Commerce Secretary Wants Results from Chinese Trad
Washington, DC, July 12--US commerce and trade officials say they want to see "results," not just promises, from China on trade issues such as protecting intellectual property rights and granting greater market access.
Speaking after the annual meeting of the Joint Commission on Commerce and Trade (JCCT), created to resolve trade disputes, U.S. Commerce Secretary Carlos Gutierrez listed promises made by China, including to crackdown more seriously on rampant IPR violations.
China agreed to step up prosecutions of violators and to restrict the use of pirated software not only in government offices, but private companies.
But Gutierrez emphasized that "results matter."
"Agreements count for little unless they are implemented," he said at a breakfast meeting with US business leaders in Beijing.
"We will be working closely with China to make certain that these reforms deliver concrete results -- results that can be tracked and measured."
IPR violations are estimated to cost US businesses billions of dollars annually.
Gutierrez called on China to give the United States fairer access to its enormous market.
"Right now, the Chinese have full access to the U.S. market. I wish we could say American businesses enjoyed the same access in China but the reality is that we do not and we will not be satisfied until that imbalance is rectified."
The talks took place against a backdrop of mounting concern in Washington over Chinese policies including an inflexible currency regime that U.S. companies say gives Chinese exports an unfair advantage.
U.S. Trade Representative Rob Portman, who also attended the meeting, stressed that more action by the Chinese government was needed to further open the Chinese market and address U.S. concerns.
"There remain very serious concerns regarding American access to the Chinese market," said Portman in a statement.
"China is a major beneficiary of the global trading system. Along with that comes responsibilities, including opening their market to our products and services just as we have opened ours."
He noted some progress, such as an agreement from China to delay issuing draft regulations that would have restricted Chinese government offices from buying software and other goods and services from U.S. companies.
The regulations threatened to close off a market worth over eight billion US dollars to U.S. firms.
Gutierrez noted China has come a long way since it opened to the world 26 years ago, adding that the scope of economic progress has been "amazing" as it transforms from a planned to a market economy.
"In America, we've been developing our market economy for more than 200 years. China has taken long strides from a government-controlled economy toward greater competition and more open commercial activity," said Gutierrez.
"So as we think about this relationship, we should be mindful that China has come a long way in a relatively short period of time."
He called for a stronger partnership with China.
"China and the U.S. have been the two main engines driving the global economy. Without strong growth in China and America, economic activity around the world would be suffering," he said.
Other agreements reached include ensuring U.S. products can be freely distributed in China, reducing pirated goods from being exported from China, and completing the approval process for a biotech variety of U.S. corn.
China will also publish a list of all government subsidies for the first time, which Gutierrez said will give the United States a clearer picture of what is happening in the Chinese economy.
