[House Hearing, 117 Congress]
[From the U.S. Government Publishing Office]




 
            THE STRATEGIC IMPORTANCE OF THE PACIFIC ISLANDS

=======================================================================

                                HEARING

                               BEFORE THE

 SUBCOMMITTEE ON ASIA, THE PACIFIC, CENTRAL ASIA, AND NONPROLIFERATION

                                 OF THE

                      COMMITTEE ON FOREIGN AFFAIRS
                        HOUSE OF REPRESENTATIVES

                    ONE HUNDRED SEVENTEENTH CONGRESS

                             FIRST SESSION

                               __________

                            October 20, 2021

                               __________

                           Serial No. 117-84

                               __________

        Printed for the use of the Committee on Foreign Affairs
        
        
        
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       Available:  http://www.foreignaffairs.house.gov/, http://
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                          ______
 
              U.S. GOVERNMENT PUBLISHING OFFICE 
 46-225 PDF             WASHINGTON : 2022 
                        
                       
                       
                       
                       
                      COMMITTEE ON FOREIGN AFFAIRS

                  GREGORY W. MEEKS, New York, Chairman

BRAD SHERMAN, California             MICHAEL T. McCAUL, Texas, Ranking 
ALBIO SIRES, New Jersey                  Member
GERALD E. CONNOLLY, Virginia         CHRISTOPHER H. SMITH, New Jersey
THEODORE E. DEUTCH, Florida          STEVE CHABOT, Ohio
KAREN BASS, California               SCOTT PERRY, Pennsylvania
WILLIAM KEATING, Massachusetts       DARRELL ISSA, California
DAVID CICILLINE, Rhode Island        ADAM KINZINGER, Illinois
AMI BERA, California                 LEE ZELDIN, New York
JOAQUIN CASTRO, Texas                ANN WAGNER, Missouri
DINA TITUS, Nevada                   BRIAN MAST, Florida
TED LIEU, California                 BRIAN FITZPATRICK, Pennsylvania
SUSAN WILD, Pennsylvania             KEN BUCK, Colorado
DEAN PHILLIPS, Minnesota             TIM BURCHETT, Tennessee
ILHAN OMAR, Minnesota                MARK GREEN, Tennessee
COLIN ALLRED, Texas                  ANDY BARR, Kentucky
ANDY LEVIN, Michigan                 GREG STEUBE, Florida
ABIGAIL SPANBERGER, Virginia         DAN MEUSER, Pennsylvania
CHRISSY HOULAHAN, Pennsylvania       AUGUST PFLUGER, Texas
TOM MALINOWSKI, New Jersey           PETER MEIJER, Michigan
ANDY KIM, New Jersey                 NICOLE MALLIOTAKIS, New York
SARA JACOBS, California              RONNY JACKSON, Texas
KATHY MANNING, North Carolina        YOUNG KIM, California
JIM COSTA, California                MARIA ELVIRA SALAZAR, Florida
JUAN VARGAS, California              JOE WILSON, South Carolina
VICENTE GONZALEZ, Texas
BRAD SCHNEIDER, Illinois

                                     
                                     
                                     
                                     

                    Sophia Lafargue, Staff Director

               Brendan Shields, Republican Staff Director
                                 ------                                

 Subcommittee on Asia, the Pacific, Central Asia, and Nonproliferation

                    AMI BERA, California, Chairman,

BRAD SHERMAN, California             STEVE CHABOT, Ohio, Ranking Member
DINA TITUS, Nevada                   SCOTT PERRY, Pennsylvania
ANDY LEVIN. Michigan                 ANN WAGNER, Missouri
CHRISSY HOULAHAN, Pennsylvania       KEN BUCK, Colorado
ANDY KIM, New Jersey                 TIM BURCHETT, Tennessee
GERALD CONNOLLY, Virginia            MARK GREEN, Tennessee
TED LIEU, California                 ANDY BARR, Kentucky
ABIGAIL SPANBERGER, Virginia         YOUNG KIM, California
KATHY MANNING, North Carolina
                   

                      Jamie Morgan, Staff Director
                      
                            C O N T E N T S

                              ----------                              
                                                                   Page

                               WITNESSES

Cefkin, the Honorable Judith Beth, Former U.S. Ambassador to the 
  Republic of Fiji, the Republic of Kiribati, the Republic of 
  Nauru, the Kingdom of Tonga,and Tuvalu.........................     8
Loi, James, Former Deputy Assistant Secretary, Bureau of East 
  Asian & Pacific Affairs, U.S. Department of State..............    18
Dayant, Alexandre, Research Fellow, Pacific Islands Program, Lowy 
  Institute......................................................    25
Paskal, Cleo, Nonresident Senior Fellow, Foundation for Defense 
  of Democracies.................................................    29

                                APPENDIX

Hearing Notice...................................................    72
Hearing Minutes..................................................    73
Hearing Attendance...............................................    74

            ADDITIONAL TESTIMONIES SUBMITTED FOR THE RECORD

Testimony of Ambassador Akillino Susaia..........................    75
Testimony of Ambassador Hersey Kyota.............................    83
Testimony of Ambassador Gerald Zackios...........................    86

             ADDITIONAL STATEMENT SUBMITTED FOR THE RECORD

Vanuata statement submitted for the record.......................    94


            THE STRATEGIC IMPORTANCE OF THE PACIFIC ISLANDS

                      Wednesday, October 20, 2021

                          House of Representatives,
                 Subcommittee on Asia, the Pacific,
                  Central Asia and Nonproliferation
                      Committee on Foreign Affairs,
                                                    Washington, DC.

    The subcommittee met, pursuant to notice, at 10:28 a.m., 
via Webex, Hon. Ami Bera (chairman of the subcommittee) 
presiding.
    Mr. Bera. The Subcommittee on Asia, the Pacific, 
Nonproliferation will come to order.
    Without objection, the chair is authorized to declare a 
recess of the committee at any point and all members will have 
5 days to submit statements, extraneous materials, and 
questions for the record, subject to the length limitation in 
the rules.
    To insert something into the record, please have your staff 
email the previously mentioned address or contact full 
committee staff.
    Please keep your function on at all times, even when you're 
not recognized by the chair. Members are responsible for muting 
and unmuting themselves, and please remember to mute yourself 
after you've finished speaking.
    Consistent with remote committee proceedings of H. Res. 8, 
staff will only mute members and witnesses as appropriate when 
they are not under recognition to eliminate background noise.
    I see we have a quorum and will now recognize myself for 5 
minutes of opening remarks.
    I want to thank our witnesses and the public for joining us 
today and for their patience as we work through a few technical 
difficulties to get this hearing started.
    This is important hearing focused on the strategic 
importance of the Pacific Islands. In advance of today's 
hearing, the Ambassadors from the Federated States of 
Micronesia, the Republic of the Marshall Islands, the Republic 
of Palau and Vanuatu submitted statements for the record.
    I ask for unanimous consent to enter their statements into 
the record. Hearing no objections, so stated.
    The United States has a long history of friendship and 
intertwined fate with the Pacific Islands, making us both 
natural partners and friends.
    Indeed, the Pacific Islands are the first stop along the 
maritime path to the Indo-Pacific, one of the most economically 
and culturally vibrant regions in the world.
    Our special relationship with the Freely Associated States 
of the Marshall Islands, Micronesia, and Palau have defined our 
security and economic presence in the Pacific, serving as an 
anchor for our engagement in Oceania.
    In addition, our people-to-people ties have only deepened 
over time as Pacific Island communities and the United States 
have continued to grow and have elevated attention to this 
important part of the world.
    The unique part of the world has incredible ecological and 
cultural diversity. Made up of some 2.3 million people spread 
across hundreds of islands, the Pacific Islands comprises an 
expanse of land that covers some 15 percent of the Earth's 
surface and its people were some of the first seafarers in the 
world demonstrating an unrivaled ability to conduct long 
distance sea travel on open ocean for trade and major 
migration.
    The Pacific Islands also boasts one of the largest 
ecosystems in the world, making home to vibrant tourism and 
fishing industries that offer unique contributions to our 
global economy.
    Given all this part of the world has to offer, I was 
particularly pleased when President Biden addressed the 51st 
session to the Pacific Islands Forum in August, the first time 
a U.S. president has addressed the Pacific Islands Forum's 
leadership meeting.
    His presence itself underscores the importance of our 
logstanding friendship. Amid these high points, I would be 
remiss not to note the Pacific Islands nations also face 
several acute challenges today, which we must support them in 
addressing.
    First and foremost is the ongoing COVID-19 pandemic. The 
region has been hit hard by the coronavirus, resulting in 
strained healthcare resources and an economic downturn through 
the impacts on the tourism industry.
    Pacific Islands countries also continue to bear the brunt 
of the impacts of global warming. With half of the small 
Pacific Islands population living within one kilometer the 
coast, of rising sea levels cause an existential threat to the 
region and its people.
    The region has also seen increasingly frequent tropical 
cyclones, floods, and other climate-related disasters, which 
have only further devastated communities and the economy. These 
challenges are an opportunity for the United States to 
demonstrate the strength of our friendship.
    I am glad that the United States has delivered vaccines and 
humanitarian aid to the Pacific Islands. But we must continue 
to help during these challenging times.
    We must also support the region in its response to climate 
change, and we need to move boldly toward our 2050 net zero 
carbon emissions pledge and toward investing in climate 
adaptation for Pacific Islands countries.
    While the Pacific Islands are at the forefront of 
confronting the existential threat of climate change, we must 
stand with them in the response as it is a global challenge 
that affects us all.
    Finally, promptly renewing the Compact of Free Association 
must be a central part of our engagement with Oceania. The 
compacts are currently scheduled to lapse for Micronesia and 
the Marshall Islands in 2023 and for Palau in 2023.
    I urge the Biden administration to prioritize these 
negotiations and to listen to our partners' needs.
    I'm also proud to say that we have taken significant steps 
in Congress toward turning several of these goals into reality. 
Earlier this year, I introduced the Honoring Oceania Act with 
Representative Don Young, which elevates the Pacific Islands in 
U.S. foreign policymaking by delivering a more robust 
diplomatic and development commitment to the region.
    I'm also an original co-sponsor of Rep. Ed Case's Blue 
Pacific Act. Ed is my good friend, fellow co-chair of the 
Pacific Islands Caucus and one of Congress' most vocal 
champions of the Pacific Islands.
    Together, our bills will expand sustainable development and 
infrastructure projects in the Pacific Islands as well as U.S. 
diplomatic and peaceful presence in the region.
    With today's hearing, I hope our friends in the Pacific 
Islands hear loud and clear that the United States remains 
committed now more than ever to this crucial part of the world 
and our panel of expert witnesses will spotlight areas of 
opportunities and challenges as we continue to work with our 
friends in the Pacific Islands.
    With that, I now yield 5 minutes to my good friend from 
Ohio, our ranking member, Representative Steve Chabot, for any 
opening comments he may have.
    Mr. Chabot. Thank you, Chairman Bera, and thank you to the 
panel who will be joining us here shortly.
    While it goes without saying that the Pacific Islands are 
strategically important, it's critical that Congress and the 
administration maintain focus on the interests that we share 
with this region and work to make sure that the U.S. is a 
reliable partner.
    This starts with fully appreciating that the United States 
is a Pacific power or, as Ms. Paskal's testimony will 
eloquently put it, that the United States itself is a Pacific 
Island nation.
    These statements are more than just empty platitudes or 
reminders that Guam and the Commonwealth of the Northern 
Marianas Islands are part of the United States.
    They point to the fact that our Exclusive Economic Zone 
directly touches Japan's, and if we include the EEZs of the 
Freely Associated States of Palau, the Federated States of 
Micronesia, and the Republic of the Marshall Islands, the 
United States is responsible for maritime territory bordering 
that of the Philippines, Papua New Guinea, and Indonesia as 
well.
    We're not separated from Asia by the Pacific Ocean. We're 
connected by it, and the Indo-Pacific isn't on the other side 
of the world. It's right next door.
    The United States' stake in the Indo-Pacific isn't just 
that of a global steward of freedom, democracy, and security, 
but also that of a neighbor. Nowhere is this more true than 
among the Pacific Island States.
    The foundation of our partnership was established really 
during the Second World War when the United States and the 
Allied power sacrificed so much to free the region from the 
brutal hegemony of an expansionist imperial power.
    Now, 70 years later, the United States is once again 
seeking to protect our neighbors from a dangerous imperialist 
state that would prefer to deal with the Pacific Islands as 
subjects rather than equals.
    Of course, nations justifiably resist being treated as 
pawns in a competition between great powers or basing their 
status and their relationships on opposition to a third party.
    That's not how the United States approaches its 
relationships with the Pacific Islands and it will not be our 
policy in the years to come.
    U.S. foreign policy toward the Pacific Islands will 
continue to be rooted in our shared interest, shared values, 
our people-to-people contacts, and our religious ties in our 
history of fighting together for freedom.
    But we must also acknowledge that the primary threat to 
these interests comes from the Chinese Communist Party and its 
ambitions targeting the Pacific.
    From infrastructure-related corruption to massive illegal, 
unregulated, and unreported fishing to the exploitation of 
unsustainable extractive industries such as logging, the 
People's Republic of China's engagement in the Pacific Islands 
all drives toward the same end.
    The PRC is trying, and all too often succeeding, at co-
opting elected officials for its own ends, enriching its 
cronies at the expense of local populations, exploiting, 
extracting material resources, and aggressively expanding its 
military footprint as part of a larger strategy to regain what 
the CCP feels is China's rightful historical status as Asia's 
regional hegemony.
    It's essential that the United States gets our policies 
right. Tens of thousands of Americans gave their lives to free 
this region because it's vital for U.S. security and 
prosperity, and while the world has, fortunately, changed a 
great deal since the Second World War, the strategic importance 
of the Pacific has only grown.
    Fortunately, the United States has plenty of tools 
available to forge stronger relationships with Pacific Island 
States. We simply need to take concerted action. For example, 
that we complete negotiations for a renewed Compact of Free 
Association with the Freely Associated States.
    As the Defense Department works to build a more resilient 
and distributed force posture in the Indo-Pacific, we should 
make full use of the compacts as well as Palau's invitation to 
host an expanded U.S. presence.
    Diplomatically, the United States needs to be present in 
the Pacific Islands and the state Department should continue 
its efforts to establish a permanent presence in countries like 
the Solomon Islands.
    Economically, the United States needs to ensure that we 
respond to the needs the Pacific Islands have identified for 
themselves. The newly associated strategic pilot begun by the 
state Department and USAID is an encouraging sign.
    So, Mr. Chairman, I look forward to discussing these 
priorities and hearing what other recommendations that this 
panel might have, and I yield back.
    Ms. Bera. Thank you, Mr. Chabot.
    Let me now go ahead and introduce our panel and the 
witnesses.
    First, we have Ambassador Judith Beth Cefkin, former U.S. 
Ambassador to Fiji, Kiribati, Nauru, Tonga, and Tuvalu. 
Ambassador Cefkin served in the Pacific Islands after a long 
and decorated career in the Foreign Service, including posts as 
Deputy Chief of Mission in Thailand and Bosnia-Herzegovina.
    Second, we have Mr. Jim Loi, former Deputy Assistant 
Secretary of state in the Bureau of East Asian and Pacific 
Affairs responsible for the Pacific Islands. Prior to that, he 
was director of East Asian Affairs at the National Security 
Council in addition to many other roles in Asia and Pacific 
affairs in government. Mr. Loi is also a former enlisted U.S. 
naval officer and he left naval service with the rank of 
commander.
    Third, we have Mr. Alexandre Dayant, research fellow on the 
Pacific Islands program at the Lowy Institute, where his 
research focuses on the Pacific Islands, which is--with a focus 
on economic challenges in the region.
    Mr. Dayant also manages the Pacific Aid Map project, which 
is a premier data-driven project tracing investment flows into 
the region. We are grateful to him for braving the harsh time 
difference from Sydney to Washington.
    Fourth, we have Ms. Cleo Paskal, nonresident at the 
Foundation for Defense of Democracies. Ms. Paskal is widely 
published and regularly engaged by governments globally on 
issues in the Indo-Pacific.
    She is also the author of an award-winning book on the 
impact environmental and economic changes will have on our 
global system.
    We thank our witnesses for joining us today, and with that, 
let me call--first call on Ambassador Cefkin for her testimony.

