Hillary Implicitly Complimented Hong Kong and Criticized China

In Hong Kong, U.S. Secretary of State Hillary Clinton emphasized that the U.S. will stay in Asia. She implicitly criticized China’s economic policy that favors state-owned enterprises, which results in an unfair competitive environment and uneven wealth distribution.

Some said the speech made in the former British colony, now China’s SAR, intended to manifest Obama’s objective of reinforcing U.S. occupation in Asia to balance a rising China.

Hong Kong was the second-to-last leg of Hillary’s Eurasian itinerary. She started her visit in Turkey, Greece, India and Indonesia on July 14, and arrived in Hong Kong the night before last.

She made a 40-minute speech at the Chamber of Commerce yesterday, emphasizing the global economic order and the China-U.S. trade relationship.

Hillary used the Marshall Plan after WWII as an example: Then, U.S. governmental and nongovernmental aid to Europe was up to 13 billion U.S. dollars, equivalent to its current $150 billion, for which today hardly any governmental or nongovernmental leader can take responsibility. We need leaders with vision in both international politics and enterprise communities.

Hillary said that the U.S. must get out of the shadow of financial crisis by making more, spending less and borrowing less, and that other regions will change as they are affected by U.S. policy. At the same time, the issues of large foreign reserves and U.S. employment must be considered.

Hillary also mentioned that openness, freedom, transparency and fair competition are the four principles to prosperity in both the U.S. and the Asia-Pacific region. She praised that under the one-country, two-systems rule, the four values in Hong Kong have not changed.

Hillary mentioned that 30 years ago she visited Hong Kong with Bill Clinton, then the state governor of Arkansas, and she has loved Hong Kong ever since.

The U.S. will stay in Asia

She said the over the past 30 years Hong Kong has changed, with so many new skyscrapers. However, Hong Kong has not changed under the one-country, two-systems rule in its role of bridging China and the Western world, with a vision to the rest of the world.

She praised that Hong Kong is “a place where ideas become businesses, companies compete on the merits, and where economic opportunity is palpable and real for millions of people, a place that defines the fierce and productive economic competition of our time.”

She also emphasized in her speech that the U.S. would stay in Asia.

Hillary said, “We are a resident power in Asia — not only a diplomatic or military power, but a resident economic power. And we are here to stay.”

She criticized some countries’ economic policy, without specifying which, saying that they possess a huge amount of wealth though their per capita income lags far behind that of others.

She said: “And a number of nations, wealthy in the aggregate but often poorer per capita, might even think the rules don’t apply to them.”

In her speech, Hillary called for a new monitoring organization for the international community, which would develop markets and discipline those which were economically unsound.

“Today we need institutions capable of providing solutions to new challenges, from some activities of state-owned enterprises to the kinds of barriers emerging behind borders,” she said.

In her speech at this regional financial center, Hillary also pacified some countries, saying that the White House and Congress will reach an agreement on the deadlock over government debt.

Hillary also talked with the SAR governor for about half an hour at the Government House. The SAR government spokesperson said the two discussed issues of education and finance. Donald Tsang said that Hong Kong is willing to strengthen its cooperation with the U.S. on education and welcome students from the U.S. The two parties also agreed that Hong Kong had made a large contribution as an international financial center and offshore RMB center.

Hillary said she would be waiting for Donald Tsang personally in the U.S. in November.

Hillary also met some legislators at the hotel. She stayed and talked with Civic Party member Audrey Eu, Democratic Party member Albert Ho, Democratic Alliance for the Betterment and Progress of Hong Kong’s Starry Li and Liberal Party member Zhang Yuren for about 40 minutes.

Albert Ho said after the meeting that he had talked with Hillary on politics, the economy and human rights. Audrey mentioned that the functional constituencies should be kept if universal suffrage is instituted. Starry Li and Zhang Yuren claimed that if the U.S. launched a new round of quantitative easing, it would affect other regions.

After the speech Hillary set off for Shenzhen and held an informal talk with State Councilor Dai Binguo on issues of mutual interest.

This was the first time Hillary has visited as Secretary of State. Besides her visit 30 years ago, in 1998 she visited Hong Kong as the first lady with President Clinton.