VZCZCXRO9489
OO RUEHCN RUEHGH RUEHVC
DE RUEHBJ #5323/01 2260914
ZNY CCCCC ZZH
O 140914Z AUG 07
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0757
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUEHGB/AMEMBASSY BAGHDAD 0134
RUEHKH/AMEMBASSY KHARTOUM 0143
RUCNDT/USMISSION USUN NEW YORK 1812

C O N F I D E N T I A L SECTION 01 OF 02 BEIJING 005323 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 08/14/2017 
TAGS: PREL PGOV PMUC PTER PHUM IZ IR KN TC TW CH
SUBJECT: SENATOR LIEBERMAN ON FOOD SAFETY, DARFUR, IRAN, 
DPRK, ECONOMIC AND SOCIAL TRENDS AND TAIWAN 
 
Classified By: Political Minister Counselor Aubrey Carlson.  Reasons 1. 
4 (b/d). 
 
Summary 
------- 
 
¶1. (C) China has been unfairly vilified over recent product 
safety scandals in U.S. media, National People's Congress 
Foreign Affairs Committee Chairman Jiang Enzhu told visiting 
Senator Joseph Lieberman (I-CT) August 6.  China is taking 
action to identify and shut down unlicensed, non-compliant 
firms exporting unsafe food products.  China values its 
cooperation with the United States and will continue to work 
to implement UNSC Resolutions on Iran and Darfur.  Diplomatic 
efforts are now needed to resolve both crises, Jiang said, 
rather than new sanctions on Iran or action without 
Khartoum's consent in Sudan.  China "strictly prohibits" 
proliferation by Chinese entities and takes action when such 
violations are discovered.  China remains cautiously 
optimistic regarding prospects for success in the Six-Party 
process, and believes that the DPRK leadership is genuinely 
committed to denuclearization and economic development. 
Strengthening China's social safety net infrastructure will 
"naturally" stimulate domestic consumption.  Dogmatic Marxist 
ideology is on the wane in China, and traditional Confucian 
values are on the rise, Jiang said.  End Summary. 
 
Food Safety 
----------- 
 
¶2. (C) At a dinner hosted by Chinese National People's 
Congress Foreign Affairs Committee Chairman Jiang Enzhu on 
August 6, visiting Senator Joseph Lieberman raised the import 
safety issue.  Regardless of the small percentage of products 
involved, Senator Lieberman said, if American mothers begin 
to doubt the safety of products labeled "Made in China" at 
the grocery store, there will be major problems for 
U.S.-China relations.  Acknowledging that the problem may lie 
with lax provincial-level regulation, Senator Lieberman urged 
the Chinese central government to "take control."  Jiang 
asserted that China already has licensing requirements for 
food exports and has taken action to shut down small, 
unlicensed firms when they are discovered.  Jiang claimed 
that over 95 percent of Chinese food exports to the United 
States from China are safe and that the same cannot be said 
of U.S. imports from Mexico, India and the Dominican 
Republic.  To help make China's existing regulations more 
effective, Jiang suggested, the United States should prohibit 
American firms from importing goods from unlicensed Chinese 
food sellers.  Jiang complained that the U.S. media vilifies 
China, claiming that reports of faulty Chinese tires were 
false. 
 
Iran 
---- 
 
¶3. (C) China welcomes the recent encouraging progress of the 
European Union and the International Atomic Energy Agency's 
recent technical-level negotiations with Iran.  This shows 
the value of dialogue in addressing Iran's nuclear program, 
Jiang said.  China is committed to implementing UN Security 
Council Resolutions 1737 and 1747, but attempting to "expand" 
the resolutions to address conventional weapons is "off-base" 
and imposing additional sanctions "should not be our focus." 
Senator Lieberman argued that though the United States values 
China's cooperation on nonproliferation, we cannot ignore 
evidence of Chinese companies supplying Iranian entities that 
support ballistic and nuclear weapons programs, and China 
should not ignore this either.  Chinese sniper rifles turning 
up in enemy hands in Iraq and Afghanistan are also cause for 
grave concern.  Iran is the single greatest threat to 
American security and also a threat to peace and stability 
worldwide, Senator Lieberman stated.  Additionally, China's 
perceived tolerance of this situation gives ammunition to 
those in the United States who oppose close ties with China. 
 