STATEMENT OF JUDITH BETH CEFKIN, FORMER U.S. AMBASSADOR TO THE 
  REPUBLIC OF FIJI, THE REPUBLIC OF KIRIBATI, THE REPUBLIC OF 
            NAURU, THE KINGDOM OF TONGA, AND TUVALU

    Ms. Cefkin. Mr. Chairman, Ranking Member Chabot, members of 
the committee, I'm honored to appear before you today and I 
thank you for shining a light on the Pacific Island region.
    The Pacific Island nations are our friends, our partners, 
and our neighbors. The U.S. state of Hawaii is geographically 
and culturally part of the region, as are U.S. territories 
American Samoa, Guam, and the Commonwealth of the Mariana 
Islands, and U.S. Exclusive Economic Zones, as has been 
mentioned, border those of several Pacific Island countries.
    The countries of Oceania may be small in land mass but they 
are vast in ocean space. The U.S. and the Pacific Island 
countries share an important history, particularly from the 
bonds forged through our collective sacrifices in World War 
Two.
    But whereas the threat then came from invading armed 
forces, if you ask Pacific Islanders to name their top security 
peril now, the overwhelming response you will hear is climate 
change.
    The region is especially vulnerable to the impacts of 
global warming, including sea level rise, increasingly violent 
storms, flooding, drought, and saltwater intrusion.
    The Atoll Island countries of Kiribati, the Marshall 
Islands, and Tuvalu, which exist on narrow low-lying slivers of 
land, face particularly precarious futures.
    To cite just one example of the climate impacts I witnessed 
in the South Pacific, in 2016, category five cyclone Winston 
devastated large swaths of Fiji.
    Tens of thousands of homes and hundreds of schools were 
destroyed. Forty-four people were killed, including several 
children who were literally sucked out of their parents' arms 
by storm surge.
    Given this reality, Pacific Island countries played a key 
role in the negotiation of the Paris Agreement and attach 
immense importance to implementation of that agreement. They 
will be looking for several things from the U.S. and Congress' 
role will be critical.
    One priority is achieving U.S. mitigation goals. The 
Pacific Island countries are the lowest carbon emitters, yet 
suffer the biggest impacts. So passing legislation that enables 
us to meet our emission reduction targets will be important to 
demonstrating U.S. credibility.
    A second priority is climate finance. To avoid catastrophe, 
the Pacific Islands are looking for robust financing to support 
mitigation and climate adaptation. Pacific Islanders welcomed 
President Biden's recent climate finance pledge and will now be 
watching to see whether Congress delivers.
    The Pacific Islands also hope for U.S. support adapting 
international legal frameworks to better address the 
consequences of climate change. This includes the question of 
how to handle climate refugees and how to secure their maritime 
resource entitlements under the Law of the Sea as they lose 
land from sea level rise.
    The degradation of the marine environment caused by ocean 
warming and acidification, green pollution, and illegal, 
unreported, and unregulated fishing--IUU--is another 
existential threat and one that jeopardizes global commerce and 
food security.
    This gives the U.S. a major stake in helping the Pacific 
Islands sustainably manage their marine resources. One very 
important tool in this regard is the U.S. ship rider program 
that partners the U.S. Coast Guard and Navy with Pacific Island 
enforcement officials to crack down on IUU fishing. Expanding 
this effort would be highly advantageous.
    Military cooperation has been and remains an important 
dimension of U.S.-Pacific relations. Appropriately, much of 
that cooperation focuses on building humanitarian assistance 
and disaster relief capacity and maritime domain awareness.
    This brings me to a discussion of competition with China in 
the Indo-Pacific. China's expanding presence in the region does 
raise important questions. But in deciding how we navigate this 
competition, I would emphasize two points.
    One, increased U.S.-China tensions make Pacific Island 
countries very nervous, observing that when elephants fight, 
the grass gets trampled. Pacific leaders often stress they do 
not want to be put in the middle.
    This underscores the importance of articulating an 
affirmative agenda that responds to our island partners' 
concerns.
    Two, the allocation of U.S. military resources to the 
region must be matched by robust allocation of soft power 
resources. This should include increased USAID programming and 
further strengthening our people-to-people ties.
    Peace Corps is our biggest asset in that regard. With its 
low operating costs, Peace Corps is great bang for the buck and 
should be further expanded in the Pacific.
    U.S. educational exchanges such as Fulbright are equally 
valuable. But while China provides reportedly some 100 training 
slots per year to Pacific Islanders, we currently fund only a 
handful. Surely we can do better.
    Finally, I will close by emphasizing the importance of 
senior level engagement. I, too, was very encouraged by 
President Biden's recent participation in a virtual Pacific 
Island Forum leaders meeting and I hope this presages more 
high-level engagement, and I hope that members of this 
committee will consider adding Pacific Islands to your travel 
schedule.
    Thank you again, Mr. Chairman and members of the committee, 
for this opportunity to offer this testimony. I am happy to 
take your questions.
    [The prepared statement of Ms. Cefkin follows:]
    
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    Mr. Bera. Thank you, Ambassador Cefkin.
    I will now call on Mr. Loi for his testimony.

  STATEMENT OF JAMES LOI, FORMER DEPUTY ASSISTANT SECRETARY, 
  BUREAU OF EAST ASIAN & PACIFIC AFFAIRS, U.S. DEPARTMENT OF 
                             STATE

    Mr. Loi. Chairman Bera, Ranking Member Chabot, 
distinguished members of the subcommittee, thank you for the 
opportunity to offer my perspectives on the strategic 
importance of the Pacific Islands.
    Let me also extend greetings to those from the Pacific who 
may be observing this hearing.
    Before I begin my oral remarks, I would like to state that 
the views I offer today are mine and mine alone, and not of my 
employer or any other organization with which I'm affiliated.
    I commend the committee for holding this hearing. There are 
any number of pressing matters in the Indo-Pacific that you 
could have elected to hold a hearing on. That the Pacific 
Islands made it onto the short list indicates a recognition 
that as the United States embarks on a range of efforts to up 
its game in the Indo-Pacific region that our allies, partners, 
and friends in the Pacific must be an integral part of that 
approach.
    As I noted in my prepared statement, it is, to me, 
indisputable that the Pacific Ocean is strategically important 
to the United States. Six of our top 15 goods trading partners, 
representing over one-third of total U.S. trade, are with Indo-
Pacific countries. Those goods must transit through the Pacific 
to get to and from the United States.
    The U.S. military, through Indo-Pacific Command in Hawaii, 
our forces in Guam, and forces stationed in Japan and South 
Korea transit on, over, and under the Pacific as do the supply 
lines on which they depend.
    So on their own, freedom of navigation, secure sea lines of 
communication, and unimpeded access to the Pacific in the air 
and on, under the water render the Pacific critical to U.S. 
national and economic security.
    By extension then, the Pacific island nations we are here 
to discuss today are just as critical to U.S. national 
interests. They comprise the land features that form the first, 
second, and third Island chains that serve as defensive buffers 
to threats from our west.
    They are Exclusive Economic Zones, as has been mentioned, 
covering vast swathes of the Pacific and include fishery and 
other resources that support U.S. industry and American 
livelihoods.
    They provide key support in international fora like the 
United Nations, and for those Pacific Island States eligible to 
do so, their population serve in the U.S. military at 
disproportionately high levels on a per capita basis.
    We live in a world where governments have options and in 
which we face competition for engagement, support, and access. 
The Pacific Islands are no different, and if we want to compete 
and succeed, then we must employ all the tools in our toolkit, 
not just the American toolkit but by also working with and 
leveraging the toolkits of the many allies and partners with 
whom we share interests in the Pacific.
    Now, we Americans have a tendency to see our competitors as 
being 10 feet tall and able to dunk over our heads. So I think 
it's important to recognize, while not overstating, of course, 
that we operate from a position of strength in the Pacific.
    We are a Pacific nation, not just due to the 50th state of 
Hawaii, but Americans of Pacific Islander ethnicity numbers 
some one and a half million, and this subset of our population 
has grown in every single U.S. state in between 2010 and 1920.
    These cultural ties and bonds with the Pacific Islands are 
unique and not easily replicated by our competitors. Our 
Compacts of Free Association with Palau, the Marshall Islands, 
and Federated States of Micronesia, and the territories of 
American Samoa, Guam, and Northern Marianas, if fully embraced, 
provide the United States with unmatched opportunities to 
showcase the benefits of a special relationship with the United 
States, and that, certainly, has been displayed to great degree 
during the COVID pandemic where our provision of over $90 
million in PPE, vaccines, and other health support to the U.S. 
Freely Associated States made a big difference.
    Our over $5 billion in official assistance to the Pacific 
over the past 20 years has also created depth and breadth to 
critical relationships that underpin mutual respect and 
credibility. And, of course, our military presence is unmatched 
and augmented by allied resources.
    And then, finally, of course, we share the unbreakable 
bonds of history forged during the Second World War, which also 
serve as a reminder of the mutual importance that we offer to 
each other.
    The challenge, of course, of having a strong foundation, 
however, is that can breed complacency and overconfidence. 
That, in turn, can promote a more transactional approach to 
partnership, a development that comes with added danger in an 
era of major power competition.
    The way we prevent and counteract that is through 
engagement, presence, dialog, consistency, and value added 
partnership, particularly in areas of priority interests of the 
Pacific Island governments such as climate change.
    We must declare that our relations with the Pacific Islands 
are a top U.S. priority, offer a forward-looking vision and 
roadmap that is driven not by a reflexive and reactionary 
approach to China but by our own deep-seated interests.
    I offered some suggestions in my written testimony on how 
we might do that, and I look forward to further discussion with 
the committee and happy to answer questions.
    [The prepared statement of Mr. Loi follows:]
    
