IMMEDIATE RUEHGV/USMISSION GENEVA IMMEDIATE 0892 RUEHUNV/USMISSION UNVIE VIENNA IMMEDIATE 0830
UNCLAS SECTION 01 OF 04 BEIJING 004958
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PREL ECON PHUM PARM CH JP IR KN
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Summary
-------
UNCLAS SECTION 01 OF 04 BEIJING 004958
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PREL ECON PHUM PARM CH JP IR KN
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Summary
--------------
1. Key points made at the March 16 MFA press briefing
are as follows:
- China hopes U.S.-China economic and trade frictions
can be resolved through consultation but will no
longer adopt administrative measures to control
exchange rate fluctuation.
- China does not view the United States as an energy
competitor.
- Beijing hopes the U.S.-Australia-Japan security
dialogue will contribute to the enhancement of mutual
trust and regional peace and stability.
- China supports the newly established Human Rights
Council and hopes it will be a just and objective
forum.
- There is still potential for a diplomatic resolution
to the Iranian nuclear issue.
- The Six-Party Talks are a realistic and effective
mechanism to bring about a nuclear-free Korean
Peninsula and regional peace and stability.
- The PRC will repatriate Chinese illegal immigrants
whose nationality has been verified.
- The number of Latin American soldiers China trains
is negligible compared to the number receiving U.S.
training.
- Beijing cannot understand how Japan's most senior
diplomat can deliver remarks that are "contrary to
common sense."
- Beijing supports Macau's investigations into illicit
financial activities.
- China condemns the recent Israeli military
operations and urges an end to the violence.
- Based on humanitarian considerations, China allowed
Tibetan nun Phuntsog Nyidrol to travel to the United
States for medical treatment.
- During State Councilor Tang's Recent Visit to Sri
Lanka, he discussed an agreement on power plant
construction.
- Spanish FM Moratinos will visit China March 20-23.
End Summary.
U.S.-China Currency Discussions
--------------
2. Referring to the visit by U.S. Senators Schumer
and Graham to China next week to discuss the RMB
exchange rate issue, a foreign correspondent asked at
the regular March 16 MFA press briefing what results
Beijing expects from the visit. MFA Spokesperson Qin
Gang said he was unaware of the Senators' specific
schedule but expressed the hope that U.S.-China
economic and trade frictions can be resolved through
consultation, which will benefit bilateral ties. He
repeated remarks by Premier Wen Jiabao following the
conclusion of the NPC that the current RMB exchange
rate regime is flexible and operates according to
market forces. Administrative measures to control
exchange rate fluctuation will no longer be adopted.
The United States, which maintains a free economy,
should understand this concept very clearly.
U.S.-China Energy Cooperation
--------------
BEIJING 00004958 002 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
3. Asked to respond to the support reportedly
expressed by U.S. Senator Lugar for increased U.S.-
China energy cooperation, Qin remarked that Beijing
does not view the two countries as energy competitors.
China is prepared to work with the United States and
other countries in the energy field, including in gas,
oil and renewable energy resources. Qin stressed that
there is great potential for international energy
cooperation, adding that arrangements for specific
projects should be conducted through existing
channels. Asked about Westinghouse's bid for the
construction of nuclear power plants in China, Qin
noted that companies from various countries are
interested in these projects. China will make a
decision based on market considerations.
U.S.-Australia-Japan Security Dialogue
--------------
4. Questioned by a number of foreign correspondents
about speculation that the upcoming U.S.-Australia-
Japan security dialogue will focus largely on China,
Qin expressed the hope that the three countries, as
well as all Asia-Pacific nations, will contribute to
the enhancement of mutual trust and regional peace and
stability. While transparency helps build mutual
confidence, they key is actions that help promote
global peace. Highlighting China's release of defense
white papers, Qin stated that Beijing maintains a
completely transparent and defensive military policy
and hopes that relevant parties can view this matter
objectively. The increase in international military
exchanges corresponds to China's development strategy
and security conditions.
