The Senate ForeignRelations Committee will come to order. Welcome everyone, good morning. We will have senators participating both live and virtually. Since it is difficul the Senate ForeignRelations Committee will come to order. We will have senators participating live then virtually as a result of that its difficult to determine to go in ty, seniority and we both come three witnesses the assistant secretary of state and the bureau official for the European Eurasian Affairs and Principal Deputy assistant for western hemisphere fears. We appreciate you being here. We will be talking about china obviously that presents us with manyy challenges and opportunities. There has been a lot of legislation introduced and there is a bill we introduced earlier this year to bring together as many as possible so the minority introduced ase bill senator schumer is the lead sponsor but this is not a partisan issue that is an American Issue. When i put the bill togetheren originally come i did so to bring together the thought process and we consulted with a number of people on this side and on the other side and there is a lot of input from the bipartisan effort in the bill both republican and democrat i am glad to hear there has been this bill introduced by the minority hoping we can bring them all together in one bill to get behind. This is an American Issue its not partisan. July deputy secretary testified before the committee on the strategy for advancing competition with china today we take a deeper look at you a strategy in three important regions it has three objectives and first alec forward to the departments assessment of chinese impact in these regions and what its doing to secure those interest and those activities are Common Knowledge and as of the things going on that we drill down to a more important to better understand in concrete and specific turns terms and then to undermine prosperity and security and Good Governance thats an important thing to shed light on for the American People and certainly those of us who deal in these kinds of things of chinas activities virtually everywhere you go in the world china is there attempting to better the position in the strategic act it is the highest priority of the Indo Pacific Region it is for the United States and then to prioritize to expand Economic Engagement especially in Southeast Asia and the political will to examine those alliances and that it is resource properly as a proportion of the state departments budget and personnel and then to achieve regional supremacy and then to become a leading world power to impacts the other regions we are examining today and one of the major priorities is to construct the agenda but the challenges china presents we are already moving in that direction with leaders from European Countries on that hits a welcoming audience. And to uphold the integrity of International Institutions france and germany and United Kingdom were deepening their engagement in the indo pacific. N. And then to build on that together i am very encouraged and i look forward to hearing about that and other efforts today. In the western hemisphere the negative effects for the chinese influence is clear including the predatory finance mechanisms for Infrastructure Projects on the road. And with that social unrest and with the fishing practices and then to be on the lives of canadian citizens this is appalling im encouraged by the president s efforts and the willingness to collaborate to promote a more prosperous future and the accountable frameworks this is an opportunity of the coordination of thehe strategy across these different regions it is important that the strategy is articulated coherently and executed effectively thank you to the witnesses for being here who shares many of my concerns in this regard and that we can. As we have discussed we share a common view we have entered a more competitive era with china to display global ambitions and why many on this committee have concerns the strategies and policy still fall well short to answer the enormity of the challenge led by the communist Party President xi hyper nationalism is unlike any challenge we have faced as a nation before. And as we have an opportunity to discuss china is more active and assertive around the globe than ever before unfortunately during last years a trump agenda has served only in power chinese aggression and we can us influence and fail American Workers this moment demands a strong Strategic Response that can begin to rebuild American Leadership and then to outcompete china thats why i have joined with a number of my colleagues to introduce the america leads act. And invest in our values to ensure china pays a price for the predatory actions. With a comprehensive and coherent strategy with a new competitive china relationship to define those Critical Resources to mobilize all aspects of National Power with the recognition that american competitiveness starts with investment here at home science and technology and innovation and driven by the need to tool the end of one the 21st century and the broader architecture with that Indo Pacific Strategy with those partnerships with the values that make america exceptional with a tough and pragmatic realistic appraisal economic trade policies so the legislation also includes provisions with the implementation with original restrategies that china poses in europe and the western hemisphere and then the indo pacific itself. And as we discussed at the hearing i look forward to working withok him and the bipartisan approach on this issue more specific the to the hearing today are very interested in hearing from ambassador to get a sense of their perspective on their regions of responsibility in western hemisphere there is a lively debate across eu countries in europe and the United States on the right approach to china so as we are here defense in europe should be among the closest partners i dont know if anyone would argueru the distractive approach to the transatlantic to have that agenda any easier its not a good recipe for success in salting leaders across europe is not a recipe for success in the essential Building Block and its core ace strong Transatlantic Alliance does not exist as it has in the past seeking to pressure europe with our realtor it is to china 5g is the best example with the United States with those alternatives to huawai while pressuring allies. And with that Transatlantic Relations we have to endeavor to make progress i will come the call for the working group on china that is an important firstt step the details afford to this initiative the power of the American Economy and the europeanss economy has. The leverage and it could be that sole factor that moves the needle we should be laser focused to enhance that leverage to the fullest extent possible here in our own hemisphere with Economic Engagements not be viewed to the solitary lens of a zerosum game but when we fail to show up under President Trump we should not be surprised that expands at our expense whether it had punitive tariffs on the north americanr neighbors with essential American Partners has only afflicted damage when the very relationships we need to counter the more corrosive elements and the Trump Administrations results speak for themselves. Their broken diplomatic relations with taiwan in beijing. The ct Surveillance Technology the maduro regime has control over the venezuelan people and remains firmly in control and the allies in canada arrested huawai cfo for extradition to the United States the Trump Administration responded with a little more than press statements as they have a tariff to kidnap canadian citizens is the caribbean has become the epicenter of the pandemic the Trump Administration has overpromised and under delivered and those with Vaccine