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]    

     Mr. Bera. Thank you, Mr. Loi.
    I will now call on Mr. Dayant for his testimony.

STATEMENT OF ALEXANDRE DAYANT, RESEARCH FELLOW, PACIFIC ISLANDS 
                    PROGRAM, LOWY INSTITUTE

    Mr. Dayant. Thank you, Mr. Bera.
    So, Chairman Bera, Ranking Member Chabot, distinguished 
members of the subcommittee, in Australia, it is a common 
practice to start an event with a welcome to country to 
highlight the cultural significance of the surrounding area to 
a particular Aboriginal clan or language group who are 
recognized as traditional owners of the land.
    So let me begin by acknowledging the Gadigal people of the 
Eora nation, the traditional custodian of the land, where I sit 
and pay my respects to the elders past and present.
    I also would like to thank the House Foreign Affairs 
Committee for taking an interest in the Pacific and for 
inviting me to discuss the strategic importance of the Pacific 
Islands.
    First, I want to touch on how COVID-19 is affecting the 
Pacific people. The current global pandemic is impacting 
everyone in every region of the world, and trying to think 
about what's next after COVID-19 is difficult enough and 
unrealistic.
    There are some things, however, that are clear. As the 
world is coming out of COVID-19, the Pacific region faces a 
potential lost decade of economic development. Pacific Islands 
have, by and large, done a tremendous job dealing with the 
COVID-19 pandemic by walling themselves off early from the 
outside world through a bit of luck and a lot of foresight.
    Many Pacific countries are COVID-free today, and 
considering the acute vulnerabilities of stretched and, in some 
cases, broken health systems, this will be looked back on as a 
remarkable achievement.
    Unfortunately, not all countries have shared the same luck. 
In Fiji, after the deadly Delta strain entered the country via 
quarantine 10 55 12 per capita infection rates became the 
highest in the world in the middle of the year.
    Deadly infections reached more than 1,900 in mid-July, a 
huge number for a country of only 900,000 people. In the U.S., 
this would have equaled to 659,000 cases per day, almost three 
times more than during the peak of the contamination last year.
    Papua New Guinea that shares a border with Indonesia and 
that did well at the beginning of the crisis is currently 
experiencing a significant surge of COVID-19 cases and deaths, 
overwhelming the country's fragile health system.
    Today, however, Fiji's brilliant vaccination campaign has 
helped control the virus while it is still rampant in Papua New 
Guinea. So while some countries continue to deal with the 
domestic health crisis linked to COVID-19, all face severe 
economic fallout.
    All the main threads of economic reliance that connects the 
Pacific to the outside world through the migration, remittances 
made have been affected.
    On the very edge, the International Monetary Fund expects 
the economies of the region to contract as much as 10 percent. 
By the end of 2021, Fiji's gross domestic products would have 
had contracted by 23 percent, Cook Islands by 60 percent, and 
Vanuatu expects to lose 40 percent of its formal sector jobs.
    Considering how challenging it is for Pacific economies to 
grow, the region is on track to make the slowest economic 
rebound of any region in the world coming out of the pandemic.
    A report I co-wrote shows it will take almost a decade for 
the region to get back to where it was in 2019. In the 
meantime, all the other challenges the Pacific was facing 
before--demographics, climate change, service delivery, 
noncommunicable disease, transational crime, illegal fishing, 
gender-based violence, geopolitical competition, you name it--
all are set to get worse.
    The resilience of the Pacific peoples, the region's 
greatest strength, will be severely tested.
    Now, Pacific nations are not sitting idle. They are 
employing every available resources to mitigate the economic 
fallout. Donors like Australia, the IMF, the World Bank, the 
IDB, are all jumping into the fray.
    On this side, the United States has done a tremendous job 
supporting the nations of the North Pacific. But despite this, 
on current trends none of this report will come anywhere close 
to filling the void or keeping these economies on the kind of 
life support the United States has been able to provide 
domestically since March this year.
    I say all of this for two reasons. The first one is to 
instill on you all the gravity of the situation Pacific nations 
are now in, and second, to highlight the timeliness of this 
subcommittee hearing.
    The United States is an important player in the Pacific and 
a key partner to many nations in the region. The current crisis 
the Pacific faces represents an opportunity for the United 
States to reshape its position in the region and strengthen 
Washington's free and open Indo-Pacific strategy.
    With this in mind, I would be happy to take your question. 
Thank you very much.
    [The prepared statement of Mr. Dayant follows:]
    
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]    

    Mr. Bera. Great. Thank you, Mr. Dayant.
    I will now call on Ms. Paskal for her testimony.

STATEMENT OF CLEO PASKAL, NONRESIDENT SENIOR FELLOW, FOUNDATION 
                   FOR DEFENSE OF DEMOCRACIES

    Ms. Paskal. Chairman Bera, Ranking Member Chabot, members 
of the subcommittee, thank you for inviting me to testify 
today.
    I'm going to start with the strategic importance of the 
Pacific Islands to China. We have a pretty good idea why 
Beijing wants influence and more possible control in the 
Pacific Islands. It has to do with China's concept of 
comprehensive national power, or CNP.
    Adopted by Beijing in the 1990's, the CNP concept is 
embedded in Chinese think tanks and is key for understanding 
Beijing's global strategy. For the Chinese Communist Party, CNP 
is an actual number. Its researchers obsessively calculate 
every country's CNP.
    Things that add to a country's CNP, according to them, 
include access to resources, R&D, human capital, financial 
capital, influence over global rules, strategic positioning, 
and much more.
    CNP is the concept that connects the dots between Confucius 
Institutes, the artificial islands, the Belt and Road 
Initiative, and getting Americans teenagers to install TikTok 
on their phones.
    In the Pacific Islands, things that score CNP points for 
China include big items like getting a country to switch 
diplomatic recognition from Taiwan to China, as well as 
seemingly little ones, such as a Huawei data center and PNG, a 
Chinese police liaison officer in Fiji, or a legislation that 
allows online gambling in Palau.
    Coordination is facilitated by China's large embassies 
across the region with staffers who speak the local language 
and have seemingly limitless slush funds.
    Given this massive effort, the question is why does Beijing 
think Oceania is so important for its CNP, and a key reason is 
geography. A core part of China's CNP strategy is developing a 
world-class military spearheaded by the navy that's capable of 
challenging and eventually displacing America as the world's 
preeminent naval power.
    Between 2016 and 2020, the Chinese navy added the 
equivalent of Japan's entire current surface fleet and is on 
track to having nearly twice as many surface ships as the U.S. 
Navy before the end of the decade.
    The problem for China is that to use its navy it needs 
access out of its ports and into the Pacific. But looking out 
from the east coast of China, there are a series of island 
chains that can be used to block that access.
    The first island chain, roughly, stretches down Japan 
including Okinawa through Taiwan and the Philippines and is 
known as the first island chain. The second and third chains 
include Guam, the Marianas, FSM, Midway and more.
    This area saw some of the most desperate battles of World 
War Two. The chains are a problem for Chinese strategists. This 
is one reason why China is so serious about capturing Taiwan. 
They need it to break the first island chain.
    At the same time, Beijing is also trying to burrow itself 
into the second and third island chains to disrupt American 
planning and potentially attack first island chains from 
behind.
    Understanding how important breaking the chain is for the 
PLA is fundamental for understanding how the Pacific Islands 
fit into China's CNP calculations and grand strategy.
    On the U.S. side, after decades of, largely, benign 
neglect, some are realizing the importance of the region in 
large part through the efforts of many on this subcommittee and 
Representative Case.
    Bipartisan initiatives and leaderships on the Pacific 
Islands have been exemplary, including the establishment of the 
Pacific Island Caucus, the proposed Blue Pacific Act, the 
Honoring OCEANIA Act, and elements in the PDI.
    However, momentum can be easily dissipated when dealing 
with such a vast and complex area. So what should the U.S. 
prioritize? The region that is most in need of attention is 
Micronesia, which includes Guam, the Marianas, Nauru, Kiribati, 
and three U.S. Freely Associated States.
    The reasons include many of the countries have close ties 
with the U.S. Indeed, Guam is the U.S. Being closer to China, 
they're on the strategic front line. Three of the countries 
recognize Taiwan, making them major targets for Beijing. The 
recent fragmentation of the Pacific Island Forum means they're 
rethinking their regional structures and the COFAs need urgent 
resolution.
    In that context, it would make sense to work with the area 
to create a Micronesian zone of security, prosperity, and 
freedom that would knit the region together, letting its 
countries and territories reinforce each other.
    There are a series of recommendations on how to do that in 
my written testimony, including making the area a priority for 
the Quad activities including increased space for Japan and 
India, expanding bases including in Palau, and I suggested by a 
letter sent to President Biden and signed by many on the 
subcommittee to appoint a Special Envoy based out of the White 
House to coordinate interagency efforts to renew the SOFAS.
    In 1943, two Solomon Islanders helped save the life of 
future President Kennedy after his patrol boat was sunk by the 
Japanese. Benjamin Gilman, longtime chairman of the House 
Foreign Affairs Committee, flew 35 missions over Japan as a 
side gunner in a B-29 Super Fortress. Twice his plane was so 
badly damaged he would never have made it back except he could 
land it in Iwo Jima. The blood of Americans is mixed with the 
blood of Pacific Islanders in the soil and seas of Oceania.
    Ambassador Kabua, the representative of the Marshall 
Islands to the United Nations, said that when her country's 
COFA was originally concluded with the U.S., quote, ``Many in 
the U.S. Congress and government had fought in the Pacific 
during World War Two. They knew who we were, where we were, and 
why we were important,'' end quote.
    To avoid the next war, we'll have to learn that again.
    Chairman Bera, Ranking Member Chabot, members of the 
subcommittee, thank you for all of your work toward 
accomplishing this goal and for inviting me to testify today.
    [The prepared statement of Ms. Paskal follows:]
    
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]    

