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China hits back at US security report
(Reuterse/Chinadaily.com.cn)
Updated: 2006-03-21 14:40

China hit back at the United States on Tuesday for a White House national
security report that criticized the country's military buildup and trade
policies, saying the remarks were "groundless" and harmed relations.

"We ask the US side to stop releasing remarks that are harmful to the
healthy development of the Sino-US relations, to mutual understanding and
to regional peace, stability and development," Foreign Ministry spokesman
Qin Gang said in remarks carried by the Xinhua news agency.

China has made a "strong representation" against the United States over
the report and expressed its "strong dissatisfaction," Qin said.

He said China is a major force in safeguarding world peace and promoting
common development, and China has already decided its domestic and
foreign policies and development direction.

China carries out a national defense policy which is defensivein nature
and its limited national defense strength is targeted for self-defense,
Qin said.

The White House security reports put China under closer scrutiny, citing
Beijing's military spending, trade and currency policies as nuisances in
growth of bilateral relations.

But analysts say raising complaints now may be part of a strategy of
laying the controversial issues on the table before Chinese President Hu
Jintao's inaugural trip to Washington late next month.

(L-R) Japanese Foreign Minister Taro Aso, Australian Foreign Minister
Alexander Downer and US Secretary of State Condoleezza Rice pose for a
photograph prior to their trilateral talks in Sydney. The historic
security talks concluded with praise for China's engagement in the
Asia-Pacific and an agreement to seek greater cooperation within Asia.
[AFP]

China was the focus at trilateral security talks on Saturday between
foreign ministers of the United States, Australia and Japan, and was
singled out in a White House report released last week that urged reform
of its trade policies and military transparency.

"It seems that now they've raised concerns and complaints, it could
damage the climate when President Hu pays his visit. But that's why Hu
Jintao wants to talk with his U.S. counterpart," said Professor Zhu Feng,
an expert on Chinese-U.S. relations at Peking University.

"It will magnify the necessity for both sides to maintain high-level
contacts," Reuters quoted him as saying.

U.S. Secretary of State Condoleezza Rice said in Australia and Indonesia
last week that China's military budget, which will rise 14.7percent this
year to $35 billion, is a concern in relations. Washington is also
pressuring Beijing to revalue its yuan currency at a higher exchange
rate, and allow more U.S. firms to do business in China, one of the
world��s biggest markets.

Two U.S. senators pushing for higher export tariffs unless China revalues
the yuan and U.S. Commerce Secretary Carlos Gutierrez are also due to
visit Beijing this week, Reuters reported.

But Washington may be reluctant to push too far as it tries to engage
Beijing on a series of multilateral issues, including Western efforts to
curb Iran's atomic ambitions and talks on North Korea's nuclear programs.

"This has been the U.S. strategy toward China. On the one hand,
economically, socially and on the international stage, it tries to engage
China," said Lai Hongyi, a scholar at Singapore's East Asia Institute, in
an interview with Reuters.

"But at the same time, on the military and national security front, the
U.S. is also making moves to hedge against China's military power."

Washington also risks alienating its regional allies if it pushes too far
with criticisms of China they may not agree with, analysts say.

While U.S. Secretary of State Condoleezza Rice was focusing on China's
military last week, Australia made it clear it sees China's rise as more
of an economic opportunity than a threat.

China's growing demand for raw materials such as grain and minerals that
Australia produces made the two increasingly closer trade partners, said
David Zweig, director of the Hong Kong-based Center on China's
Transnational Relations.

"I think the basic tone in Beijing is that we can only do what we can,"
said Peking University's Zhu. "We can't sacrifice national interest just
for concern in the United States."

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