February 20th, 2009
05:22 AM ET
6 years ago

Stakes are high for U.S., China during Clinton visit

 U.S. Secretary of State Hillary Clinton will arrive in Beijing on Friday.
U.S. Secretary of State Hillary Clinton will arrive in Beijing on Friday.

BEIJING, China (CNN) – When Hillary Clinton visits Beijing this week, her Chinese hosts will closely watch her body language and parse her every word. Her first trip here as the U.S. secretary of state comes in the shadow of the global financial crisis, the pressing North Korea nuclear issue and a warming planet.

The U.S. Congress has passed a massive stimulus bill that will plunge America even deeper into debt. Will China help out?

About $700 billion of China's $1.9 trillion of foreign reserves are in U.S. Treasuries. If China sold those assets, U.S. interest rates would spike and would further decimate China's export industries. Such a scenario would be distasteful for both Washington and Beijing, and that's why it's critical that Clinton convince the Chinese to hold this arrangement together.

Why should China buy even more?

"There's some protectionist language in the stimulus package," said James McGregor, who runs JL Mcgregor & Company, a business consulting company in Beijing. "During the campaign, Hillary called on the president (George W. Bush) not to attend the opening ceremony of the Beijing Olympics. China doesn't know what to think of them. She's got to come here to build trust." The stakes are high for America.

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Filed under: Hillary Clinton
soundoff (73 Responses)
  1. Deborah

    We should be VERY nervous about China holding the Note!

    Thanks to the Stimulus Spending Spree we are in REAL danger of being forclosed on!

    If I were China I would call in the note!

    This new adminstration is close to bringing this once Great Nation to it's knees!

    February 20, 2009 09:51 am at 9:51 am |
  2. Briana the college student

    This black liberal who hates Obama! what are you going to do if I bash Hilary? Are you going cry? Throw an e-fit.
    get a life.

    February 20, 2009 09:51 am at 9:51 am |
  3. Toby in Illinois

    Funny how CNN opens up only the least controversial story in its ticker for people to comment on.

    February 20, 2009 09:51 am at 9:51 am |
  4. Neva

    To TRUTH

    I agree that global warming is extremely controversial, with the current premises based on a flawed United Nations report.

    But that doesn't change the fact that there are far too many people in the world. Our air is choked with pollution, the rain forests are disappearing, wild life is being decimated, energy shortages are a serious concern, food price increases are causing worldwide havoc, millions are starving, job competition is causing great anxiety and unrest, etc., etc.

    So, whether global warming is real or not, we have to clean up our environment. That should start with a very serious dialogue about overpopulation and individual responsibility to change the way we live.

    February 20, 2009 09:52 am at 9:52 am |
  5. Barbara G

    For heavens sakes, every president in the past has had cartoons printed about them and they all wern't good, so why is this such a big deal. I don't think it was anything to do with race, just a cartoon and Al Sharptian needs to get a life. The black people are going to make race a lot worse than it has ever been and they are the ones to do it.

    February 20, 2009 09:55 am at 9:55 am |
  6. Jim

    I wonder how much money she is asking to borrow this time??

    February 20, 2009 09:58 am at 9:58 am |
  7. meh

    You know, this woman is very personable and very intelligent. I think you guys should give her a fair shot instead of slamming everything she does.

    February 20, 2009 10:00 am at 10:00 am |
  8. meh

    nadine> Tax cuts have NEVER worked.

    February 20, 2009 10:00 am at 10:00 am |
  9. elliott

    Enough of the Clintons....GO AWAY Billary......France or Canada would love to have you.

    February 20, 2009 10:01 am at 10:01 am |
  10. Dawn

    TRUTH are you drinking the neo-con's kool-aid. Global Warming is a fact, just ask any asthmatic. I am not breathing to well in the summer months, Look at England they had a blizzards, our southern states are getting colder. Way back in the 70's I told my parents that we will be getting California's weather and we would get theirs. It is happening.

    TRUTH go on Globel warming and see the poles and they are not what they used to be, Glacier National Park is deterorating fast. Look at the weather, hurricains that are devasting, remember Katrina, Rita, Gustuv, Ike and they will be getting worse. Tornatoes are not getting any better either. How about a few years ago, Hurricains were going into the winter months, and they ran out of names and went into the Greek Alphabet. Don't tell people that it is a Liberal propaganda, do research and then come back and make an apology to the Liberals

    February 20, 2009 10:01 am at 10:01 am |
  11. bibi

    The obama team is working very hard. Please give the credit for that. Stop bashing your government. It looks so bad when people in other countries read it.

    February 20, 2009 10:02 am at 10:02 am |
  12. Gary

    American people have no confidence in this administration. Today stock market is going down further. We have lost almost 2,500 points since election. This shows which way we are going. Clinton is enjoying her trips abroad at tax-payer's cost. Barack is gathering all mayors today for a speech giving them hand-outs or bail-outs. We have tax-cheats in the administration who are policy-makers. We have attorney General who is also a fraud and close to terrorists. He had forgiven Marc Rich and now says we are all cowards. John Kerry goes to Gaza and brings a letter from Hamas for Barack Obama. Barack had campaign adviser who was linked with Hamas. Do you remember? Where is our country going exactly. Where are the intelligent, smart and honest people? Wake up America now before it is too late.

