US must respect China’s interests, Xi Jinping warns in Washington speech

However, a day after his meeting with Mr Xi in the Oval office, Barack Obama
was underscoring growing US dissatisfaction at Chinese trade practices while
speaking at a campaign-style visit to a factory in the Midwest, a crucial
battleground in the upcoming election.

“I will not stand by when our competitors don’t play by the rules,” he told
workers at Master Lock, a company he lauded in his State of the Union
address last month for having moved back about 100 union jobs from China
since mid-2010.

“That’s why I directed my administration to create a Trade Enforcement Unit
with one job: investigating unfair trade practices in countries like China,”
he said, encouraging US firms to repatriate jobs that they had previously
out-sourced to China.

Cases of alleged cyberespionage originating from China against Western
industries have been highlighted in the US press in recent days, with the
New York Times reporting the case of a Massachusetts wind energy company,
American Superconductor Corporation, whose Chinese partner allegedly stole
key technology.

The Wall Street Journal this week disclosed that hackers believed to be based
in China penetrated a now bankrupt Canadian telecommunications company,
Nortel, and had access to its entire system for at least a decade.

At the lunch Mr Xi was flanked by a senior Communist Party officials, as well
as chief executives from Coca Cola, Chevron, ConocoPhillips, Dow Chemical,
DuPont, Procter Gamble and Estee Lauder.

Coca-Cola CEO Muhtar Kent expressed the cautious optimism felt in the US
business community about expanding ties with China. He described Mr Xi’s
visit as “another important milestone toward building an enduring and
constructive relationship between our two nations.”

However earlier on a visit to Capitol Hill, Mr Xi was challenged over China’s
deteriorating human rights record and military posturing in the Asia-Pacific.

“Responsible nations must be committed to confronting the Chinese regime on
its dark human rights record,” said Ileana Ros-Lehtinen, the Republican
chair of the House Foreign Relations Committee, accusing Mr Obama of “one
dangerous concession after another” to China.

After demanding the release of missing human rights lawyer Gao Zhisheng, she
added: “I also urge the administration not to cave to Chinese demands
concerning US strategic alliances and military presence in the region.”

Mr Xi will now move to the state of Iowa, a major exporter of agricultural
products to China, for the second leg of his visit, before rounding off in
Los Angeles on Thursday.

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