Many Chinese in U.S. Back Trade Privileges : Foreign relations: Some business leaders hope China’s most favored nation status will open it up to democratic ideas. But activists fear the giant nation will ignore human rights issues.

Many Chinese American business leaders in Southern California expressed support for President Clinton’s decision to grant most favored nation status to China, but pro-democracy activists called it an ominous signal about human rights on the eve of the fifth anniversary of the Tian An Men Square massacre.

Many in the Chinese community with links to mainland businesses expressed hope that in addition to boosting trade, the move will open borders and expose the Chinese to democratic ideas that could spark political change down the line.

“China is loosening up; human rights are not as bad as they were before, but you have to give them time. You can’t just say, ‘Hey, you can’t do that,’ ” says Danny Joe of Hacienda Heights, who was born in mainland China and now sells communications equipment in his homeland.

Phillip Pan, manager of the Hong Kong Supermarket in Monterey Park, typifies the hesitant support that many Chinese Americans have for Clinton’s announcement.

“I think it’s a good thing to do,” Pan says. “Of course, the human rights issue is pretty important, but . . . we should not mix the issues together.”

Jim Ou, 36, a commercial appraiser shopping at the market Friday afternoon, had a different take. “Nothing has improved since Tian An Men Square happened,” Ou said. “If Clinton really enforced sanctions, something would be improved.”

Regardless of their stand on the issue, many Chinese Americans believe the Administration erred in linking most favored nation status to human rights in the first place. They say it left no graceful way out and failed to take into account Chinese concern about saving face.

“Clinton had to eat his own words,” says David Ma, a vice president in the Paris-based Federation for a Democratic China, which has an office in Monterey Park. “During his election campaign he criticized Bush for coddling the ‘butchers of Beijing’ and asked China to make significant improvements in human rights. Well, China didn’t do anything and they still got MFN.”

Angered by Clinton’s decision, several pro-democracy groups plan demonstrations in front of the Chinese Consulate in Los Angeles on June 3 and 4, the anniversary of the massacre, when police opened fire on students rallying for democracy and killed an unknown number.

But those against the decision seem to be in the minority.

“It’s very surprising. Last year people were up in arms, but this year I’ve rarely heard of an individual who doesn’t support” the status for China, said Llewellyn Chin, an Alhambra attorney active in the Chinese American community.

But Chinese Americans who support Clinton’s decision say the United States must now develop a comprehensive trade policy with China. Yen Lu Wong, whose firm, Global Consortium, consults with businesses looking to trade with China, hopes Chinese Americans can serve as bridge-builders between the two governments. She says U.S. officials need a better grounding in Chinese culture.

In San Diego, Dorothy Hom, whose family has been prominent in the Chinese American community for generations, said she endorses Clinton’s decision. Hom is a partner in the family’s real estate business; her husband, Tom, served on the City Council and in the California Assembly.

“You have to continue communicating with people if you are to help them to change,” Hom said.

But Andy Lam, owner of San Choy restaurant and a member of Mayor Susan Golding’s Asian advisory board, expressed his disappointment: “I would like it if America would push harder to make China change. Too many people died at Tian An Men Square.”

Most members of Ventura County’s growing Chinese community said Clinton had little choice but to take the action he did.

Some said Clinton should have pressed his original position, but conceded that the president faced enormous pressure from the business community to renew China’s Most Favored Nation status.

“I’m not surprised that President Clinton reversed his position,” said Allan Jue, whose family owns a grocery store in Ventura. “We have to realize that this world is shrinking and we’re dependent on each other for our economic well-being and survival. And as the old regimes begin to fade out . . . we’ll see human rights improve.”

Times staff writers Peggy Lee in Ventura County and Tony Perry in San Diego and special correspondent Deborah Sullivan in the San Gabriel Valley contributed to this story.