    February 20, 2009 10:04 am at 10:04 am |
  13. Larry from RI

    For all the tough talk from the right about communism, socialism etc. do your realize that China has funded our national debt?

    Like it or not we are now joined at the hip and are INDEBTED TO the worlds largest communist country – "Red China".

    Think of that fact every time you pay your mortgage, your credit card bill and shop at Wal-Mart or some other discounter for cheap electronics and clothing that used to be made here by American workers but are now made offshore so corporate CEO's and Wall St. could cash in at our expense.

    If you still think unbridled capitalism is good for the America worker then I hope you choke on it!

    February 20, 2009 10:05 am at 10:05 am |
  14. Baaaa... Baaaa... Baaaa ......

    @ strong....

    My gawd Dude......... YOU NEED HELP

    February 20, 2009 10:06 am at 10:06 am |
  15. Joe in NJ

    It doesn't matter what Hillary or anyone else says. China is going to do whatever they want to do, just like always. The problem is the U.S. and other countries have been stupid enough to let them get away with everything.

    February 20, 2009 10:07 am at 10:07 am |
  16. no to corporate politics

    Go Hillary!

    Once again she is doing what she feels is right for the country and the world.

    Even if the haters out there cannot give it a rest, she is doing great things without undo flash to improve our image. After Bush policies, what a change.

    February 20, 2009 10:07 am at 10:07 am |
  17. Pat in Atlanta

    Kevin, Kevin, Kevin where have you been the last eight years? Obama has been president for a month – not nearly long enough to make this big a mess. George W Bush took over the presidency of a superpower with a strong economy and a budget surplus. He left office with the economy and our international image in shambles.

    Elephants are supposed to have good memories, but nothing is more forgetful than a Republican – maybe the party needs a new mascot. What animal has the worst memory and shortest attention span? It should also be an animal that cannot get along with any other animals.

    February 20, 2009 10:13 am at 10:13 am |
  18. To: Judy from PA

    Judy, if that's how you really feel bout our president then that's they way you feel. This internet thing has more than enough reliable, accurate information about our president. If you bothered to take 20 mins outa your day at some point and read a little bit you might come to STOP CALLING Obama "the messiah", it's stupid and pointless. Just because the media MAY have portraied him in that way dosn't make it's so. Besides how often do you trust the media???

    Obama '12

    February 20, 2009 10:16 am at 10:16 am |
  19. George

    Right now America needs to be first, especially with our stimulus money. Buy American in this critical time makes sense. Its our jobs leaving, its our tax dollars that are going to help our economy. Should we all say lets buy foreign, forget American made? We have done this for the past 30 years and now you see where we are. Fair trade is fine, but trade is trade and outsourcing is outsourcing. Trade and outsourcing jobs are not the same. Thieves in suits sell our jobs and
    get wealthier and could care less about our jobs ,families or our children's future. Then the same thieves give themselves bonuses with our money . A kid graduates from college and is told India is hiring. Lets put America first. A weak America will never be able to help the rest of the world and there are many places that do need help.

    February 20, 2009 10:20 am at 10:20 am |
  20. Debby

    This is a walk in the park for Hillary with foreign relations as she was once First Lady. I wouldn't send gaffe duck Biden he might start WW3. LOL

    February 20, 2009 10:23 am at 10:23 am |
  21. Mari

    Considering that BUSH borrowed from CHINA....... SAUDI ARABIA ( the nation whose nationals attacked us on 9/11) and Dubai, we need to 'play' nice with China!

    What people on the far-right, never seem to understand or admit is that BUSH's irresponsible spending has placed our Nation in a VERY dangerous situation! The bulk of the National debt, WHICH BUSH DOUBLED (thanks)....... is owed to China. ALL that China has to do is demand payment and we are........... DOOMED.

    BUSH took office when Pres. Clinton had balanced the budget; left BUSH a *** budget surplus***........ an economy that was growing and strong, and a National debt that Clinton had been paying DOWN!

    BUSH LEFT OBAMA A DISASTER......... BUT........ THE FAR-RIGHT CAN ONLY CONDEMN, CRITICIZE AND DEMEAN A NEW PRESIDENT DOING HIS BEST TO DIG AMERICA OUT OF THE............BUSH DISASTER...................!

    February 20, 2009 10:25 am at 10:25 am |
  22. Republicans are ankle biters

    @Larry Morono,Hillary is far from a liberal or protectionist.Her husband sold us out to the chinese,destroying our manufacturing base and outsourced millions of tech jobs to india.It created short term wealth for some,but long term hardship for working Americans.

    February 20, 2009 10:28 am at 10:28 am |
  23. Kent

    The Chinese government should be ecstatic at this economic meltdown. After all, isn't this exactly what Karl Marx said would happen? This financial crisis created by corporate greed validates the manifesto, doesn't it?

    Well perhaps China isn't communist after all. I've been there. I've seen the billboards and the toll booths. I've seen the rich in their fancy cars and the old women trying to sell heads of cabbage on their doorsteps. I've seen the huge sweatshops where young people toil seven days a week while the factory owners proudly give tours to their American customers.

    If China had stayed true to Marxism they would be completely immune to this capitalist debacle. But I guess they got greedy also.

    February 20, 2009 11:25 am at 11:25 am |
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