        
    Mr. Bera. Thank you, Ms. Paskal, and thank all the 
witnesses for their testimony. I will now recognize members for 
5 minutes each, pursuant to House rules. All time yielded is 
for the purposes of questioning our witnesses.
    Because of the virtual format of this hearing, I will 
recognize members by committee seniority, alternating between 
Democrats and Republicans. If you miss your turn, please let 
our staff know and we will circle back to you.
    If you seek recognition, you must unmute your microphone 
and address the chair verbally. And before I start recognizing 
myself, I'm going to ask for unanimous consent for 
Representative Ed Case to participate in this hearing and that 
he will be yielded 5 minutes for the purposes of questioning 
our witnesses after committee members have their opportunity to 
question any witnesses.
    Hearing no objection, so let it be stated.
    Let me start my questions and maybe I'll ask Mr. Loi 
initially. You touched on having a forward-looking agenda, and 
I couldn't agree with you more.
    You know, certainly, recognizing the Pacific Islands and 
islands of Oceania for their assets and the challenges that 
their people face and making sure they're not caught between 
what I think Ambassador Cefkin said, two elephants, two big 
nations--that this is not the United States or China, but it is 
about the people in the region, about them getting COFA 
completed and so forth.
    If you were to prioritize some of those agenda items, you 
know, where should our focus as the subcommittee but also 
Congress be?
    Mr. Loi. Thank you, Chairman.
    Well, you know, first off, you know, I think there 
definitely does need to be more resources. Diplomacy and 
engagement is a contact sport. We have to be present.
    We have to have missions and diplomatic presence in the 
countries that we do not, and Ambassador Cefkin, you know, 
represented, I think, five of them from Fiji, and COVID has 
prevented us from really representing ourselves in those States 
as well as Solomon Islands, which is covered under Papua New 
Guinea.
    So I think presence is important, which, obviously, 
requires resources and staffing. Consistency is really 
important. And yes, it was notable that President Biden 
participated virtually in the in the PIF Leaders meeting.
    Had the meeting been in person, though, I'm not sure who 
would have made it, and part of our challenge is that we're not 
consistent. Our participation varies. When I was working at the 
state Department, we were able to get Secretary Clinton to go.
    I know the Secretary of Interior went during the Trump 
administration. But it tends to vary and that has follow-on 
effects in terms of the ability to follow through.
    And then, you know, I guess, last, we have to have a 
multifaceted approach. It cannot just be security. It has to be 
economic. It has to be people to people. It has to leverage the 
many strengths that we possess that, frankly, China does not 
possess.
    And we frequently give short shrift to some of those soft 
power initiatives. I think Ambassador Cefkin mentioned the 
Peace Corps. These are things that are not easily replicated, 
but they're typically the first things that are cut.
    And then last, I would say, you know, while climate change 
is a politically divisive issue, it's not an issue that is 
debated in the Pacific Islands because they see it and feel it 
every day, and if we're not able to address their number-one 
concern, we lose credibility.
    And so we have to find a way to short circuit kind of the 
debates that we know are going to continue to happen in the 
United States but somehow ensure that we are assisting our 
Pacific Island friends and partners in ways that are meaningful 
to them.
    And, you know, that will take, obviously, you know, 
political courage and discipline, and maybe I'll just leave it 
at that.
    Mr. Bera. Great. And I know, playing on that, that we have 
some great champions in Congress, starting with Congressman 
Case, who was going to lead us on a CODEL prepandemic, which, 
you know, as we come out of this pandemic, I know he's 
certainly thinking about it. I'm thinking about it.
    And he's got champions like Congresswoman Katie Porter, who 
also I believe is having a hearing on resolving some of the 
issues with COFA and, you know, remnant nuclear testing issues 
in the region and has been a champion there.
    Maybe, Ambassador Cefkin, you'd like to play off of that a 
little bit and maybe contrast with how China's approaching the 
region and how we should approach it.
    [Audio malfunction.]
    Mr. Bera. I'm not sure we have got a great connection.
    Ms. Cefkin. I, certainly, would----
    Mr. Bera. Actually, I do not think we have got a great 
connection so maybe we'll move on.
    Ms. Cefkin [continuing]. And I would note that China has--
their other forms of engagement really been----
    [Audio malfunction.]
    Mr. Bera. I think we're losing her.
    Mr. Dayant, do you want to----
    Mr. Dayant. Yes, Chairman Bera, very rapidly. So I think, 
look, what China does in the Pacific focuses a lot on big 
infrastructure projects, big-ticket projects, and those are the 
ones that are making the headlines in the news and, clearly, 
you know, like, the Pacific needs development support and needs 
infrastructure.
    So, like, the U.S. could actually focus on other things 
like, you know, they could try--could try to complement 
Australia's support, complement other like-minded countries--
like-minded development partners in the region such as, at the 
moment, for instance, vaccine diplomacy is something.
    You know, helping the countries to get enough stocks of 
vaccines but also, like, in helping Pacific countries and the 
population of the Pacific to get the jabs in their hand--in 
their arms, because at the moment, there's a huge vaccine 
hesitancy in the region, especially in Malaysia, and having a 
proper information campaign could be something that would be 
helpful.
    Mr. Bera. Great. I notice I'm out of time. So let me go and 
recognize my good friend, the ranking member, Mr. Chabot from 
Ohio, for 5 minutes.
    Mr. Chabot. Thank you, Mr. Chairman, and Ms. Paskal, I'll 
begin with you.
    There's no question, and I think you pointed this out in 
your opening statement, that China has designs on the Pacific 
Island and we need to be very concerned about that, as well as 
a whole lot of other things with respect to China.
    Could you discuss the likely consequences if we do not 
engage more effectively with the region, particularly the 
islands that are under discussion today, and give the PRC, 
essentially, a free hand in the region? Could you--could you 
discuss that?
    Ms. Paskal. Yes. Thank you for the question.
    So there's several different ways of looking at it. One is 
strategic. Of course, strategically, it would be disastrous.
    Any military confrontation that is going to happen in Asia 
would require the U.S. to have access through the region, and 
that's not just sort of ships, but it's subs, it's the 
underwater cables, it's satellites, all that stuff, and China 
knows that.
    And as it positions itself throughout the Pacific, it's 
positioning itself to be able to cutoff all of those abilities, 
to cutoff the logistics, supplies, and the infrastructure 
needed for the U.S. to be a force for security and stability in 
the region.
    At the same time, the consequences for the people of the 
Pacific shouldn't be underestimated. There are different sorts 
of ways that China interacts. Infrastructure is one of them.
    But there's also once China gets a hold of a government, it 
tends to use its influence to try to lower visa restrictions 
for Chinese to arrive in the country, and they tend to arrive 
in and stay a very short period of time, and in the process 
they bring in often drugs, prostitution, and gambling that's 
very, very destructive for the local population.
    So the first case of human trafficking in Tonga was a 
Chinese woman who brought in other Chinese women to serve as 
prostitutes in Tonga. Very disruptive for the local population 
and it, of course, uses those prostitutes to gain influence 
over the customers through various other means as well.
    So this is totally socially corrosive at the same time as 
being strategically detrimental to the U.S. position. In every 
single way this is bad for the people of the region and for 
anybody who cares about a free and open Indo-Pacific.
    Mr. Chabot. Thank you. And talking about our engagement, 
the United States engagement in the region, when the Solomon 
Islands switched recognition from Taipei to Beijing, the United 
States did not even have an embassy in the Solomon Islands and 
I think this really does exemplify a far too lackadaisical 
approach over the years to the region. Could you discuss that 
and how should the U.S. engage more effectively and in a 
sustained way in the Pacific Island region?
    Ms. Paskal. Mr. Loi is absolutely correct and his written 
recommendations are excellent about having to be there. You 
need to show up. And there is this issue of--that's going to 
have to be reconsidered about partners.
    We can't--the Solomon Islands situation and the Kiribati 
situation showed, unfortunately, that Australia and New Zealand 
are perhaps not as on top of the situation as we had hoped and 
perhaps could use a little bit more collaboration with some 
other partners in order to make sure that things like that do 
not happen.
    I think the U.S. was taken by surprise by how far down the 
road the Solomons was and, in fact, I heard that the Solomons 
before had even considered offering basing rates to the U.S. 
and that opportunity was lost as well.
    So we need to be there. The U.S. needs to be there. It 
needs to be listening very carefully and it needs to be making 
decisions based on its own interests and not necessarily, in 
some cases, the economic interests as some of its partners, 
unfortunately.
    New Zealand, in particular, is very problematic in 
Polynesia, where some of its economic interest--short-term 
economic interests--seem to be undermining the security 
interests of the entire region.
    Mr. Chabot. Thank you.
    Ms. Paskal. So there is there--yes, there's no substitute 
for being there.
    Mr. Chabot. Thank you. I've got about a minute left and I 
wanted to get one more area in to you here. Could you discuss 
the threats posed by potential Chinese military bases or dual-
use facilities in the Pacific Islands and what such facilities 
would mean for U.S. national security?
    And also could you discuss Palau's request to host a U.S. 
military base and the advantages that that would bring to U.S. 
force posture in the region?
    Ms. Paskal. Yes. The Palau base would be very important for 
the people of Palau. First of all, it would bring in important 
revenue, but it would also make them feel much more secure.
    They're one of the few countries that still recognizes 
Taiwan and there's enormous pressure on them to try to shift. 
So it would be a statement that the current president of Palau, 
President Whipps, could use to show, look, the U.S. is with us. 
They're behind us. It would also--given its location, it's 
very, very strategic and very helpfully located. I'm not quite 
sure why that offer hasn't been taken up.
    As the Chinese goes out with these dual-use facilities that 
are built in part through the Belt and Road, they're enabling 
an ability not just to position themselves but also to deny 
access. So these are--again, these go through satellites, 
underwater cables, surface, air, subsea.
    They are looking at what happened in World War Two and 
they're not making the same mistakes Japan made. They're 
grabbing the islands while they can in a political warfare way 
before they shift to kinetic warfare, if needed.
    Mr. Chabot. Thank you very much. I yield back, Mr. 
Chairman.
    Mr. Bera. Great. Thank you, Mr. Chabot. Let me now 
recognize my good friend, the gentlelady from Nevada, Ms. 
Titus.
    Ms. Titus. Thank you very much, Mr. Chairman. You know, a 
lot of the emphasis has been on our relationship with this area 
and these islands along the defense lines and security lines.
    I'd like to shift just a little bit over to the nuclear 
legacy--you know, our testing in Bikini and Enewetakwe. Some of 
the damage that was done back in the late 1940's or 1950's 
still remains a problem.
    Would this not help our relations with that part of the 
world if we included in some of our negotiations or some of our 
assistance funding to help with the radiation and the problems 
that remain as a result of that.
    Anybody?
    Ms. Paskal. Yes, it would help.
    [Laughter.]
    Ms. Titus. Well, how should we do that? I agree, I think 
it's yes. That's why I asked the question. But how can we 
pursue that or what will be the response to it? Maybe you all 
could give me a little help here as I make this case.
    Mr. Dayant. If I may.
    Ms. Titus. Please.
    Mr. Dayant. So yes, I went to the Marshall Islands 2 years 
ago, actually, and I remember that the Dome--so, like, the 
Runit Dome where the United States has put some of, like, its 
nuclear--not waste, but, like, you know, like, the tools that 
were used to, like, do the nuclear testing and, like, 
completely, you know, did it underground, this is a big legacy 
for the United States.
    It is, like, very negatively seen in the Marshall Islands. 
The U.S. says that, and sends every year, like, a controller 
that goes and checks the dome to see the, like, how sustainable 
it is.
    Unfortunately, it is cracking. The population is a bit 
worried. But these experts say that the radioactivity is 
actually not--we shouldn't be so fearful of it.
    Now, I know that if the local population asked for one 
thing and one thing only, it would be, like, to get rid of this 
dome that is, actually, you know, that is hanging over their 
head, really. And so, like, if the United States could do 
something more--you know, something that would show that, you 
know, you want to clear this area, that would be actually 
something very, very welcome in the region.
    Ms. Titus. I know we have moved the islanders off. We moved 
them back. We had to move them off again. I represent Nevada so 
I'm kind of familiar with some of those same issues in our 
state that you're experiencing double time there. So I think we 
ought to always keep that on our agenda as we look at our 
relations.
    Mr. Dayant. Oh, look, you're completely right. I mean, I 
