Negotiating with Zhu over the remaining issues may be the easy part. Although Clinton can signal U.S. approval for China’s entry into the WTO himself, he needs Congress to grant Beijing permanent most-favored-nation status as part of a broad trade accord. And the temptation for meddling on Capital Hill may prove over-whelming. Zhu had barely landed before Senate Majority Leader Trent Lott (R-Miss) declared himself skeptical that China deserved entry into the WTO. And Senators Jesse A. Helms (R-N.C.) and Emest F. Hollings (D-S. C.) promised to introduce a bill requiring congressional approval of any deal.
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The hidden message from these three textile-state Southerners: Get more protection for the U. S. clothing industry. Hoping to smooth the way, the Administration tried, but failed, to budge Zhu on textiles. Also left in the lurch: Wall Street, Hollywood, and Detroit. Zhu refused to open up much of the lucrative Chinese securities market and insisted on “cultural” restrictions on American movies and music. He also blocked efforts to allow U. S. auto makers to provide fleet financing.2 v7 w( [& r$ Y3 H5 Z
& M- X3 F( ]+ R! ] BIG JOB. Already, business lobbyists are blanketing Capitol Hill to presale any eventual agreement, but what they’ve heard so far isn’t encouraging. Republicans, including Lott, say that “the time just isn’t right” for the deal. Translation: We’re determined to make it look as if Clinton has capitulated to the Chinese and is ignoring human, religious, and labor rights violations; the theft of nuclear-weapons technology; and the sale of missile parts to America’s enemies. Beijing’s fierce critics within the Democratic Party, such as Senator Paul D. Wellstone of Minnesota and House Minority leader Richard A. Gephardt of Missouri, won’t help, either.
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Just how tough the lobbying job on Capitol Hill will be become clear on Apr. 20, when Rubin lectured 19chief executives on the need to discipline their Republican allies. With business and the White House still trading charges over who is responsible for the defeat of fast-track trade negotiating legislation in 1997, working together won’t be easy. And Republicans—with a wink—say that they’ll eventually embrace China’s entry into the WTO as a favor to Corporate America. Though not long before they torture Clinton. But Zhu is out on a limb, and if Congress overdoes the criticism, he may be forced by domestic critics to renege. Business must make this much dear to both its GOP allies and the Whit House: This historic deal is too important to risk losing to any more partisan squabbling |