Access and delivery in the Development Financede corporation and with that development to better compete with china and with that rhetoric has out pasted sections to pass or pass the need for substance. And then to advance i competitiveness security and transparency senators rubio and cardin with that diplomatic and securityat assistance and those are the tools they need for chinas predatory practices. With those all bluster and tactics no strategy approach and the western hemisphere and elsewhere its clear we need a real strategy to cope so with a genuine conversation for the witnesses to develop a competence of approach to china and then to place the partnerships that reflect the fundamental values thank you mr. Chairman the first prior to his appointment as assistant secretary serving in the air force 35 years retired in 2015 Brigadier General with advisor to the joint chiefs surveying multiple tours of duty most recently serving as a director of the strategic edfocus group of the endo pacific commands on hawaii secretary stillwell the floor is yours. And with the Foreign Relations committee we appreciate the opportunity to testify before this committee to discuss a threat for the Chinese Communist party to the United States and with several Department Colleagues the fact the three of us are testifying in the geographic regions and how it is meeting to adjust the challenge. And then to lead to increasing domestic reform. And then to shatter thoser allusions. To those of the Foreign Security policy into a single beneficiary to the Chinese Communist party. The conduct is being noticed Foreign Companies in the manipulations silencing critics a broad buying or stealing or forcing this information egregious human rights abuses to destabilize revisionism to especially the global dangers of lack of transparency today we are engaging with the Chinese Communist party as itda is in the competition with the peoples republic of china dont go to conflict and then as efforts are guided by the National Security strategy around the four pillars laid out the strategy. And with that prosperity through peace through strength to advance american influence and with those Resources Data and messaging direction breaking down bureaucratic. Shifting resources with new coordination mechanisms datadriven diplomacy tools to give information and analysis theyey require and to focus specifically on china policy portfolio and in response to drastically increase their reporting on the influence tripling the cadre of those experts to identify Regional Trends in the Chinese Communist partyty behavior the battle against these activities requires messaging that is wellinformed well crafted and executed around the world. Our Public Diplomacy teams work with the peer of Public Affairs in the Global Engagement center to promote a positiveen version of leadership and expose misaligned conduct and to expose propaganda and misinformation. And then for those of the local competitors. And then to raise Global Awareness about this and we and other agencies to play new mechanisms in key areas including strategic infrastructure and commercial competition in investment screening. And then to take important measures to have with the strategy these measures include ensuring those damn students and researchers are not able from graduatelevel study in fields related to military modernization and then to partner those institutions that with the 5g networks with the interested vendors and more last month secretary pompeo focused on safeguarding citizens privacy for manipulation or p disruption also to bring transparency and reciprocity to those of malign influence with propaganda united front organizations in a sense for very we have designated usbased operations and in march we cap the number of piercing national zicam work at these outlets. And with those in appropriate activities. Now require to seek permission before meetings in large events too academic and in support of these efforts we sincerely appreciate congressional leadership and with the appropriations bill 2020 this important provision provides a flexible mechanism to bolster efforts to strengthen the resiliency to chinese malign influence worldwide. With over 400 project submissions around the globe too far outstrip the appropriate funding. If i could continue this but turning to the broader region it is paramount with that competition and then merge with the endo pacific and with that sovereignty and autonomy and pluralism of Indo Pacific States to dominate the region and support a region that is open to trade and investment free from coercion and the United States and to speak clearly of the endo pacific and south korea as well as the outlet for the pacific showing alignment across partners and to advance economic initiatives in lockstep with allies and partners like High Standard infrastructure and investment screening and many more and commercial diplomacy and then to be saddled with unsustainable debt and economic pressure to promote Good Governance and with the Transparency Initiative two years ago focusing on vectors of corruption disinformation information control enforcing security commitments to help protect sovereignty and maritime resources. And we are developing new arrangements with those likeminded partners with estonia india and japan marked a new milestone in the indo pacific and respecting taiwan with the taiwan relations act it is a commitment to the one policy including the insistence to be resolved recent visit by secretary as are they will work with ty on time once on issues such as Global Health and then further robust orwi economic ties and then to support the meaningful participation and economic organizations and then to announce a us policy and with the beijing claims to offshore resources the South China Sea as is the campaign of bowling to control them the secretary also announced for prc state owned enterprises with that construction. With all the efforts of each other countries is critical and we see results dozens of countries with those vendors from the 5g networks and seen r stricter investments in the eu and more than a dozen other countries into the top leadership position of the intellectual property men to join us at the un in the committee more more countries are taking action in the united organizations of propaganda outlets. We have really several joint statements with allies and partners many of suspended extradition training treaties to hong kong and export controls we are encouraging all countries to push transparency and reciprocity with piercy and expose those factors of influence including the state media personnel and diplomats with the state enterprises and others and in conclusion United States has an important relationship of the prc is most countries in the world were not asking her to choose between us and china but to hold beijing accountable for the maligned behavior and in theij process their own National Sovereignty and economic wellbeing. And with the rules based International System and the collective Peace Security and prosperity for generations. And supports were committed efforts thank you. And its a good tour around the issues that we deal with and theres a lot to impact. Now we turn to the ambassador led the bureau of european and edeurasian affairs and with the macedonia in to malign. And to my knowledge this is the first time the head of the European Bureau testified at a hearing on chinese influence that scope and scale weeds face from the Chinese Communist party theres been an excellent part how the they are implementing thela strategy will focus my remarks and we see the challenge in europe in coronation with allies in my europe matter so much in the era of renewed strategic competition and with the closest and oldest allies the largest export market