am--I'm French and living in Australia, about to become an 
Australian as well. And so, like, as a Frenchman, you know, 
like, my country has done a lot of nuclear testing in the 
Pacific, especially in Polynesia, and this has been, you know--
like, this has been an ongoing process.
    Like, the healing process with the French Polynesian people 
between--and the French government is, like, a very complex 
one. Not that long ago, President Macron apologized for the 
testing and there's, like, a compensation scheme that covers, 
you know, like, the health treatment that people who are 
victims of cancer or leukemia are facing.
    And the French government as kind of--you know, we tried 
for a long time to get rid of this issue by not talking about 
it, but really now it's coming back on the surface. And so this 
is something that the French government is trying to deal with 
and I think actually having a look at what the French 
government is doing now would be a good first thing to look at 
in the U.S.
    You know, like maybe trying, you know, like doing, trying 
to establish a conversation with the French government to see 
how they dealt with the situation to see if you could do 
something similar and in Runit.
    Ms. Titus. Thank you. Let's look at that, Mr. Chairman.
    Just briefly before I go, another area I think we can work 
on is the rising sea levels and climate change, and how we 
collaborate with maybe Japan and Australia to help with that 
issue of climate change.
    Thank you, Mr. Chairman. I think my time is up. I yield 
back.
    Mr. Bera. Thank you, Ms. Titus.
    Let me now recognize my good friend, the gentlelady from 
Missouri, Mrs. Wagner, for 5 minutes.
    Mrs. Wagner. I thank you, Mr. Chairman, and I thank you to 
our witnesses for their time and, certainly, their service. For 
decades, the Pacific Islands have played a central role in 
developing U.S. capabilities and extending our ability to 
protect rule of law and freedom of navigation.
    Strong relations with Pacific Island nations remain the 
backbone of U.S. security in the Indo-Pacific. Increasingly, 
the Pacific Islands are on the front lines of a Sino-U.S. 
rivalry as China attempts to erode support for Taiwan and 
pushed the borders of its spheres of influence out to the so-
called second island chain, a line that passes through the 
Marshall Islands, Guam, and Palau.
    China does not share our vision for a free and open Indo-
Pacific. It seeks to intimidate and entrap and coerce these 
countries into increasing China's prestige and furthering its 
agenda.
    As one of the co-chairs of the Pacific Island Caucus, I am 
very proud to support the special relationship that the United 
States shares with the Marshall Islands, Micronesia, and Palau.
    The United States must continue to stand together with the 
Freely Associated States in defense of our common interests. 
I'm extremely concerned about China's investment plans for 
Kiribati.
    Two years ago, the PRC used its economic clout to induce 
Kiribati to cut ties with Taiwan and instead to recognize 
Beijing. And today, China plans to use its influence to revive 
a World War Two era airstrip on a Kiribati island that would 
threaten critical sea lanes between Hawaii and Australia and 
New Zealand.
    Ms. Paskal, what are the implications of this development 
for U.S. and allied security and how should the United States 
proceed in order to prevent China from militarizing these 
important islands?
    Ms. Paskal. Thank you, Representative Wagner. That's a very 
good question, and that island, Canton, is a critical location, 
as you mentioned.
    The U.S. actually has a treaty with Kiribati that is 
supposed to prevent the militarization of that island by any 
country other than the U.S. The U.S. has a sort of--can go back 
to it but Kiribati is, technically, supposed to ask the U.S. if 
anybody else is going to use it as a military airstrip.
    Mrs. Wagner. Have they done so? Have they done so?
    Ms. Paskal. Well----
    Mrs. Wagner. Because their association with Beijing and the 
revival of this new World War Two airstrip would say that 
treaty is not being followed.
    Ms. Paskal. So as often happens in these cases, apparently, 
the Chinese just want to build it for, you know, tourism or 
something.
    Mrs. Wagner. Oh, right.
    Ms. Paskal. I do not know. Scuba diving off the coast of 
Canton. But it's a very good example of how there are a lot of 
arrows in the U.S.' quiver that aren't being used, and if 
there--if there was a larger team that could look at these 
entry points into the Pacific treaties, old treaties, and 
through these relationships and things, then we--you'd have a 
better idea of what could be done. But that's a very good clear 
example of that.
    Mrs. Wagner. Well, it is, and more has got to be done. More 
generally, China is seeking to build military--what I'll call 
dual-use infrastructure throughout the Pacific Island region 
such as piers that can accommodate Chinese navy ships.
    Ms. Paskal, what are China's dual-use infrastructure plans 
for the region and what would these facilities mean for our 
defense?
    Ms. Paskal. So there's--because of China's comprehensive 
national power approach, there are very few pieces of major 
investments by China that they do not think has a strategic 
element for their benefit.
    So it's--you can't disaggregate. It's all combined into 
this comprehensive national push, this ability to be able to 
control the other country, and it may not be as overt as a 
port. It may be funding the scholarship of one of----
    Mrs. Wagner. Right.
    Ms. Paskal [continuing]. Children of one of the leaders and 
then, you know, taping them when they're on, you know, having a 
good time in Beijing.
    Mrs. Wagner. I'm running out of time.
    Ms. Paskal. Sorry.
    Mrs. Wagner. I'm running out of time. Let me just say, 
Compacts of Free Association between the United States and the 
Marshall Islands, Micronesia, and Palau set out the terms of 
our unique relationship with these States.
    The agreements prevent our adversaries from exploiting a 
huge swath of the Pacific Ocean and guarantee the U.S. foothold 
from which to protect its interests.
    You probably will not have time, but Ambassador Cefkin, to 
what degree does China seek to undermine relations between the 
U.S. and the Freely Associated States and do PRC influence 
operations in the Pacific Islands region threaten renegotiation 
of compacts?
    Mr. Bera. I know the gentlelady's time has expired a little 
bit. But, Dr. Cefkin, if you can give a brief answer that would 
be great.
    Ms. Cefkin. Very briefly, I will say that, first and 
foremost, what motivates the Pacific Island nations in their 
relations is their need for, really, the infrastructure 
support--the development support.
    And in the case of Kiribati, that is my, you know, firm 
belief, and I've heard Kiribati's officials say the same, that 
they're really looking for infrastructure development on the 
Outer Islands and economic development.
    And so we want to match China. That, really, is an area we 
have to put more resources, and I think there's some very 
promising models that we have, you know, embarked on in joint 
partnerships with Australia, New Zealand, Japan.
    We're doing underwater cable in Palau and an electric grid 
in Papua New Guinea, and those are the kind of projects that, I 
think, can, you know, start to elevate our partnership.
    Mrs. Wagner. I appreciate that. I appreciate that. I 
appreciate the chair's indulgence. But these are all things 
that we have got to really engage in in a more comprehensive 
and strategic manner.
    So I thank you all, and I yield back.
    Mr. Bera. Great. Thank you, Mrs. Wagner.
    Let me now recognize my good friend, the gentleman from 
Michigan, Mr. Levin, for 5 minutes.
    Mr. Levin. Thank you so much, Mr. Chairman, for the great 
job you're doing covering so many important issues on this 
subcommittee and your partnership with Mr. Chabot.
    Sea levels continue to rise due to climate change and, 
unfortunately, even if we move to a carbon-free economy 
radically faster, this phenomenon will accelerate for years to 
come, possibly submerging parts of or even entire Pacific 
Island nations.
    In addition to the threat of sea level rise poses to people 
and their livelihoods, it can shrink the maritime claims of 
Pacific nations when certain land features become 
uninhabitable.
    Ambassador Cefkin, as the former Ambassador to the Republic 
of Fiji, the Republic of Kiribati, the Republic of Narau, the 
Kingdom of Tonga and Tuvalu, can you describe in more detail 
exactly what rising sea levels mean practically for people 
living on these islands, and how can the U.S. support Pacific 
Island nations in safeguarding their livelihoods and national 
infrastructure from the threats of rising sea levels?
    Ms. Cefkin. Thank you, Congressman. I'm very happy to 
address that issue, and I saw it firsthand in all my travels. 
I'd say that it's very important.
    As I mentioned, that the effects include one very 
destructive impact is saltwater intrusion, which makes already 
scarce arable land less able to support growth of any crops and 
also threatens water supplies.
    So what is really important and one thing that we really 
emphasized in my time in the South Pacific was what we were 
doing to help them build resilience, adaptation. Our AID 
programs were focused, really, almost entirely on that issue.
    And we did a lot and we leveraged it, you know, for our 
public diplomacy very effectively, but there really is, you 
know, a very great need, you know, for more funding, more 
financing, I think, through USAID, through international 
instruments such as the Adaptation Fund and Green Climate Fund 
that really is going to help them develop more resilience.
    I mean, examples of some of the projects were building 
storm shelters, very strong medical clinics that could 
withstand storms that were also--could double as shelters, 
helping them alleviate flooding coming from tidal flooding and 
even inland in some of these countries so that they could 
continue to grow their crops and have their livelihoods and be 
safe.
    One project we had was in cooperation with Habitat. It was 
in a village called Vunisavisavi in the village--the island of 
Vanua Levu and Fiji where we worked with Habitat to build 
strong homes further away from the coastline, and those homes 
sheltered those villagers during Cyclone Winston.
    But there are a lot of villages that are facing relocation 
in Fiji and the other Pacific Island nations, and that is a 
very, very emotional issue for them, having to move their 
homes--not just their homes, but their ties to their ancestors 
who are buried there. And I heard one woman say she would die 
before she would move from that location.
    So it's a very emotional issue. But the more we can do in 
terms of our funding and our work together in policy fora to 
help them address that issue, the stronger our ties and our 
friendship and our partnership will be.
    Mr. Levin. Well, thank you. And I think you can tell from 
this panel that there's really bipartisan support for us to do 
more, and so I look forward personally to working with you on 
that.
    Let me try to get one more question in. We touched on it a 
little bit earlier. But, you know, the Freely Associated States 
and in particular the Marshall Islands still experience 
radiation exposure from our cold war nuclear tests and 
continued storage of nuclear materials.
    What should the U.S. do to prevent future harm to the 
Marshallese from our nuclear materials stored on these islands 
and what solutions are there to protect people from radiation 
exposure? And, of course, this interacts with my previous 
question, and I'll open this up to any of the panelists who 
want to try to give a quick answer.
    Mr. Loi. Congressman, the short of it is it's a critical--
an issue of critical importance to the Marshallese and we can't 
ignore it, right.
    I mean, I think one of my favorite sayings from Colin 
Powell was, you know, bad news doesn't get better with time. 
And so this is not an issue that's just going to disappear on 
its own.
    Whether we can match the expectations of what the 
Marshallese expect is a different question. But much like we're 
dealing with dioxin in Vietnam, we do need to, you know, kind 
of address the issue up front, get the experts talking and 
figure out what we can do. So it does need to be an issue on 
the agenda.
    Mr. Levin. All right. With that, I guess my time is 
expired, Mr. Chairman. Thank you very much.
    Mr. Bera. Great. Thanks, Mr. Levin.
    Let me now recognize my good friend, the gentleman from 
Kentucky, Mr. Barr, for 5 minutes of questioning.
    Mr. Barr. Great. Thank you so much, Mr. Chairman. I 
appreciate your leadership in holding this hearing. I 
appreciate the testimony from our witnesses.
    And I also applaud our chairman for his engagement in a 
bipartisan way on the Blue Pacific Act and the Honoring OCEANIA 
Act, and I'd love to talk to the chairman about those pieces of 
legislation, see if I can be helpful to you on those and I want 
to turn to Ms. Paskal and her testimony.
    And you do a great job, Ms. Paskal, in your written 
testimony toward the end where you get into granular detail on 
specific recommendations.
    And so in reference to the Blue Pacific Act and the 
Honoring OCEANIA Act and the previous administration's more 
active engagement of the Pacific Islands, can you give us a 
little bit more detail on the top priorities?
    So if we were to pass legislation on Oceania and the 
Pacific Islands, what would be the absolute top key priorities 
for us to further engage those islands?
    I appreciate your testimony that we need to be 
comprehensive in our approach and not be, you know, focused 
exclusively on China. But let's face it, that's the big issue.
    So how can we--what would you say are the top three, four, 
or five pieces of engagement that we need to be focused on?
    Ms. Paskal. Thank you, Representative Barr. That's the key 
question, and the legislation is in place and it's there and 
the money seems to be floating around. The problem is that it 
isn't being targeted in a very specific way.
    And one element is what Mr. Loi brought up, which is that 
there isn't a comprehensive team within the U.S. that's looking 
at how to engage. So if you've got a pool of money for 
infrastructure, it may go into a whole bunch of different 