Human Rights Council
--------------
5. Asked about the establishment of the UN Human
Rights Council (HRC),Qin noted that China voted for
the HRC resolution. The resolution reflected a fair
distribution of regional seats and resolved the
problem of insufficient representation for Asian
countries that existed in the former Commission on
Human Rights. The resolution also highlighted that
the HRC should respect countries' different cultural,
religious and historical backgrounds, attach equal
importance to civil, political, economic, social and
cultural rights and promote dialogue on human rights.
China hopes the HRC will be a just and objective forum
and avoid politicization, double standards and a
repeat of problems that affected the Commission on
Human Rights.
Iranian Nuclear Issue
--------------
6. Asked whether the referral of Iran to the UNSC
could lead to a discussion of the DPRK nuclear issue
within the UNSC, Qin stated that China is closely
following developments with regard to Iran and still
believes there is potential for a diplomatic
resolution. The relevant parties should continue to
work for a peaceful solution.
DPRK Nuclear Issue
--------------
7. Qin maintained that the Six-Party Talks are a
realistic and effective mechanism to bring about a
nuclear-free Korean Peninsula and regional peace and
stability. The Six-Party Talks are an ongoing process
and close communication has continued both during and
between the Talks, he remarked, adding that the recent
visit by the DPRK's deputy delegation head to China
demonstrates progress. Asked about the meeting
between DPRK DG for American Affairs Li Gun and VFM Wu
Dawei, Qin said that the Six-Party Talks and the
situation on the Korean Peninsula featured largely in
their discussion.
BEIJING 00004958 003 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Response to DHS Statement on Illegal PRC Immigration
-------------- --------------
8. The Spanish News Agency correspondent asked about
reported remarks by Department of Homeland Security
Secretary Chertoff regarding the large number of
SIPDIS
illegal Chinese immigrants in the United States. Qin
stressed that the Chinese Government opposes all forms
of illegal immigration and has adopted measures to
combat the problem. China adheres to a policy of
"repatriation after verification" and will accept
deported PRC citizens whose nationality has been
verified. While supporting international cooperation
in this area, Beijing opposes the politicization of
illegal immigration under the pretext of political
asylum. Such an approach will not lead to a
resolution of the problem nor contribute to regular
people-to-people exchanges between countries.
China-Latin America Military Cooperation
--------------
9. Asked about U.S. General Craddock's recent
testimony to the Senate Armed Services Committee
regarding the increase in China's training of Latin
American troops, Qin responded that China's
development of normal state-to-state relations with
Latin American countries does not target any third
party or constitute a threat to any country. The PRC
military maintains regular exchanges with its Latin
American counterparts through visits by military
leaders and training cooperation. Qin remarked that
the number of Latin American soldiers China trains is
negligible compared to the number receiving U.S.
training.
Japanese FM's Remarks "Contrary to Common Sense"
-------------- ---
10. Asked about Japanese FM Aso's recent reported
criticism of China-DPRK trade and whether Japan made
formal representations on the matter, Qin asserted
that the Japanese Government has not made
representations to the MFA on China's trade with North
Korea nor would China accept such a demarche. Beijing
cannot understand how Japan's most senior diplomat can
deliver remarks that are "contrary to common sense."
Questioned about FM Aso's comments on China's East
China Sea proposal, Qin stressed that China's
exploration activities are being conducted in an area
not disputed by Japan. Bilateral disputes should be
resolved through negotiation, and China opposes
unilateral steps by Tokyo that could violate Chinese
sovereignty. Qin voiced the hope that the matter will
be handled properly and that a rise in tensions will
be avoided.
Banco Delta Asia
--------------
11. Asked about the investigations into the
operations of Banco Delta Asia in Macau, Qin
highlighted both the Central and Macau Government's
opposition to illicit financial activities. Beijing
supports Macau's investigations into violations of the
law but believes they should be conducted in
accordance with the law.
Israeli Military Actions in the West Bank
--------------
12. Questioned by the Al-Jazeera correspondent about
recent Israeli military actions in the West Bank, Qin
stated that a recent Israeli military operation in
Palestinian-controlled territory led to Palestinian
deaths and property loss along with an escalation of
tensions. China condemns such actions and urges the
parties to end the violence and exercise restraint.