Darfur 
------ 
 
¶4. (C) China views UNSC Resolution 1769 as "major progress" 
on the crisis in Darfur and will continue to pressure 
Sudanese President Bashir to accept a joint UN-African Union 
peacekeeping force, Jiang stated.  He added that sending in 
peacekeepers without Khartoum's support will not be 
effective.  Senator Lieberman reminded Jiang of Bashir's 
record of making and then breaking promises, urging China to 
recognize its role as the "single biggest influence" on 
Khartoum and use the full leverage of its investment in 
Sudan's energy sector.  China will remain actively engaged, 
 
BEIJING 00005323  002 OF 002 
 
 
Jiang promised, adding that China's commercial investments in 
Sudan are actually a constructive part of the comprehensive 
political, economic and humanitarian solution that all sides 
should pursue.  Citing ongoing Chinese humanitarian projects 
in Sudan, he insisted that China is "not turning a blind eye 
to the humanitarian crisis for the sake of oil."  China must 
take concrete measures to demonstrate that, responded Mrs. 
Lieberman, also a guest at the dinner.  As a powerful nation, 
China's actions send important signals, she said.  Senator 
Lieberman said he opposes efforts to boycott the Beijing 
Olympics over the Darfur issue, but noted that the activists 
calling for such measures have sincere concerns which China 
must address. 
 
DPRK 
---- 
 
¶5. (C) Senator Lieberman hailed the Six-Party Talks as an 
example of the good work the United States and China can 
achieve through cooperation on major global challenges.  He 
said some Americans remain suspicious that the DPRK will pull 
out of negotiations without abandoning its weapons, as it did 
in the 1990s.  Senator Lieberman asked if China sees a real 
intention to denuclearize this time.  Jiang said the DPRK's 
primary goal is economic developments.  Visits to China by 
Kim Jong-Il and other DPRK leaders have convinced them that 
"reform and opening up" is the best path to that goal.  While 
there may be roadblocks in negotiations along the way, Jiang 
said, ultimately the DPRK will denuclearize to earn its place 
in the international political and economic system. 
 
Chinese Domestic Trends 
----------------------- 
 
¶6. (C) Senator Lieberman said he considers himself a friend 
of China but has concerns that China's economy relies 
excessively on exports without sufficient domestic 
consumption.  This creates problems for China's trading 
partners, but also threatens China's own sustained economic 
growth, he said.  Jiang acknowledged that the Chinese save 
too much and spend too little.  The Chinese government is 
taking active steps to combat the problemby improvingsocial 
safety net mechanisms, esecially in the poorest areas. 
Government emplyees and workers at state-owned enterprises 
ejoy good social security infrastructure, but rurl farmers 
and many private-sector employee do not, Jiang said. 
Improving this system wil alleviate Chinese people's fears 
about "rainy day" financial burdens and free them to spend 
more, he predicted.  Senator Lieberman cited an article in a 
U.S. publication on the resurgence of traditional Confucian 
values in Chinese society and the decline of orthodox Marxist 
thinking.  Jiang acknowledged the trend and said the 
government is pleased with the development, characterizing 
the recent Party mantras of "stability" and "harmonious 
society" as age-old Confucian values. 
 
Taiwan 
------ 
 
¶7. (C) Jiang reiterated familiar Chinese points on the 
current "dangerous and delicate" situation in cross-Strait 
relations.  He urged Senator Lieberman to use his influence 
as a "prominent American statesman" to convince both the 
Administration and Congress to take a "more explicit" stand 
against Taiwan independence and to "avoid sending wrong 
signals." 
 
¶8. (U) Codel Lieberman cleared this cable. 
RANDT