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Working Together in China-U.S. Relations

Successful Chinese Trade/Economic Delegations to U.S.

Organized by Mr. Robert Goodman at the Sino American Trade Development Association (SATDA), numerous delegations from a number of Chinese trade and economic-development zones recently paid well-received visits to Las Vegas, Reno, Phoenix, San Francisco, Sacramento, Sunnyvale and Los Angeles. In each of these, they met Mayors and/or other city officials, as well as importers, exporters and numerous entrepreneurs involved in various trading operations.

The visits were complemented by Mr. Goodman and SATDA's arrangement of lectures to the Chinese visitors by senior American economic experts, whose topics included the prospects of cooperation between the U.S. market and China, and outlines of the favorable U.S. policies in the areas of environment, energy, and information-exchange.

In return, the American hosts were briefed on recent developments in China, including the booming economic situation and favorable areas for investment and trade.

During the Phoenix visit, the Tianjin delegates were warmly welcomed by major manufacturers in a free-trade zone similar to those that operate in China. They also visited the famous Thunderbird University, which is involved in regular exchanges of economics' scholars with Chinese seats of learning.

Both hosts and visitors agreed they had made great progress in several economic areas, including water conservation (recycling of gray water), the exploitation of energy sources, and in real-estate, investment, and information technology (IT). These agreements between China and the U.S. are currently worth about $100 million.

Consensus among the Chinese delegates was that the visits to the American states and cities had given them a deeper understanding of the economic situation in these parts of the country, especially their market economies. In addition, they gained valuable experience in advanced-management techniques, the general investment environment, and trading policies that would be favorable to China.

Mr. Goodman regarded the visits as highly successful, not least because they also enhanced further mutual understanding and thus promoted even greater cooperation and communication between China and the U.S. in economic and trade exchanges.

"These visits were of great historic significance," says Beijing-based SATDA chairman Robert Goodman, recently the subject of an exclusive interview on China Central Television's international "Dialogue" program which is transmitted world-wide.

In his role as the prime mover behind the delegation to the U.S., Mr. Goodman said: "We hope the visits mark the acceleration of even more mutual economic and trade development between the two countries, and that such delegations will continue to be a regular feature of SATDA's operations.

"Meanwhile, we thank our American friends for their warm welcome and the efforts they made on behalf of the delegates we took there. Our hosts were very open in showing the visitors whatever they wanted. For them, it was invaluable experience that will prove very productive in the future."


Robert Goodman Meets U.S. Embassy Commerce Chief

SATDA Chairman Mr. Goodman recently had an official discussion with Mr. Bao, an officer with the Commerce Department of the American Embassy in Beijing. The meeting took place at the Embassy's Commerce Office at the Kerry Centre.

Matters discussed covered a wide spectrum of mutual interests, including the importance of the ongoing contact between the two participants' organizations. Also on the agenda was Mr. Goodman's and SATDA's reiteration of their core policy of promoting the products of small- and medium-sized American enterprises (SME's) into the China market, just as Chinese SME's have long marketed their products in the United States.

In this context, Chinese light-industry products already selling in large quantities to America include textiles and myriad other items. China's agricultural produce also enjoys a large share of the U.S. market. Despite this virtual "one way" traffic in trade, smaller American firms have yet to gain a foothold in the China market.

Mr. Goodman stressed that SATDA is doing all it can to encourage small- and medium-sized American companies and entrepreneurs to export their goods to China. They told Mr. Bao that such encouragement is in part an educational matter, in that comparatively few of the smaller American entities have little knowledge of China and the huge marketing potential for their products that it offers.

During the 40-minute meeting, Mr. Goodman also specified for Mr. Bao the "perception, function and implementation" of SATDA's projects in relation to American SME's. This briefing included the organization of technology-exchange for SME's in Qingdao. He also talked about the role and value of APEC, one of the world's largest economic and business forums, which meets in June each year, and which currently brings together almost countless SME's from 21 member countries. Mr. Goodman said SATDA was determined to see APEC include more Chinese SME's as well as American counterparts come under its umbrella.

After the Beijing meeting, Mr. Goodman noted that, as secretary of the American Commerce Department in China, Mr. Bao was naturally interested in the activities of SATDA and that he had kindly undertaken to help the association contact American SME's, support the association in its efforts to attract more members and also encourage more and more locally-based American business people to both be aware of SATDA and to buy American SME products for the China market via the association's Tradelinks Program.

Mr. Bao also offered his cooperation with SATDA in the organization of merchandise/trade shows, business promotional activities, and assistance with seminars and lectures. Meanwhile, SATDA plans to organize a Beijing seminar prior to this year's June APEC meeting. The seminar will be titled "Displaying American Merchandising".


Operative for some years, the Tradelinks Program offered by the Sino American Trade Development Association (SATDA) was designed by Mr. Robert Goodman to assist American businesses to pursue trade and business opportunities in Asian markets, China in particular because of the vast number of opportunities it offers.

The program is among a number of services and initiatives offered by SATDA, Mr. Goodman's brainchild, and the International Trade Enhancement Scheme (ITES) run by the association's collaborator, Fortune China Development Ltd.

