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Wednesday, October 01, 2008

 

Rare, exclusive CNN interview of China’s Premier Wen Jiabao

‘A possible US recession will certainly have impact on the Chinese economy’

 
[Courtesy of the CNN International, the following are excerpts from the transcript of the rare and exclusive interview of China’s Premier Wen Jiabao on CNN’s “Fareed Zakaria GPS.” Premier Wen talked about the worldwide economic crisis, China’s diplomatic relations and the development of democracy in China. The Chinese premier’s appearance on “Fareed Zakaria GPS” was aired on Monday September 29 in Hong Kong, Kuala Lumpur, Manila, Singapore, Taiwan, Bangkok, Jakarta, Sydney and Tokyo.]

On the US Economic Crisis:

Host Fareed Zakaria: Do you think you can continue to grow, if the United States goes into a major recession?

Premier Wen Jiabao: A possible US economic recession will certainly have an impact on the Chinese economy, because we know that 10 years ago the China-US trade volume stood at only US$102.6 billion, while today, the figure soared to US$302 billion—actually representing an increase of 1.5-fold. A shrinking of US demand will certainly have an impact on China’s export.

And US finance is closely connected with the Chinese finance. If anything goes wrong in the US financial sector, we are anxious about the safety and security of Chinese capital. That’s why at the very beginning, I have made it clear that financial problems in this country not only concerns the interest of the United States, but also that of China and the world at large.

Host Fareed Zakaria: There is another sense in which we are interdependent. China is the largest holder of US Treasury bills. By some accounts, you hold almost $1 trillion of it. It makes Americans—some Americans—uneasy. Can you reassure them that China would never use this status as a weapon in some form?

Premier Wen Jiabao: As I said, we believe that the US real economy is still solidly based, particularly in the high-tech industries and the basic industries. Now, something has gone wrong in the virtual economy. But if this problem is properly addressed, then it is still possible to stabilize the economy in this country. The Chinese government hopes very much that the US side will be able to stabilize its economy and finance as quickly as possible. And we also hope to see sustained development in the United States, as that will benefit China.

Of course, we are concerned about the safety and security of Chinese money here. But we believe that the United States is a credible country, and particularly at such difficult times, China has reached out to the United States. And actually, we believe such a helping hand will help stabilize the entire global economy and finance and to prevent major chaos from occurring in the global economic and financial system. I believe now, cooperation is everything.

On Tibet when asked what it would take to meet with the Dalai Lama

Host Fareed Zakaria: May I ask you about another set of possible talks? The Dalai Lama has said, now, it appears that he would accept China’s rule in Tibet. He accepts the socialist system in Tibet. And what he asks for is cultural autonomy and a certain degree of political autonomy.

The talks apparently are stuck at a lower level between the Tibetans and the Chinese government. Why don’t you, given your power and your negotiating skills, take the issue yourself and you or President Hu Jintao were to negotiate directly with the Dalai Lama and solve this issue once and for all, for the benefit of the Chinese people and, of course, the Tibetan people who are also in China?

Premier Wen Jiabao: In many places all over the world, the Dalai Lama keeps preaching about the idea of the so-called autonomy in the greater Tibetan region. And actually, the so-called autonomy that he pursues is actually to use religion to intervene in politics. And they want to separate the so-called “greater Tibetan region” from the motherland.

And many people in the United States have no idea how big is the so-called “greater Tibetan region.” The so-called “greater Tibetan region,” preached by the Dalai Lama, actually covers Tibet, Sichuan, Yunnan, Qinghai and Gansu—altogether, five provinces. And the area covered by this so-called “greater Tibetan region” accounts for a quarter of China’s territory.

For decades, our policy towards the Dalai Lama remains unchanged. That is, as long as the Dalai Lama is willing to recognize that Tibet is an inalienable part of China’s territory and as long as the Dalai Lama gives up his separatist activities, we are willing to have contact and talks with him or his representatives. Now, sincerity holds the key to producing results out of the talks.

Host Fareed Zakaria: What action would you like to see from the Dalai Lama that would show sincerity?

Premier Wen Jiabao: Actually, I already made it clear that, when we observe any individual, the Dalai Lama included, we should not only watch what—we should not only observe what he says, but also watch what he does. His sincerity can be demonstrated in giving up separatist activities. But then, everything depends on the development of the situation.

On China’s positions toward Darfur, Iran and Myanmar

Host Fareed Zakaria: Many people see China as a superpower already. And they wonder, why is it not being more active in political resolution of issues such as the issue of Darfur, or the issue of Iran and its nuclear ambitions. There’s a hope that China will play a role as a responsible stakeholder—to use Robert Zoellick’s phrase when he was deputy secretary of state—and that China will be more active in managing the political problems in the world, and that so far, it has not been active. How would you react to that?

Premier Wen Jiabao: To answer this question, I need to correct some of the elements in your question. First, China is not a superpower. Although China has a population of 1.3 billion, and although in recent years China has registered fairly fast economic and social development since reform and opening up, China still has this problem of unbalanced development between different regions and between China’s urban and rural areas. China remains a developing country.

We still have 800 million farmers in rural areas, and we still dozens of million people living in poverty. To address our own problems, we need to do a great deal. China is not a superpower. That’s why we need to focus on our own development and on our efforts to improve people’s lives.

Host Fareed Zakaria: But surely, the Chinese government could pressure the Sudanese government, or the Iranian government, or the government in Burma to ease—to be less repressive. You have relations with all three of them.

Premier Wen Jiabao: That brings me to your second question. Actually, in the international community, China is a justice-upholding country. We never trade our principles. Take the Darfur issue that you raised just now, for example. China has always advocated that we need to adopt a dual-track approach to seek a solution to the Darfur issue. China was among the first countries that sent—sending peacekeepers to Darfur. China was also the first country that gave assistance to Sudan. And we also keep our efforts to engage the leaders in Sudan, to try to seek a peaceful solution to the issue as quickly as possible.

On the development of democracy in China

Host Fareed Zakaria: There is a very famous photograph of you at Tiananmen Square in 1989. What lesson did you take from your experiences in dealing with that problem in 1989?

Premier Wen Jiabao: I believe that, while moving ahead with the economic reforms, we also need to advance political reforms. As our development is comprehensive in nature, our reform should also be comprehensive. I think the core of your question is about the development of democracy in China. I believe, when it comes to the development of democracy in China, we talk about progress to be made in three areas.

Number one, we need to gradually improve the democratic election system, so that state power will truly belong to the people, and state power will be used to serve the people.

Number two, we need to improve the legal system, run the country according to law and establish the country under the rule of law. And we need to build an independent and just judicial system.

Number three, government should be subject to oversight by the people and if (ph) you ask us, call on us to increase transparency in government affairs. And particularly, it is also necessary for government to accept oversight by the news media and other parties.
-- Published with permission of CNN International

   
 

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