How can he create a being that is?
Nothing that God made was made evil. That is why in Genesis we read that everything was "exceedingly good".
Evil isn't the opposite of good, evil is a shrinking, deformation, twisting of the good. And that happens through the potential enabled by volitional freedom.
The creature that God knit together in the womb of Klara Hitler wasn't an evil creature. But a human being created to bear the Divine image and likeness. That creature became evil through action and inaction, thought, feeling, and will. Because of the diminishment of human freedom and will through sin, each of us is born into the captivity of sin, which shackles the conscience and binds the will to the desires of the flesh--from which evil may freely spring. But such things are contrary to the Divine order, not part of it.
The Divine order is love, not hate. God's will for the universe is life, not death.
God cannot be evil because it is a contradiction in terms. Like a square triangle. God is good, by the sheer fact that He's God--not in some kind of Euthyphroic sense, but rather in that goodness and God are inseparable realities from one another. The endowment of good in the universe is God's energies--His acts, works, doings--present throughout the cosmos.
-CryptoLutheran