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'Coming Collapse of China' author Gordon Chang and 'China Fallacy' author Donald Gross discuss U.S., China relations.
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John Kerry's nomination as secretary of state comes at a crucial time US China relations.
Former State Department official Donald gross argues that Kerry will bring much needed improvement.
But Gordon Chang author of the coming collapse of China says that improved relationship comes with.
Risks they both join us now.
Gordon I would just start with you and you.
Do not think that our relationship with China is the main focus right now and that if John -- secretary of state.
He's not even the right guy for this relationship why.
Well I just got back from New Delhi and people there are greatly concerned about carries posture towards Pakistan because he's very pro -- about.
I think that going forward the United States really needs to nurture its relationship with the great democracies in the region Japan South Korea and India India is the world's most populous democracy -- become the most populous nation in the world and about fifteen years.
And I think that only stable relations with democracies are really what we can count on long run.
-- now what about our economic relationship.
With China -- mean there are many companies.
Individuals and we've got a lot of businesses and across the seas right now with this country don't we need this relationship to get better.
We do needed to get better both in the economic area and security area in fact.
John Kerry has said we United States needs China and China needs us so we have to get that relationship right.
In the case of with on economic issues -- our third largest export market is actually the largest growth market in the world for US goods and services.
On the security side we have serious problems with China right now.
Potential problems points of friction and John Kerry is just the right person at the right time in my view.
To bring to bear it not only his diplomatic skills his legislative skills understanding of the US congress US politics but also -- deep experience.
In Vietnam over the years his interest in Asia he has a personal relationship that he struck.
With the new president of China G Asian paying during president -- is.
Present.
Coming president -- visits the United States.
He understands China he knows that we need to find common ground with China.
To address many of the global and transnational problems like.
Proliferation of nuclear weapons -- -- climate change that set trends so I strongly believe that he is.
Going to be a great secretary of state and will be especially helpful in dealing with China.
Okay and you're making Donald obviously the economic got a piece of the argument but Gordon yeah again you -- that John Kerry is not the right represented that he is misguided and how he is paneling.
The issue of China because of has really.
-- ships with you imagine -- in particular.
Personal relations with Chinese leaders don't mean anything because there ruthlessly pragmatic.
You know Kerry just talked about how we need China and that's exactly the wrong thing to say because every time we save that dealt with -- Actually we do but they need us much more than we how sad.
You know.
China is over -- merchandise trade surplus against the United States in 2011 was a 190.
Point 5%.
Of its overall trade surplus.
You know China cannot replace the American market but we can replace China's -- -- -- We -- but but investors are making money at at this -- hand -- -- on Chinese companies -- you have -- Chinese companies -- yelling on the NASDAQ the -- DUS companies that trend has been a place for several years in New -- you've got American CEOs that that can't wait to get across the water to to get on the ground in China to profit from -- billion people and -- on the ground and in the John -- -- -- I would assume understand that net -- crucial piece of elections.
The other question is how well US companies are doing -- -- that companies like young will do very well McDonald's will do well.
But the things like you know Caterpillar's having real troubles in trying to because the economy there is faltering.
And -- you see even companies like General Electric bringing back manufacturing to the US because they know there's a problem there.
Chinese companies are manufacturing I mean our our investing around the world because they don't have the opportunities at home.
And that should feel real signal to us.
But -- but that's important date that -- -- so important it in greatest and replace -- Cerro I just -- like take issue with something that Gordon said.
Especially with respect to the new -- incoming president of China he's -- -- Gordon dismissed him is this just another apparatchiks -- someone who would.
Follow the dictates of the Communist Party as it is right now actually.
He's positioned himself as a reformer both on economic and political issues.
You have to remember that he was a victim of the cultural revolution in China he and his generation.
He was sent down to the countryside for.
-- five or six years where he performed back breaking labor he has experienced first hand.
The human rights abuses that have been carried out in the name of the Communist Party in China we have a very clear window of opportunity right now.
Two for the for the new secretary of state John Kerry for the president of each of China.
For President Obama to build a new relationship.
To overcome.
Some of the serious problems we have both on the security and the economic.
Areas so I'm hope very hopeful that with his background in deep experience.
Senator -- -- to -- secretary Kerry.
Will build -- his relationship with presidency.
And not take the the Communist Party is a given but helped to support and store.
Not not only the economic reform but the political reform which many people in China.
Expect and hope for its especially the United States which -- stands for.
Democracy and human rights around the world well we're gonna it not watching.
As secretary of state the confirmation hearings -- get underway Gordon Chang Donald gross thank you very much very into discussion on China appreciate it.