Asked about China's policy on aid to the Palestinians,
BEIJING 00004958 004 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Qin responded that in the past Beijing provided
assistance to the Palestinians within China's capacity
and in accordance with the Palestinians' requests.
Beijing will continue to provide assistance with no
strings attached.
Release of Tibetan Nun
--------------
13. Responding to the AFP reporter's question
regarding the release of Tibetan nun Phuntsog Nyidrol,
Qin stated that she was diagnosed with certain
ailments. Therefore, based on humanitarian
considerations, China allowed Phuntsog Nyidrol to
travel to the United States for medical treatment on
March 15.
Assistance to Developing Countries
--------------
14. Asked which developing countries will reeive PRC
assistance, Qin recalled that in Preident Hu Jintao's
speech at the September 2005 Millennium Summit meeting
he pledged assistance to developing nations. Premier
Wen recently offered USD 20 billion toward this cause.
Councilor Tang's Visit to Sri Lanka
--------------
15. Qin reported that during State Councilor Tang
Jiaxuan's recent trip to Sri Lanka, he met with
President Rajapaksa and proposed to finalize an
agreement on large-scale projects, including power
plant construction. China will also help repair a
damaged fishing port and provide assistance for a Sri
Lankan sporting event. Beijing and Colombo agreed
that the next UN Secretary General should come from an
Asian nation, and that they would strengthen
coordination on the selection process.
Spanish FM to Visit
--------------
16. Qin announced that Spanish FM Moratinos will
visit China March 20-23 and meet with FM Li Zhaoxing
and other Chinese leaders. FM Moratinos will attend
the opening ceremony of the third China-Spain Forum.
Commenting on the growth of bilateral exchanges since
the signing of the strategic partnership in November
2005, Qin reported that bilateral trade with Spain
rose 45 percent to USD 10.52 billion last year.
RANDT
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PREL ECON PHUM PARM CH JP IR KN
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Summary
--------------
1. Key points made at the March 16 MFA press briefing
are as follows:
- China hopes U.S.-China economic and trade frictions
can be resolved through consultation but will no
longer adopt administrative measures to control
exchange rate fluctuation.
- China does not view the United States as an energy
competitor.
- Beijing hopes the U.S.-Australia-Japan security
dialogue will contribute to the enhancement of mutual
trust and regional peace and stability.
- China supports the newly established Human Rights
Council and hopes it will be a just and objective
forum.
- There is still potential for a diplomatic resolution
to the Iranian nuclear issue.
- The Six-Party Talks are a realistic and effective
mechanism to bring about a nuclear-free Korean
Peninsula and regional peace and stability.
- The PRC will repatriate Chinese illegal immigrants
whose nationality has been verified.
- The number of Latin American soldiers China trains
is negligible compared to the number receiving U.S.
training.
- Beijing cannot understand how Japan's most senior
diplomat can deliver remarks that are "contrary to
common sense."
- Beijing supports Macau's investigations into illicit
financial activities.
- China condemns the recent Israeli military
operations and urges an end to the violence.
- Based on humanitarian considerations, China allowed
Tibetan nun Phuntsog Nyidrol to travel to the United
States for medical treatment.
- During State Councilor Tang's Recent Visit to Sri
Lanka, he discussed an agreement on power plant
construction.
- Spanish FM Moratinos will visit China March 20-23.
End Summary.
U.S.-China Currency Discussions
--------------
2. Referring to the visit by U.S. Senators Schumer
and Graham to China next week to discuss the RMB
exchange rate issue, a foreign correspondent asked at
the regular March 16 MFA press briefing what results
Beijing expects from the visit. MFA Spokesperson Qin
Gang said he was unaware of the Senators' specific
schedule but expressed the hope that U.S.-China
economic and trade frictions can be resolved through
consultation, which will benefit bilateral ties. He
repeated remarks by Premier Wen Jiabao following the
conclusion of the NPC that the current RMB exchange
rate regime is flexible and operates according to
market forces. Administrative measures to control
exchange rate fluctuation will no longer be adopted.
