Republicans are unhappy with the pace of reforms and China's economic might Premier Wen Jiabao may find himself wading into a sea of hostility on his first visit to the US next week. Senator Jon Kyl, chairman of the powerful Senate Republican Policy Committee, issued a report that essentially outlines the thinking on Capitol Hill. And its tone makes it clear that the Bush administration will push China not only for trade concessions but will seek promises from Mr Wen to quicken the pace of democratic reforms. 'The economic relationship between the US and China is not sustainable,' Senator Kyl wrote in the report's introduction. 'China's nominally communist policies have created global financial imbalances that harm American businesses and threaten both nations' future prosperity.' The 18-page report outlines problems that Republicans, including US President George W. Bush, believe must be addressed to avoid potential conflicts in Sino-US links. 'The US granted permanent normal trade relations [PNTR] to China in 2000 with the understanding that it would liberalise its trade and macroeconomic policies, adopt the 'rule of law' and allow political and democratic reforms to take root,' Senator Kyl said. 'Not only have these predictions not been borne out, there is growing evidence that China's robust economic growth since World Trade Organisation accession may actually be retarding the economic and political reforms on which the granting of PNTR was predicated,' he said. Republicans are worried about China's growing economic power. 'If current trends persist, China will be the world's largest exporter in seven years,' Senator Kyl said. 'This could be troubling for the US: its trade deficit with China has grown by 25 per cent in two years since China's WTO accession; and it continues to block US agricultural products, subsidise exporters, engage in unfair capital controls, undervalue its currency against the US dollar, and avoid protecting intellectual property.' Republicans also are becoming increasingly disillusioned with the argument advocated by the previous Democratic administration that China can be reformed through trade and engagement. 'The suggestion that China could be reformed solely by the influence of the west has proven to be wishful thinking,' Senator Kyl said. 'Since joining the WTO, China arguably has ratcheted up its anti-democratic policies.... In December, the Bush administration will have an opportunity to address unfair practices by raising concerns with Premier Wen.... The US agenda should include China's record of trade abuse ... and holding it accountable for weapons proliferation.' The report does not necessarily mirror the administration's views, but still holds weight and indicates that hawks in Washington will do their best to make sure Mr Wen will not sleep well during his US visit.