things that do not aggregate into something that actually helps 
the people of the region and create those bonds.
    So one is, as he said, you put people there. But the other 
is, and this hasn't really been brought up before, a lot of 
these countries have very small ministries of foreign affairs. 
So they might have five or six people dealing with everything 
from cop to defense to everything else, and they do not know 
how the U.S. works.
    So Palau tried to get around this recently by putting in 
place a national security coordinator so they would have a 
designated person to talk to the security establishment in the 
U.S. and create those bonds.
    Similar initiatives would be very helpful across the 
countries of the Pacific where you help them understand--you 
have how the U.S. works, how the U.S. systems work, and how to 
put in place individuals that can be that consistent point of 
contact for the U.S. going in so that the lines of 
communication are very entrenched.
    I would also, as we're building out the Quad, make sure 
that India is included in a lot of these issues, including with 
the funding for some of these projects because, as mentioned, 
for infrastructure, we're looking mostly now at Japan, 
Australia, and New Zealand.
    They're very expensive infrastructures. So what you end up 
with, for example, is Japan will build a hospital in Tonga and 
it'll be staffed by Chinese doctors. Through the Quad, you can 
bring in the lower cost Indian components that can help bolster 
that on-the-ground engagement that reinforce the Quad and 
reenforce the free Indo-Pacific as a whole.
    So those would be kind of two of the things that I would 
prioritize. One is making sure they know how to understand and 
talk to the U.S., and the second is bring in this other element 
of India, which can go into the sectors of the economy where 
China is currently filling in order to give them another viable 
option.
    Mr. Barr. OK. Any other--just the same question briefly to 
any of our other witnesses. What would be the top 
recommendation in any kind of Oceania engagement legislation?
    I mean, I like the Peace Corps idea, you know, but--and 
soft power. But what about DFC? Where can DFC counter Chinese 
economic influence?
    Mr. Loi. I mean, Congressman, absolutely anything on 
infrastructure, I think, is important. I mean, we do need to be 
able to offer an alternative to what China is offering. Other 
pieces of engagement that have been really popular beyond this 
Peace Corps are the Coast Guard ship rider program that 
Ambassador Cefkin mentioned.
    You know, most of the Pacific Islands do not have 
militaries, right, so the military-to-military piece can be a 
bit more difficult. And then I think the other piece of it is 
ensuring that there is a stream of funding that can't be 
disrupted on a year-to-year basis.
    Mr. Dayant. Yes. I'm sorry. If I could add to this.
    So yes, I agree completely with Mr. Loi on any type of, you 
know, Pacific Island maritime patrol that the U.S. would lead.
    But also I think it's important for the U.S. to look beyond 
the COFA States. I mean, when you look at the aid that the U.S. 
gives to the Pacific, 85 percent is directed to the Compacts--
the COFA States and I think it's----
    Ms. Cefkin. And if I may just also mention one other 
program that's very promising is the state Partnership Program. 
When I was in the Pacific we had a state partnership with the 
Nevada National Guard with Tonga and that was hugely beneficial 
to our relationship and to both our countries.
    It's now, I'm happy to say, been expanded to Fiji and 
Wisconsin Guard has taken on a partnership with PNG. But that's 
another place where you can have sustained engagement that is 
really advantageous. So that's another area, I think, to 
explore expanding.
    Mr. Barr. Well, I'm proud to represent the Kentucky 
National Guard, and I would say that the our guardsmen would 
not object to going to the South Pacific for a few--for a tour.
    [Laughter.]
    Mr. Barr. Thank you all for your testimony. I yield back.
    Mr. Bera. Thank you, Mr. Barr.
    Let me now recognize my good friend, the gentlelady from 
Pennsylvania, Ms. Houlahan, for 5 minutes.
    Ms. Houlahan. Thank you, Mr. Chair. And I second that from 
the great Commonwealth of Pennsylvania an interest definitely 
in our National Guard and a state partnership.
    My questions today are a follow-on to questions that I 
asked in a 2019 HVAC hearing on a similar subject of the 
Pacific Islands, and maybe I could see if a couple years later 
if we get some additional insight.
    For Ms. Paskal, I want--there were questions that I have. 
We have had a lot of conversation about China and the influence 
of China in the region.
    What is the United States doing to promote regional 
partnerships that would counter Chinese influence? If you could 
help us with that.
    And also, how are our trade investment and relationships in 
the Freely Associated States compared with China at this point 
in time?
    Ms. Paskal. Thank you very much. There's not a lot going 
on, especially now since the Pacific Island Forum kind of 
fragmented, which is why it may be a very nice opportunity 
actually to create a new regional structure especially within 
Micronesia, and that can be done in part right now.
    As the Ambassador knows, Kiribati and Nauru, which are 
Micronesian States, are affiliated to Fiji but if they were 
shifted up to Majuro, then that would really help consolidate 
the region and enable the people of Micronesia to become a much 
more cohesive whole in terms of access to education and health 
care and those sorts of things.
    So there's a lot of work to be done on that first part of 
your question.
    Apart from that, I would--I do not actually know how many 
of the mechanisms within the U.S. Government work. I know that 
on the ground what you're seeing is because China completely 
distorts economics for--because it is part of comprehensive 
national power and so it uses a completely different 
calculation for what is a good investment or not, it is very 
difficult to compete with them unless you educate the local 
population about what's happening and expose corruption.
    So if you create a level playing field where American 
companies can compete with Chinese companies, then it would 
involve working with the local press. In fact, as has happened 
in Australia, where a lot of dodgy dealings were uncovered and 
it really affected China's position in Australia, to help in 
the Pacific Island countries.
    So they target through the three warfares. They target the 
media. They target lawfare and they target psychological, and 
that gives a lot less room for the U.S. to operate.
    So there would need to be push back in those three areas 
first in order to create the space for the U.S. to be able to 
come in and compete and give them a viable option economically 
in the face of these distorted Chinese economics.
    Ms. Houlahan. That's really actually fascinating. I'd love 
to followup offline with you on some ideas in that area.
    My second question is somewhat related and it has to do 
with the fact that several of you all have brought up the Peace 
Corps and other sorts of educational partnerships, as well for 
the Ambassador.
    How can we advance our U.S. educational exchanges and how 
can we further our relationships with our allies? Do we need 
more funding for this or perhaps specific programming for this 
maybe in the STEM field? I'm particularly passionate about 
STEM.
    And you've noted in your testimony that China has a hundred 
training grants per year to the Pacific Islanders. Obviously, 
we, as you said, have a handful. What should we do to remain 
competitive in this space besides adding more grants? And, 
first, would start with the Ambassador, but I know many of you 
might have something to add to that.
    Ms. Cefkin. Congresswoman, yes, indeed, it is a question of 
funding. We really have excellent programs. In addition to 
Fulbright, there's the Humphrey Fellowship. Let me also mention 
the International Visitor Program, which brings aspiring 
leaders from these countries to the United States for 
exchanges.
    And to give you one concrete example, a former, now, sadly, 
deceased Prime Minister of Tonga Pohiva, he was actually 
transformed by doing one of these study grants and really rose 
to the very top levels of his government.
    So it is a question of funding and the resources, the 
people, to implement it.
    If I could maybe just add one very brief comment to your 
last question, which is to note that the U.S. has long 
supported Pacific regionalism, and I do think we need to be a 
little bit cautious that we have more to gain from Pacific 
solidarity than from encouraging fragmentation.
    We are a founding member of the Pacific community, and I 
know that even those countries that have the relations with 
Taiwan, as I say, you know, are nervous about the growing 
tensions between us and China.
    So I do think that it's in our interest to, you know, view 
the Pacific as a whole and work with the Pacific as a whole, 
notwithstanding the fact we, of course, have a special 
responsibility with the Compact countries.
    Ms. Houlahan. And I have run out of time, unfortunately, 
but would love if you all have anything to add to the record on 
either of those questions to ask that you submit that for the 
record.
    And with that, Mr. Chair, I yield back.
    Mr. Bera. Great. Thanks, Ms. Houlahan.
    And I notice we have been joined by Congresswoman Katie 
Porter. So let me ask unanimous consent for Representative 
Porter to participate in this hearing and that she'll be 
yielded 5 minutes for the purposes of questioning our witnesses 
after committee members have had the opportunity to question 
any witnesses.
    And not hearing any objections, let it be stated.
    Let me now recognize my good friend from the great state of 
California, the gentlelady, Ms. Kim.
    Ms. Kim of California. Thank you, Chairman Bera, from the 
great state of California.
    I'd also like to thank Ranking Members Chabot.
    The Pacific Islands are incredibly important to the U.S. 
economic and strategic interest in promoting security and 
prosperity in the Indo-Pacific. The Freely Associated States 
are particularly important for the United States, including 
Palau, the Marshall Islands, and Micronesia and serve as 
crucial forward operating bases for U.S. military assets to 
balance against threats in the Pacific.
    The Compacts of Free Association is crucial to maintain 
this competitive edge in the region. But renegotiations to 
renew this critical compact ahead of its expiration in 2024 
have stalled under the Biden administration.
    In June, I joined the letter to President Biden urging the 
immediate renegotiation of COFA to support the Freely 
Associated States and I would urge him again today to make this 
compact renewal a priority for his Indo-Pacific agenda.
    With China leveraging its Belt and Road Initiative and 
malign influence through the economic pressure, the United 
States is rapidly falling behind on maintaining a presence in 
Pacific Island nations.
    Ms. Paskal, can you provide insight on how the United 
States is countering the Belt and Road Initiative and other CCP 
influence operations in the Pacific Islands, especially through 
agencies like the Development Finance Corporation?
    Ms. Paskal. Thank you very much for your question, 
Representative Kim.
    There have been a lot of things announced and a few things 
have showed up on the ground, and there have been some 
collaborative projects--as mentioned, the undersea cable 
project.
    But there hasn't really been anything transformational. And 
also, as was mentioned, you know, that is how China lures a 
government into flipping. That is what happened with Kiribati.
    They came to Kiribatis with, you know, we're going to give 
you the planes that you want and all that sort of stuff, 
instead of what has been happening a lot in terms of social 
reengineering.
    So you'd get consultants coming from Australia or New 
Zealand wanting to talk about very important issues like gender 
rights, and the Chinese would say, we're going to give you 
planes instead. And then the government would say, well, planes 
are going to get me reelected but gender rights are going to 
cause me some problems domestically so I'm going to take the 
planes.
    So the scale of the way that China has comprehended the 
political dynamics of the people in the region, and I would say 
these are very smart leaders. If you look at FSM, for example, 
FSM, in the last 130 years, belonged to Spain, then Germany, 
then Japan, then the United States, and finally became 
independent.
    They've seen a lot of political disruptions, and they know 
how to play big countries off of each other. So they know what 
they need to do to try to get themselves reelected. So we need 
to really listen to them and work with them as equals in terms 
of what they need in order to, as politicians, get themselves 
reelected and so far, that really isn't happening.
    Ms. Kim of California. Thank you, Ms. Paskal.
    You know, I would like to ask you about the instability in 
the Pacific Islands Forum. Could you briefly explain how the 
United States has attempted to stabilize the situation and 
whether any outside actors have tried to exploit the situation 
for their own gain?
    Ms. Paskal. OK. So I would say that the biggest actor 
actually has been New Zealand with support from Australia and 
from France via French Polynesia. For those who do not know, 
what happened there was a leadership contest in--for the 
Pacific Island Forum, and there were two contestants.
    One was from the Marshall Islands, Ambassador Zackios, an 
excellent candidate who is current Ambassador in D.C., and from 
a country that recognizes Taiwan, and the other, Henry Puna, 
who is from the Cook Islands, affiliated to New Zealand.
    And the vote--the choice came down to one vote difference, 
and we know that New Zealand, Australia, and French Polynesia 
all voted for Puna. And the Micronesians had said, if you do 
not let us run this for once, we're going to leave, and they've 
slowly been leaving.
    So they were very clear for over a year that they felt 
marginalized in the organization, and as a result of the vote, 
they felt like they had no choice but to leave because they 
weren't being represented within the organization.
    And there are a lot--you know, if Australia or New Zealand 
