Jiang Speaks Out

On the eve of Bill Clinton's trip, the Chinese president describes his goals for the summit.

In the heavily guarded ancient compound where he will receive President Bill Clinton this week, China's president, Jiang Zemin, 71, last Wednesday sat down for an exclusive interview with NEWSWEEK's Lally Weymouth. Ebullient, breaking occasionally into English, the president sat surrounded by rows of senior Chinese officials. He began the conversation by saying he had a background in engineering, but a keen interest in literature and the arts. But mostly he emphasized his goal of strengthening relations with the United States.

Chinese President and Communist Party General Secretary Jiang Zemin addresses the Central Committee at the end of a session in 1995. (Li Shengnan/AP)

WEYMOUTH: Do you believe that U.S.-China relations are back on a normal track?

JIANG: During my visit to the United States last year, President Clinton and I decided that China and the United States should work together toward a constructive strategic partnership. Since then, China-U.S. relations have constantly improved. The two countries have consulted and cooperated with each other on a series of major international issues such as promoting peace and stability on the Korean Peninsula, mitigating the Asian financial crisis and easing tensions in South Asia.

W: What will you accomplish at the summit?

J: The overall objective is to promote the further growth of Sino-U.S. relations and to promote mutual understanding between our two peoples.

W: China has played a helpful role in helping to stabilize the Asian financial crisis. How do you see China and the U.S. working together to contain this crisis?

J: Indeed, China has contributed positively to easing the Asian financial crisis. China has taken risks and paid a price. This is manifested in China's adherence to the policy of not devaluing the renminbi [China's currency] and its provision of assistance totaling more than $4 billion to Indonesia, the Republic of Korea and Thailand.

The economies of the world are increasingly interrelated. So there ought to be a common standard. It is inadvisable to commend the efforts of one country for maintaining the value of its currency [while] giving tacit approval to another country that devalues its currency. I have seen some developments in this regard and find it hard to understand. It is necessary for the leaders of major countries to take a long-term view. They should not narrow their vision to one event at a time. China and the U.S. have a common interest in helping stabilize the Asian economy.

W: The yen's decline in value is putting pressure on your currency. Will China be forced to devalue?

J: The weakening of the yen and other currencies will have an impact on China's exports and other economic activities. That is why, at the very beginning, I made the point that when China made the effort to hold the value of its currency, we did so at a certain risk [and paid] a certain price.

W: Can China's economy continue to grow while many countries in Asia are having severe economic problems?

J: I would not say that we have no difficulty ahead. But we will try our best to sustain economic growth. One factor merits close attention. China has a population of 1.2 billion. On the one hand, in terms of the provision of food and clothing, this presents a challenge. But, on the other hand, it is an advantage in terms of the potential size of the domestic market.

W: How much unemployment can China tolerate?

J: We have always been clear that while we build our socialist market economy, it is impossible to dodge the problem of unemployment. But our definition of unemployment in the Chinese context is not exactly the same as the definition in other countries. Some of the jobless are unemployed in the real sense. Others belong to a different category. Some will be laid off and made redundant because we want to improve the efficiency of the enterprises and downsize the government. They can apply for various kinds of training programs and will continue to [receive] their salaries. After some time, they will be re-employed. How much unemployment can we tolerate? The figure for laid-off workers in China is 12 million.

W: How do the nuclear tests conducted by India and Pakistan affect regional stability?

J: The recent tests have triggered a nuclear-arms race in South Asia, resulting in sudden tension in the region. This will inevitably endanger the peace and stability of Asia and the world at large and have a big impact on the international nonproliferation regime. I wish to point out that nuclear testing is against international trends, no matter if the test is [conducted] by India or Pakistan. However, we must not fail to note that it was India who started the South Asian crisis. As a close neighbor to South Asia, China wishes to see continued peace and stability in the region. China will always play a constructive role on the South Asian question. To ease the tension in South Asia, it is most imperative that India and Pakistan keep coolheaded, exercise restraint, resume dialogue immediately and refrain from any remarks or actions that might further intensify tensions. Both India and Pakistan should give up their nuclear-weapons programs and unconditionally sign the Non-Proliferation Treaty and the Comprehensive Test Ban Treaty.

W: China has a close relationship with Pakistan. Did China ask Pakistan not to test?

J: In the wake of the nuclear explosion by India, President Clinton and I had a telephone conversation and I promised that I would work on Pakistan. I drafted a letter to Prime Minister [Nawaz] Sharif of Pakistan urging Pakistan to exercise restraint.

In November 1996 I paid a successful visit to India. I was accorded a very friendly reception by the government and people of India. That visit has left me with very good memories. I was surprised that they conducted nuclear tests. I was even more surprised that they cited China as a reason for their nuclear testing. I really don't know what kind of threat China poses.

W: Are you afraid that in the wake of the Indian and Pakistani tests, other Asian countries may go nuclear?

J: I think we should work together to prevent such developments from happening.

W: What does China hope to achieve in your discussions with Clinton concerning Taiwan?

J: We have always maintained that the question of Taiwan should be resolved on the principles of peaceful reunification and "one country, two systems." The two sides of the Taiwan Strait should come together and sit and discuss this question on the basis of the "one China" principle. In recent years, the ever-increasing contacts between people across the Taiwan Strait has significantly contributed to enhanced mutual understanding. Recently, we convened a conference on Taiwan in which we proposed to develop an all-around relationship and increase cross-strait exchanges. As a first step, the two sides may negotiate and agree on formally ending the state of hostility... Now, whether the political negotiations will go ahead or not depends on whether the Taiwan side is sincere.

W: The U.S. will make China's missile sales to Iran and Pakistan a priority at the summit. Clinton will ask China to stop selling missiles to Pakistan and Iran.

J: The answer, very simply, is that we don't plan to sell missiles.

W: What impressed you during your U.S. visit?

J: What impressed me most was that wherever I went, I was received in a very friendly manner by the American people. And I was given a very warm reception by the U.S. government and the various non-governmental organizations. And I was able to have very sincere and candid conversations with people from various walks of life including government officials... And these exchanges of views have proven very helpful in promoting mutual understanding between the two sides.

W: Does China expect to sign the United Nations covenant on civil and political rights that it announced it would sign?

J: We already signed the United Nations covenant on economic, social and cultural rights. And it is now waiting to be ratified by our National People's Congress. We intend to sign the convention on political and civil rights this fall.

W: Are you hoping to make progress on China's entry into the World Trade Organization at the summit?

J: The WTO is a multilateral trading organization. China is such a big market. If China is left out, then the WTO is incomplete. China must be recognized as a developing country. China will only accede to the WTO as a developing member. When China is admitted into the WTO there should be a balance between our rights and obligations. China is making efforts in market access, and no matter what the outcome [of] the negotiations, our reform and opening up will go on. I'd like to conclude by quoting a famous poet from the Sung dynasty, Xing Qi: "Despite the efforts of the mountains, the river will keep flowing eastward."