U.S. and Hong Kong (2000)

THE WHITE HOUSE
Office of the Press Secretary

April 7, 2000

PRESS BRIEFING BY JOE LOCKHART

The James S. Brady Press Briefing Room

12:15 P.M. EDT

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Q: Do you have a Hong Kong readout?

MR. LOCKHART: Yes, I do. Let me see what we've got here. They met for about half an hour. Joining the President on our side was Mr. Podesta, Mr. Berger, Mr. Steinberg, and the NSC Senior Director for Asia, Mr. Lieberthal. It was a good meeting, the tone was cordial. Much of the conversation focused on China's ascension into WTO and the upcoming vote on permanent normal trade relations.

Chief Executive Tung expressed very strong support for PNTR and for China acceding to the WTO. He made the point that this was very good for Hong Kong, Taiwan and the region, as well as China and the United States. The President made his case for why he is pushing this as strongly as he is. They discussed Hong Kong's record of autonomy under the one-country, two-systems formula. They had a brief discussion on the economic recovery that's ongoing in Hong Kong and the upcoming bilateral talks on liberalization of trade in the aviation sector.

Q: Anything more on Taiwan? You mentioned it in brief context.

MR. LOCKHART: My understanding is that the discussion of Taiwan was, as far as the regional importance economically of China entering the WTO.

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Q: Joe, Representative Callahan, the Chair of the House Appropriations Subcommittee, said that he might use his leverage to block $250 million in foreign aid to Israel if they go ahead with this sale to China. Given that Defense Secretary Cohen wasn't able to convince Israel, at least not yet, to sell to China, is that anything you would support?

MR. LOCKHART: Well, we have worked at all levels, and very vigorously, in making our case to Israel on transferring U.S. defense technology to China. We don't believe at this time that it would be productive to condition aid to Israel on this issue. We believe we can make the case effectively, and will continue to do so.

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Q: Joe, back on the Hong Kong leader, what were his reasons for supporting the permanent normal trade relations?

MR. LOCKHART: I think he believes that it would promote economic expansion not only in Hong Kong, but in China and Taiwan, and he thinks that would be a positive development for the region as a whole.

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END

12:37 P.M. EDT

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