The United States, which maintains a free economy,
should understand this concept very clearly.
U.S.-China Energy Cooperation
--------------
BEIJING 00004958 002 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
3. Asked to respond to the support reportedly
expressed by U.S. Senator Lugar for increased U.S.-
China energy cooperation, Qin remarked that Beijing
does not view the two countries as energy competitors.
China is prepared to work with the United States and
other countries in the energy field, including in gas,
oil and renewable energy resources. Qin stressed that
there is great potential for international energy
cooperation, adding that arrangements for specific
projects should be conducted through existing
channels. Asked about Westinghouse's bid for the
construction of nuclear power plants in China, Qin
noted that companies from various countries are
interested in these projects. China will make a
decision based on market considerations.
U.S.-Australia-Japan Security Dialogue
--------------
4. Questioned by a number of foreign correspondents
about speculation that the upcoming U.S.-Australia-
Japan security dialogue will focus largely on China,
Qin expressed the hope that the three countries, as
well as all Asia-Pacific nations, will contribute to
the enhancement of mutual trust and regional peace and
stability. While transparency helps build mutual
confidence, they key is actions that help promote
global peace. Highlighting China's release of defense
white papers, Qin stated that Beijing maintains a
completely transparent and defensive military policy
and hopes that relevant parties can view this matter
objectively. The increase in international military
exchanges corresponds to China's development strategy
and security conditions.
Human Rights Council
--------------
5. Asked about the establishment of the UN Human
Rights Council (HRC),Qin noted that China voted for
the HRC resolution. The resolution reflected a fair
distribution of regional seats and resolved the
problem of insufficient representation for Asian
countries that existed in the former Commission on
Human Rights. The resolution also highlighted that
the HRC should respect countries' different cultural,
religious and historical backgrounds, attach equal
importance to civil, political, economic, social and
cultural rights and promote dialogue on human rights.
China hopes the HRC will be a just and objective forum
and avoid politicization, double standards and a
repeat of problems that affected the Commission on
Human Rights.
Iranian Nuclear Issue
--------------
6. Asked whether the referral of Iran to the UNSC
could lead to a discussion of the DPRK nuclear issue
within the UNSC, Qin stated that China is closely
following developments with regard to Iran and still
believes there is potential for a diplomatic
resolution. The relevant parties should continue to
work for a peaceful solution.
DPRK Nuclear Issue
--------------
7. Qin maintained that the Six-Party Talks are a
realistic and effective mechanism to bring about a
nuclear-free Korean Peninsula and regional peace and
stability. The Six-Party Talks are an ongoing process
and close communication has continued both during and
between the Talks, he remarked, adding that the recent
visit by the DPRK's deputy delegation head to China
demonstrates progress. Asked about the meeting
between DPRK DG for American Affairs Li Gun and VFM Wu
Dawei, Qin said that the Six-Party Talks and the
situation on the Korean Peninsula featured largely in
their discussion.
BEIJING 00004958 003 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Response to DHS Statement on Illegal PRC Immigration
-------------- --------------
8. The Spanish News Agency correspondent asked about
reported remarks by Department of Homeland Security
Secretary Chertoff regarding the large number of
SIPDIS
illegal Chinese immigrants in the United States. Qin
stressed that the Chinese Government opposes all forms
of illegal immigration and has adopted measures to
combat the problem. China adheres to a policy of
"repatriation after verification" and will accept
deported PRC citizens whose nationality has been
verified. While supporting international cooperation
in this area, Beijing opposes the politicization of
illegal immigration under the pretext of political
asylum. Such an approach will not lead to a
resolution of the problem nor contribute to regular
people-to-people exchanges between countries.
