Pence, Xi trade barbs in speeches at Pacific summit
Pence: democracy is better partner than authoritarian
Port Moresby, Papua New Guinea Chinese President Xi Jinping and U.S. Vice President Mike Pence traded barbs in speeches at a summit of world leaders Saturday, outlining competing visions for global leadership as trade and other tensions between them simmer.
Pence said there would be no letup in President Donald Trump’s policy of combating China’s trade policy and intellectual property theft that has erupted into a tit-for-tat tariff war between two world powers this year.
The U.S. has imposed additional tariffs on $250 billion of Chinese goods and China has retaliated. Pence reiterated Trump administration threats to more than double the penalties.
“The United States, though, will not change course until China changes its ways,” Pence said, accusing Beijing of intellectual property theft, unprecedented subsidies for state businesses and “tremendous” barriers to foreign companies entering its giant market.
Pence announced the U.S. would be involved in ally Australia’s plan to develop a naval base in Papua New Guinea, where the summit is being held. China has been intensely wooing Papua New Guinea and other Pacific island nations with aid and loans for infrastructure.
“Our vision for a free and open Indo-pacific will prevail,” Pence said.
The vice president harshly criticized China’s global infrastructure drive, known as the “Belt and Road Initiative,” saying many of the projects are low-quality and saddle developing countries with loans they can’t afford.
The U.S. democracy is a better partner than authoritarian China, he said.
“Know that the United States offers a better option. We don’t drown our partners in a sea of debt, we don’t coerce, compromise your independence,” Pence said. “We do not offer constricting belt or a one-way road. When you partner with us, we partner with you and we all prosper.”
Xi, who spoke before Pence, anticipated many of the U.S. criticisms in his speech. He said countries are facing a choice of cooperation or confrontation as protectionism and unilateralism spreads.
Xi expressed support for the global free trading system that has underpinned his country’s rise over the past quarter century to the world’s second-biggest economy after the U.S.
“The rules made should not be followed or bent as one sees fit and they should not be applied with double standards for selfish agendas,” Xi said.
“Mankind has once again reached a crossroads,” he said. “Which direction should we choose? Cooperation or confrontation? Openness or closing doors? Win-win progress or a zero sum game?”
Responding to a chorus of criticism of China’s international infrastructure drive, Xi said it was not a trap or power grab.
“It is not designed to serve any hidden geopolitical agenda, it is not targeted against anyone and it does not exclude anyone,” Xi said. “It is not an exclusive club that is closed to non-members, nor is it a trap as some people have labeled it.”
Leaders of 21 Pacific Rim countries and territories that make 60 percent of the world economy are meeting in Port Moresby, the capital of Papua New Guinea, for an annual Asia-pacific Economic Cooperation summit.
They are struggling to reach agreement on a joint declaration, particularly whether to push for changes to the World Trade Organization, which sets rules for trade and can penalize nations.
WTO nations have been unable to agree on freer trade for years.