Included in the program are:

Market Research

This service identifies and analyzes overseas markets. It also locates potential customers for your company's goods and services, and advises on export- and market-development strategies. Further research and other assistance is available if you plan to visit an overseas market. It also offers advice on Chinese Government regulations, business practices and licensing.

Market Support

This embraces direct support to American companies trading in overseas markets, and advisory services by professionals experienced in the China market. Liaison services in Hong Kong and China are also available.

Business Marketing

The Tradelinks Program can provide individually tailored business-matching services which include:

" Business profile of your company

" Commercial advice on marketing your product(s) in China, plus potential pricing and marketing strategies

" Arranging meetings with customers, joint-venture partners, government agencies etc

" Networking: letting people know about your company and the products/services you offer " Introduction to reliable market representatives, sales agents and joint-venture partners for your products/services

" Introduction to Chinese companies which can provide manufacturing facilities for products and/or components

" Design, copy-writing and production of cost-effective advertising material, catalogues, brochures and mini videos in the Chinese language, enabling you to promote your products/services in China and Hong Kong

SATDA members can be assured that our association enjoys broad support in the United States Congress and Senate, as well as from the incumbent President of the United States and the Secretary of Commerce in Washington. We also have the approval of numerous State Governors and the Economic Development Departments of State Governments.

Our association also takes every opportunity to encourage government leaders in China and the U.S. to take the lead in supporting (and where possible reinforcing) our Tradelinks Program. Members of our association need no reminding that, in the international arena, all things must start with governments, simply because their top officials have the power to encourage and participate in any private-sector programs that generate profit.

In this context, we urge the Chinese and U.S. governments in particular to think of the small business person as well as the multinationals which by definition represent the prospect of "big bucks" for every country in which they operate. Let us not forget that the little man has his place, and the equal right to make a fair profit and, hopefully, create employment.

Working Together to Write a New Chapter in China-U.S. Relations

Chinese Premier Wen Jiabao paid an official visit to the United States last December 7-10 at the invitation of U.S. President George W. Bush. It was the first visit to the country by one of China's top new leaders, a major event of far-reaching significance in Sino-U.S. relations. During his visit, the Chinese Premier met Bush and other high-ranking American officials. Both sides exchanged views on issues related to bilateral relations and current international affairs. The Premier also enjoyed extensive contacts with Americans from different walks of life.

Following is an address delivered by Premier Wen at a December 9 dinner jointly hosted by nine American organizations. His speech was entitled "Working together to write a new chapter in China-U.S. relations":

Ambassador Hills, Ladies and Gentlemen, Friends,

It gives me great pleasure to attend tonight's dinner, and I wish to thank the National Committee on U.S.-China Relations; the U.S.-China Business Council; the America-China Forum; the Asia Society; the Center for Strategic and International Studies; the Committee of 100; the Council on Foreign Relations; the U.S. Chamber of Commerce; and the U.S.-China Policy Foundation for their gracious hospitality. It is delightful to be among friends, both old and new.

In three weeks' time, we shall be celebrating the 25th anniversary of the establishment of diplomatic relations between China and the United States.

During those 25 years since we established diplomatic ties, our bilateral relations have weathered storms and moved forward. Devoted as you are to Sino-U.S. friendship, you have contributed a great deal to its promotion. Let me take this opportunity, on behalf of the Chinese Government and people, to express our appreciation to all who have contributed to the friendly relations between our two nations.

Where are China-U.S. relations heading? Perhaps this is a subject of great interest to you. In fact, when President Jiang Zemin visited your country last year, and President Hu Jintao twice met President Bush this year, they both stated clearly that the Chinese side wished to improve and develop relations with the United States.

A review of the history of China-U.S. relations over the past half century or more since the founding of the People's Republic leads us to three important conclusions.

Conclusion one: China and the United States both gain from peaceful co-existence and lose from conflicts.

Both China and the United States paid a heavy price for their mutual hostility lasting 23 years from 1949 to 1971. In contrast, in the 32 years since China and the United States renewed contact in 1972, both sides have benefited tremendously from our cooperation despite twists and turns. At the time the Shanghai Communique was issued in 1972, trade between China and the United States was virtually zero. As a token of friendship toward China, the U.S. Government gave special permission to each traveling American citizen to bring back home $100-worth of goods made in China. Now, our two-way trade has exceeded $100 billion.

Conclusion two: Mutual interest serves as the bedrock of our cooperation. This is, first of all, seen in the win-win and mutually beneficial economic cooperation and trade between our two countries. American companies bring to China their capital, advanced technology and managerial expertise. In return, China's abundant human resources and huge market provide enormous business opportunities for American companies. Furthermore, Chinese enterprises supply U.S. consumers with large quantities of inexpensive, quality consumer goods.

Today, the United States has become China's second-largest trading partner and the biggest investor in China, whereas for the United States, China is the third-largest trading partner and the fastest-growing export market. Such a significant change is attributable to great extent to China's reform and opening-up.

The reform and opening-up that started in 1978 have brought about fundamental changes to China. We have by and large established a socialist market economy, the GDP has registered an average annual growth rate of 9.4 percent within the past 25 years and, on the whole, the Chinese people are living a relatively well-off life. China's accession to the WTO signifies the beginning of all-round opening up. More than 400 of the world's top 500 multinationals have opened offices or operations in China.