Dove in the China Shop
Dave McCurdy has a running debate with his Mandarin tutor over the merits of will versus destiny. The United States, he insists, is a nation driven by the will of its citizens, which helps Americans find ways to solve problems and maintain a leading position in the world. China, by contrast, is driven by a sense of destiny, a belief that it will soon recapture the glory of past centuries. That's a powerful motivator, McCurdy believes--but not enough for China ever to eclipse the world's most creative, industrious societies.
Arcane musings, perhaps, except that China's growing economic, political, and military muscle has become one of the hot-button issues in Washington. A trade war with China, fought with tariffs, quotas, and ugly rhetoric, seems increasingly likely. In the pitched debate that's unfolding, McCurdy, president of the Electronic Industries Alliance, inhabits some lonely turf. Unlike most big-business advocates, he publicly proselytizes on the virtues of free trade and greater cooperation with the world's most populous country. While other business lobbyists operate in the shadows on China, careful not to take a stance that could end up on the wrong side of public opinion, McCurdy, whose trade group represents high-tech heavyweights like IBM, Intel, and Motorola, speaks with the passion of a missionary. "The U.S.-China relationship is the most important geopolitical relationship we must manage over the next 50 years," he says. "China has taken the right fork in the road in many areas. They're making decisions that are in our interest."
Many disagree, including numerous senators and representatives of both parties. Treasury Secretary John Snow has hammered China over its exchange-rate policy. Defense Secretary Donald Rumsfeld accuses China of surreptitiously building up its military, to intimidate democratic Taiwan, which China regards as a breakaway province, and ultimately to dominate Asia. Most of the companies EIA represents prefer minimal trade barriers that leave them free to hire the cheapest talent and sell their products wherever they can do so profitably. Part of McCurdy's job this year is to lobby against protectionist legislation that would impose tariffs on Chinese imports if the Communist leadership doesn't liberalize its currency. Another bill he's targeting would make it illegal for U.S. firms to do business with foreign governments that permit arms sales to China.
Party favors. The momentum, for now, favors McCurdy's opponents--few of whom have spent as much time learning about the mysterious Middle Kingdom as McCurdy has. The former Democratic member of Congress from Oklahoma has traveled to China a dozen times, meeting with local business people and Communist Party officials in Beijing, Shanghai, and many smaller cities. He speaks Mandarin well enough to give short speeches in China in the language. And he has seen firsthand how the Communist Party still pulls the strings, despite the nation's newfound capitalist prowess. While at an event with the mayor of Qingdao on one trip, McCurdy started to get antsy about catching a scheduled flight back to Beijing. "Don't worry," the mayor told him. Then he had the flight held for an hour, till his guest made it to the airport. "Local governments can open doors and make things happen," McCurdy concludes.
advertisement