or French Polynesia had flipped their vote, there would be no 
problem now in the Pacific Island Forum. They all knew what 
they were doing when they made that vote, or else they have 
very bad intelligence.
    In both cases, that's a real problem for the U.S. The 
result was five countries, including three that are in free 
association with the U.S., were cut free. So that is why the 
Micronesian countries are now thinking, OK, we're going to go 
back to the way it was before.
    There will be a South Pacific bloc and there'll be a 
Micronesia bloc, and the Micronesian bloc can become more 
cohesive and we can deal with our challenges more directly 
instead of via Canberra or Wellington as an intermediary with 
Washington.
    Which is why this is actually now an interesting opening 
for Washington to interact directly with the countries of 
Micronesia.
    Mr. Bera. Great. The gentlelady's time has expired. Thank 
you, Ms. Kim.
    Ms. Kim of California. Thank you very much.
    Mr. Bera. I do not see Congressman Sherman on camera so let 
me go ahead and recognize my good friend, the Congresswoman 
from North Carolina, Ms. Manning.
    Mr. Sherman. I'm on camera, am I not, Mr. Chairman? Can you 
hear me and see me? I have indicated video.
    Mr. Bera. We can hear you but we can't see you.
    Mr. Sherman. I'm on camera but please wait for a second 
here.
    Mr. Bera. OK.
    Mr. Sherman. There we go.
    Mr. Bera. Mr. Sherman, we'll come back to you after Ms. 
Manning.
    Ms. Manning. Thank you, Chairman Bera, and Ranking Member 
Chabot, for holding this important hearing. Thank you to our 
witnesses for being with us today. I look forward to working 
with members of the committee on ways we can reinvigorate our 
presence and key alliances in the region.
    My first question is for Mr. Loi. You noted the need to 
renew our ties to the region as memory of World War Two fades 
among the younger generations of Pacific Islanders and, most 
importantly, among Americans.
    In light of that as well as all the critical issues facing 
our country and the countries around the world whose crises 
grab the headlines every day, how can we convince the American 
public that this area requires attention and how can we improve 
the level of understanding and strategic thinking about this 
region?
    Mr. Loi. It's a great question, Congresswoman.
    I mean, look, my written statement wasn't meant to, 
certainly, diminish the history and the ties. I mean, I'm a 
Navy veteran. I've been to many of these islands when I was in 
government service. It's incredibly important.
    But we can't allow that to be kind of the foundation of our 
relationship and take it for granted in ways that we believe 
it's going to kind of just automatically sell the value and 
importance of relationship with the United States. And so, you 
know, we have to be able to work hard to win over the next 
generation.
    And I think, you know, that's part of it, but, you know, as 
I said, you know, earlier, it is about presence. It's about, 
you know, as Ms. Paskal said, we're not going to learn and 
we're not going to listen unless we're there and we're hearing 
it and we have relationships.
    And then that feeds back into the United States. Look, we 
have a fairly large population of Pacific Islanders in the 
United States. I mean, I would say to them as fellow citizens, 
right, you need to also voice your concerns and interests and 
you have to participate in our system and you have to what you 
can to make sure that those issues are elevated.
    But, look, the average American citizen is very distracted, 
understandably so. You know, whether or not they're going to be 
able to appreciate the importance in the broader strategic and 
security, you know, aspects of relations in the Pacific, it's 
difficult, right.
    I mean, I think that's something that all of us can do. 
Hopefully, that's something that you raise with your 
constituents when you get questions about why are we giving aid 
to places like this.
    Certainly, the arguments are pretty clear if you pay--even 
if you're following the issues. But it is difficult. It's 
always been difficult to explain to, you know, the average 
American why it's important for us to spend resources here. And 
I do not have a magic bullet for that other than we have to 
communicate both as leaders but then also, I think, the 
communities in question and those who have interests in the 
region can't take it for granted and they, too, have to be 
vocal.
    Ms. Manning. Thank you.
    Ms. Paskal, do you want to comment on that?
    Ms. Paskal. Yes. I think that, you know, we're thinking 
about it a lot in terms of aid. There is a lot of economic 
potential in the region and the countries in the region would 
like to--would like to just earn a living, like everybody else.
    And so there's some things that actually can be done in 
terms of trade facilitation that would make their economies a 
lot more stable, and part of that would involve protecting them 
from predatory Chinese practices that make entire sectors of 
their economy unviable.
    Like what's happening, potentially, with online gambling in 
Palau could potentially turn Palau into a major Chinese 
criminal organization hub.
    So with participation of FBI or DEA or other organizations 
like that it might be a lot easier to give them the space they 
need to develop to become more stable so that we do not 
actually have to, you know, turn to constituents and say we 
need to send them tons of money all the time.
    We can help them to become more economically stable on 
their own, which is fundamentally what they want and that goes 
back to the other question about training.
    Just very quickly, in order to give them an option that 
isn't China, it does have to be the U.S. So for training, for 
example, it might make a lot of sense to facilitate training, 
again, in India. So training a doctor in India is a lot less 
expensive than training a doctor in the U.S.
    So as part of the Quad structure bringing India in where 
appropriate for supporting these economies.
    Sorry. Thank you.
    Ms. Manning. Thank you very much.
    Very quickly, Mr. Dayant, you talked about the economic 
followup from COVID-19 including gender-based violence. How can 
the U.S. help these countries address the regions' high rates 
of violence against women?
    Mr. Dayant. Thank you very much, Madam Manning.
    I think, look, the United States can't absorb all the 
problems the Pacific has. But like as Mr. Loi said, like, you 
know, showing up and kind of interacting with people, creating 
a people-to-people connection and then, like, trying to educate 
and, like, share, like, the practices that the United States 
have, like, across the Pacific would be one way of, like, you 
know, showing the way. And I think Mr. Loi has just, like, 
mentioned it very, very clearly.
    Like, if the United States was to have, like, a big air 
base in the Pacific, of showing up, developing your own 
Ambassador to the Solomon Islands and in some other places we 
actually have a great step and responsive step----
    Ms. Manning. Thank you. My time has expired. I yield back.
    Mr. Bera. Great. Let me know--I can see my good friend from 
the great state of California, the gentleman, Mr. Sherman, for 
5 minutes of questioning.
    Mr. Sherman. Thank you, Mr. Chairman. Whether being visible 
is an improvement or not, I'll leave to the in the eye of the 
beholder. Being from Los Angeles, I understand that ``Game of 
Thrones'' was perhaps the most entertaining video and that's 
why we're all looking forward to the prequel.
    I think for many people watching this hearing, this is the 
most exciting hearing ever and people do not have to look 
forward to the prequel. I want to alert those who are watching 
that the prequel has already been made.
    It was on September 26th, 2019, when our subcommittee had a 
hearing that when I was chair and Chairman Bera was there we 
had a hearing along with the House Natural Resources 
Subcommittee on sustaining the U.S. Pacific insular relations.
    So for those who are watching, after you're done with this, 
just as you ended ``Game of Thrones,'' the prequel is awaiting 
you online.
    I would like our witnesses to go through the list of the 
independent States of the--that we're concerned with here and 
just, very quickly, give--a grade may be too flippant but just 
an indication of where each stands in terms of transparency, 
rule of law, democracy, and free press.
    I'll ask just one witness, whoever speaks up most quickly 
to go through the list and see how confident we are on those 
issues.
    Don't all speak at once.
    Mr. Dayant. Right. Well, I'll start.
    Look, I'm not going to--that's a very good question, Mr. 
Sherman. Thank you very much. I thank you for, like, this 
little information on, you know, the feature you were 
mentioning.
    So, yes. Look, freedom of press, you're right, is an issue 
in some nations of the Pacific. Actually, some journalists in 
the Pacific or, like, the people in the Pacific sometimes rely 
on the information that we have in Australia to actually get to 
know what's happening in the Pacific.
    I would not--you know, like, I can't give you a ranking of 
what is the most in France and what is the most----
    Mr. Sherman. Excuse me. I mean, there could be some 
reliance on out of area publications just because these 
countries are very small and they may not have a robust and 
sophisticated news operation. When I say freedom of the press, 
I do not mean in terms of, you know, do they have a New York 
Times.
    I'm sure, occasionally, the New York Times on any 
particular day may have the best article on what's happening in 
the Pacific. They do a very good job when they do cover it.
    But in terms of freedom of the press and human rights, what 
would you say is the biggest issue in--among the Pacific 
Islands?
    Mr. Dayant. I think--for what I understand, like, Fiji is a 
complicated place sometimes to talk about what's happening in 
government. Papua New Guinea difficult for, like, a lack of 
resources. Like, all the Pacific nations have actually 
different reasons fueling this lack of transparency in 
someplace or another.
    I do not know if my fellow commentators want to talk about 
this issue.
    Ms. Paskal. Representative, you bring up a very helpful 
point, which is that metrics that we tend to use in the rest of 
the world tend to fall apart when you look at the Pacific 
Islands because the populations are so small.
    So I could probably name all of the journalists in Tonga, 
for example. And if one of them decides to go out to lunch with 
the Chinese Ambassador then the situation has changed 
dramatically overnight.
    Mr. Sherman. That's--I've gone to lunch with the Chinese 
Ambassador as have quite a number of American journalists. If 
you told me that one-sixth of the journalists in the country 
was in jail, that would be--that would be a problem.
    Let me go on to another issue. A couple years ago, it came 
to my attention that the Marshall Islands was considering a 
crypto currency. Is that still the case?
    Mr. Loi. Congressman, I'm sorry. I do not know the answer 
that question. I'm not able to answer.
    Mr. Sherman. Well, if they had gone through it within a 
robust way, you would probably know.
    Ms. Paskal. Representative Sherman, another issue, which is 
also about the freedom of the press, in the Pacific Islands 
what's tended to happen is social media has tended to take over 
for information transfer.
    So it's very heavily used. Many people do not--they will 
not get a newspaper. They might get the radio. But they'll 
definitely use Facebook, which has been heavily used by China 
for influence operations.
    So the entire media environment----
    Mr. Sherman. The other side of freedom of the press. When 
the information is free some of it is false.
    What about democracy following the rule of law holding 
elections and what do you see----
    Ms. Paskal. So I would be very concerned at the moment 
about the Solomon Islands. There's a case--because of the 
switch to China, there's the--Premier of Malaita Province, 
Daniel Suidani, who is recently quite ill, and the central 
government essentially tried to block his access to medical 
care outside of the country and, eventually, Taiwan stepped in 
and provided medical care for him.
    And then there were rumors they were going to try him for 
treason for going--just for going to Taiwan for medical care, 
and now they're trying to get rid of him.
    So I would, personally, be very concerned about the Solomon 
Island. At the moment, the people of Malaita back him quite 
strongly.
    It's a country that has had civil unrest in the past. In 
the past, the Australians went in with a peacekeeping force. 
This time, given the current trajectory of the current 
government, I wouldn't be surprised if they asked--if something 
happened if they asked Chinese peacekeepers to come in instead.
    So the Solomon Islands is something I'd keep on your radar.
    Mr. Sherman. And so we do have a conflict between Australia 
and China if, God forbid, something like that were to happen. I 
believe my time has expired. I yield back.
    Mr. Bera. Thank you, Mr. Sherman.
    Let me now have recognize my good friend--he's really been 
a champion on issues with the Pacific Islands, the Congressman 
from Hawaii, Mr. Ed Case.
    Mr. Case. Thank you very much, Mr. Chair, Ranking Member. I 
really appreciate your allowing me to be a part of this 
critical hearing.
    I think as we have all recognized, just recognizing the 
Pacific Islands and showing up even in a virtual hearing like 
this is critical to our presence in the Pacific Islands, and I 
really am grateful for your partnership and founding and 
maintaining the congressional Pacific Islands Caucus, which 
you--both of you are co-chairs of and as well as in introducing 
and forwarding the major bills that we're pursuing from 
honoring Oceania to the Blue Pacific Act, which are both moving 
at this point and I think are responsive to many of the 
concerns that our witnesses have raised here.
    So all of that is a good solid start. But a lot of work 
still to be done, obviously.
    I want to go back to the Pacific Islands Forum, because I 
guess my big question is, are we just going to just let it go? 
We, collectively, by the way. I mean, not our country. But all 
of us that care about the Pacific Islands and care about the 