China-Latin America Military Cooperation
--------------
9. Asked about U.S. General Craddock's recent
testimony to the Senate Armed Services Committee
regarding the increase in China's training of Latin
American troops, Qin responded that China's
development of normal state-to-state relations with
Latin American countries does not target any third
party or constitute a threat to any country. The PRC
military maintains regular exchanges with its Latin
American counterparts through visits by military
leaders and training cooperation. Qin remarked that
the number of Latin American soldiers China trains is
negligible compared to the number receiving U.S.
training.
Japanese FM's Remarks "Contrary to Common Sense"
-------------- ---
10. Asked about Japanese FM Aso's recent reported
criticism of China-DPRK trade and whether Japan made
formal representations on the matter, Qin asserted
that the Japanese Government has not made
representations to the MFA on China's trade with North
Korea nor would China accept such a demarche. Beijing
cannot understand how Japan's most senior diplomat can
deliver remarks that are "contrary to common sense."
Questioned about FM Aso's comments on China's East
China Sea proposal, Qin stressed that China's
exploration activities are being conducted in an area
not disputed by Japan. Bilateral disputes should be
resolved through negotiation, and China opposes
unilateral steps by Tokyo that could violate Chinese
sovereignty. Qin voiced the hope that the matter will
be handled properly and that a rise in tensions will
be avoided.
Banco Delta Asia
--------------
11. Asked about the investigations into the
operations of Banco Delta Asia in Macau, Qin
highlighted both the Central and Macau Government's
opposition to illicit financial activities. Beijing
supports Macau's investigations into violations of the
law but believes they should be conducted in
accordance with the law.
Israeli Military Actions in the West Bank
--------------
12. Questioned by the Al-Jazeera correspondent about
recent Israeli military actions in the West Bank, Qin
stated that a recent Israeli military operation in
Palestinian-controlled territory led to Palestinian
deaths and property loss along with an escalation of
tensions. China condemns such actions and urges the
parties to end the violence and exercise restraint.
Asked about China's policy on aid to the Palestinians,
BEIJING 00004958 004 OF 004
SUBJECT: MARCH 16 MFA PRESS BRIEFING: U.S.-CHINA TRADE
FRICTIONS AND ENERGY COOPERATION, TRILATERAL SECURITY
DIALOGUE, HUMAN RIGHTS COUNCIL, IRANIAN AND NORTH KOREAN
NUCLEAR ISSUES, REPATRIATION OF ILLEGAL IMMIGRANTS,
PHUNTSOG NYIDROL
Qin responded that in the past Beijing provided
assistance to the Palestinians within China's capacity
and in accordance with the Palestinians' requests.
Beijing will continue to provide assistance with no
strings attached.
Release of Tibetan Nun
--------------
13. Responding to the AFP reporter's question
regarding the release of Tibetan nun Phuntsog Nyidrol,
Qin stated that she was diagnosed with certain
ailments. Therefore, based on humanitarian
considerations, China allowed Phuntsog Nyidrol to
travel to the United States for medical treatment on
March 15.
Assistance to Developing Countries
--------------
14. Asked which developing countries will reeive PRC
assistance, Qin recalled that in Preident Hu Jintao's
speech at the September 2005 Millennium Summit meeting
he pledged assistance to developing nations. Premier
Wen recently offered USD 20 billion toward this cause.
Councilor Tang's Visit to Sri Lanka
--------------
15. Qin reported that during State Councilor Tang
Jiaxuan's recent trip to Sri Lanka, he met with
President Rajapaksa and proposed to finalize an
agreement on large-scale projects, including power
plant construction. China will also help repair a
damaged fishing port and provide assistance for a Sri
Lankan sporting event. Beijing and Colombo agreed
that the next UN Secretary General should come from an
Asian nation, and that they would strengthen
coordination on the selection process.
Spanish FM to Visit
--------------
16. Qin announced that Spanish FM Moratinos will
visit China March 20-23 and meet with FM Li Zhaoxing
and other Chinese leaders. FM Moratinos will attend
the opening ceremony of the third China-Spain Forum.
Commenting on the growth of bilateral exchanges since
the signing of the strategic partnership in November
2005, Qin reported that bilateral trade with Spain
rose 45 percent to USD 10.52 billion last year.
RANDT