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casper
11-16-2009, 08:51 AM
Obama says Washington not trying to contain China
By Caren Bohan and Patricia Zengerle

SHANGHAI - U.S. President Barack Obama said he was not seeking to contain China's rise and called for more balanced trade between the two powers, which have sparred over currency and economic policy ahead of a summit.

Obama also used a town hall-style meeting in Shanghai on Monday to champion Internet freedom and human rights on the first full day of his first trip to China, but he did not mention Tibet or other sensitive issues that could have stoked ire ahead of his talks with senior officials in Beijing.

The U.S. president struck a genial note after days of swipes between the two sides over trade imbalances and China's yuan currency, which many in Washington say is so under-valued that it is warping the global economy.

"We do not seek to contain China's rise," he said before taking questions. "On the contrary, we welcome China as a strong and prosperous and successful member of the community of nations."

While billed as an opportunity for Obama to reach out to the Chinese public, the meeting bore the markings of a scripted but friendly encounter. Students dressed in suits smiled and applauded politely, and laughed when he tried Chinese.

Obama used the occasion to call for human rights and greater transparency on the Internet, which is heavily censored in China.

"These freedoms of expression and worship, of access to information and political participation, we believe are universal rights, they should be available to all people including ethnic and religious minorities," Obama told the audience.

"I'm a big supporter of not restricting Internet use," he said. "The more open we are, the more we can communicate and it also draws the world together."

His comments about the Internet were reported on the official Xinhua news agency's Chinese-language translation of the meeting.

DIFFICULT DISCUSSIONS AHEAD

Obama's day in Shanghai was a warm-up for his summit with President Hu Jintao in the capital on Tuesday, when the contention over trade, currency and economic policies will jostle for attention along with North Korea, Iran and climate change.

Obama has said he will also raise the sensitive subjects of human rights, and sometimes-tense trade ties and China's currency, seen by U.S. industry as significantly undervalued and stoking unsustainable global economic imbalances.

Obama noted that in 1979, when Washington established ties with the People's Republic of China, trade was worth several billion dollars, compared to more than $400 billion now.

"This trade could create even more jobs on both sides of the Pacific ... as demands become more balanced it can lead to even more prosperity," Obama said.

But at a gathering of Asia-Pacific leaders in Singapore over the weekend, Hu pointedly ignored international calls for his government to raise the value of the yuan and make Chinese exports relatively more expensive.