future of the Pacific Islands.
    Of course, I think and believe we would all agree that the 
regional cooperation and coordination and, as we say in Hawaii, 
ohana, family, the regional family of the Pacific Islands is 
forwarded by an organization. The Pacific Island Forum has 
served that purpose.
    And so I hope we would all agree that the risk to the forum 
posed right now is not a good thing and would be taken 
advantage of by adversaries. And yet, I think I hear a little 
bit of a disagreement among our panelists as to whether we 
should just let it go or continue to work to try to hold it 
together.
    So, Ambassador, are you still able to comment on that? Is 
it too late for the four or do we need to consider alternative 
approaches with the forum?
    And I agree with your comments, by the way. I do not 
personally want to see it replaced by, you know, three 
subregional forums, kind of subforums, although I guess they 
might have some advantages, but not in replacement for an 
overall forum style approach. Ambassador Cefkin, are you 
available? Otherwise, I will go to Ms. Paskal. What's your view 
of it?
    Ms. Paskal. Thank you. I----
    Mr. Case. I think your view--you seem to have a little bit 
more pessimistic view and I want to flesh that out a little 
bit.
    Ms. Paskal. Yes, and I should be clear. I'm not saying 
abandon the forum. I'm saying that, you know, it's looking like 
the forum is becoming what it was essentially, originally, 
which was the South Pacific Forum. So it would be the countries 
of Melanesia and Polynesia, and then Micronesia and separate.
    So it's not saying get rid of the forum. But there are pan-
regional organizations like the SPC or SPREP, for example, that 
do knit the countries together.
    What we're talking about mostly is kind of a political 
cohesion in terms of things like, for example, China. And I 
think that the operational realities of Micronesia are very, 
very different than those in the South Pacific.
    So there is an argument to be made that you can strengthen 
the family by giving different members of the family more 
control over their own say.
    The voice, as we saw with the vote in the Marshall Islands, 
we speak to anybody who's sitting in one of those embassies in 
Washington.
    They feel like they never got their voice heard and if they 
do not get their voice heard, we do not know what their 
problems are, if we do not know what their problems are we 
can't help them resolve it.
    Australia and New Zealand were acting as an intermediary 
for that messaging. So I think that, you know, that might make 
sense for Melanesia and Polynesia, but in terms of Micronesia, 
where there are the Freely Associated States and Guam and 
Saipan, I mean, you know, they let New Caledonia and French 
Polynesia in but they did not let, you know, American Samoa in.
    You know, so I think that there is an argument to be made 
that actually the region becomes stronger if you've got that 
political grouping division. But then with things like training 
and collaboration and stuff that goes through SPC or it goes 
through SPREET.
    Mr. Case. OK. Mr. Loi, do you have a view on this?
    Mr. Loi. Well, I do not think we should let it sit. But, 
you know, it would take some nuance in terms of how we engage.
    And, you know, part of it is we're not a member in the way 
that we can influence from within in a direct fashion. So it's 
indirect. And what it would take for us is to work closely 
with, you know, other parts of the region to try to help them 
realize that when they're divided like this that they all lower 
the their volume of their voice and that they should work 
together.
    This would take a process and it would take a lot of face 
to face. That's very difficult with COVID right now. But I 
agree with you, we should not just set aside. We should try to 
actively get back together.
    Mr. Case. Well, we're not a member, but it seems to me we 
have been awfully passive about it and that's the distinction.
    I mean, we cannot be a member. We can respect the decisions 
of the Pacific Islands on how to work through the forum-related 
issues.
    But we, obviously, have an interest in a regional 
organization that works and my concern is that sometimes we 
have been too passive on trying to get--trying to work with 
everybody to see whether there's a way out of this as opposed 
to just letting the forum fall apart.
    So that's, perhaps, my concern there. Anyway, my time has 
expired. I really appreciate it. Again, Chairman, Ranking 
Member, and all of our witnesses that I've worked with very 
well already in terms of the guidance, this has been a great 
hearing.
    Mr. Bera. Great. Thank you, Mr. Case.
    Let me now recognize my good friend, who's also been a 
champion on, you know, asking for a special envoy, getting 
issues with COFA resolved as well as legacy issues from nuclear 
testing, the gentlelady from the great state of California, Ms. 
Porter, is recognized for 5 minutes.
    Ms. Porter. Thank you very much. Thank you, Chair Bera, and 
other members of the committee, for allowing me to participate 
today. I'm very grateful.
    Mr. Loi, as you know, the Compacts of Free Association with 
Palau, Marshall Islands, and Micronesia are going to expire in 
the next few years, and those agreements are the foundation of 
a special relationship between our countries and they give the 
U.S. military control over a huge area of the Pacific.
    In your testimony, you say, quote, ``The U.S. Government 
engages most effectively when it does so with a clear strategic 
policy implemented through a broad, coordinated interagency 
approach and guided by focused coordination from the National 
Security Council,'' end quote.
    By my count, there are 14 different agencies that have 
important programs in the Freely Associated States. Is there an 
administration appointee on the National Security Council whose 
job is to coordinate these agencies for talks to extend the 
Compacts of Free Association?
    Mr. Loi. There is. I mean, it falls under the East Asia 
Directorate. As I also mentioned in my written testimony, there 
had been a director with Pacific Islands responsibilities in 
the Trump administration. Those responsibilities have been 
folded in under a director who has other geographic 
responsibilities.
    Ms. Porter. So there's not a dedicated person specifically 
for the Pacific Islands and COFA?
    Mr. Loi. That's my understanding, correct.
    Ms. Porter. Do you think it would help to have a specific 
person?
    Mr. Loi. I think it could help, yes. I think any time you 
have somebody whose singular focus is a particular area it's--
you know, it's harder for them to get distracted by what's 
happening, say, in Southeast Asia and elsewhere.
    And you do need that coordination. As you said, you've got 
14 agencies that have equities in the Pacific. You know, you do 
not go to a negotiating session prepared unless you have 
somebody that's coordinated all that in advance.
    And I'm not close enough now to know, you know, whether 
that is or is not the case, but it can be difficult.
    Ms. Cefkin. But I would also like to endorse that view that 
it is in our interest.
    Ms. Porter. To have someone. I mean, I think the Compact 
talks are not progressing very well. To take just one example, 
a few weeks ago, the speaker of the Marshallese legislature 
said that they will not approve a new compact that doesn't 
address the remaining outstanding issues related to U.S. 
nuclear tests. To your knowledge, Mr. Loi, is the state 
Department discussing the nuclear issue with the Marshallese?
    Mr. Loi. I'm afraid I do not know.
    Ms. Porter. You do not know. And so what I've seen from my 
end is the state Department continues to suggest that these 
issues relating to the nuclear legacy are off the table.
    And I'm chairing the hearing tomorrow on the U.S. nuclear 
legacy in my role on oversight and investigations on the 
Natural Resources Committee exactly because it's not clear to 
me that this is not holding up the negotiation, rather than 
moving it forward despite the incredible importance of COFA.
    You know, the Biden administration's priorities--you know, 
countering China, yes, rebuilding alliances, yes, by funding 
climate change, yes, racial justice, yes, restoring the U.S. 
global standing around the world, yes--those are the Biden 
administration's priorities.
    Are those priorities, in your opinion, represented in the 
Freely Associated States and extending the Compact?
    Mr. Loi. You know, I hope they are. You know, I mean, I've 
been away from these issues of government now for 5 years. So a 
lot of my information is anecdotal and secondhand.
    So I can't tell you with any degree of specificity, I'm 
afraid, Congresswoman.
    Ms. Porter. It just seems to me that when we look at those 
priorities I just listed, there are very, very few 
opportunities that the Biden-Harris administration has to 
address that many priorities in a kind of singular negotiation 
and moment, and that they ought to be appointing.
    You know, follow through and appointing a designated person 
with responsibility just for this, and they ought to take your 
advice, Mr. Loi, and run this process through the National 
Security Council so that it has the full attention of all of 
the relevant parties so we can make real progress in the COFA 
negotiations.
    Thank you for allowing me to testify, and I yield back to 
questions. Sorry. I yield back.
    Mr. Bera. Thank you, Congresswoman. And, again, thank you 
for your leadership on these issues and having an important 
hearing on the issue of COFA and legacy issues tomorrow.
    With that, it looks like everyone's had a chance to ask 
questions. I'll go ahead and make a few closing comments, and 
then turn to to my colleague, Mr. Chabot, if he has any closing 
comments.
    But I do think there are some really important takeaways 
from this hearing. Obviously, the importance of the 
relationship between the United States as well as our like-
valued allies in the region, recognizing the unique challenges 
that I think each of the witnesses really highlighted.
    But the first step is showing up, being present, engaging 
in dialog and listening to the unique issues in the region and 
addressing those issues not as part of some great power 
competition but as the unique issues of the people that live 
there, and working with the countries.
    You know, my conversations with some of the leaders of the 
Pacific Islands is that they want us there but they also--they 
want us physically there as well.
    And we do not have to do this alone. You know, we should 
work with our like-valued allies and other Pacific nations like 
New Zealand, Australia, Japan. You know, elevate the Quad, as 
one of the witnesses said. Engaging India to help address some 
of these needs.
    I think there's huge opportunities for us and, you know, I 
look forward to working with my colleagues in Congress in a 
bipartisan way as well as the administration, and I do look 
forward to that long overdue CODEL for Members of Congress to 
go visit some of the island nations and, you know, hopefully, 
with the--hopefully the last phase of this pandemic we can 
start to travel to the region again and visit those nations.
    And with that, let me recognize my good friend, the ranking 
member, Mr. Chabot, for any closing comments you might have.
    Mr. Chabot. Thank you, Mr. Chairman. I'll be very brief.
    I think this has really been an excellent hearing on a very 
important issue, and I think it's been brought up a number of 
times that the U.S. really does have deep ties to the Pacific 
Islands.
    And as the Indo-Pacific becomes increasingly important, 
those islands, the Pacific Islands, will continue to be 
critical to U.S. interests in the broader region.
    In listening to the testimony and the questions, one thing 
stands out even more clearly in my mind, and that's that the 
U.S. needs to become much more engaged with this region.
    In many ways, China is way, way more engaged with a number 
of these island nations than we are and we really need to step 
up our game and we need to do it fast because this is all 
happening very quickly.
    And so I look forward to working with you, Chairman Bera 
and Mr. Case, and all the other members, and this panel, I 
thought, was really superb. I thought Ms. Paskal was 
particularly persuasive here.
    Now, she was our witness but even if that wasn't the case, 
I really thought she did a tremendous job in setting up why the 
islands are so important, you know, the first set of islands, 
the second, the third.
    And it goes both ways. It's critical for us countering 
China. I do not want to say keeping them in a box, but keeping 
them for what is their ultimate goal, which is to be the 
hegemon in that region and then throughout the Pacific and 
probably the world.
    But it's also for countering them. It's important, because 
they want to come out and Taiwan, as we all know, is right up 
there, No. 1 in their eyes.
    So in many ways, this is a great hearing. Kind of scary, 
especially when you consider Taiwan. But it's very important 
that we pay a lot more attention to the Pacific Islands than we 
traditionally have.
    And I want to thank you for raising the awareness of that, 
Mr. Chairman, and I yield back.
    Mr. Bera. Great. Thank you, Mr. Chabot.
    As all the witnesses and folks that are watching this 
hearing can tell, this is not a partisan issue. I think 
Democrats and Republicans, all of us as Members of Congress, 
view the issue in the same way and view the importance of the 
region.
    So with that, I want to thank our witnesses and the members 
who participated in this very important virtual hearing.
    And with that, the hearing is adjourned and a virtual gavel 
is banged. Thank you.
    [Whereupon, at 12:18 p.m., the committee was adjourned.]
    
    

                                APPENDIX
                               
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                          TESTIMONY OF SUSAIA
                          
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                           TESTIMONY OF KYOTA
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                          TESTIMONY OF ZACKIOS
                          
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                           VANUATA STATEMENT
                           
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