October 11,2001

Senator Bob Graham,
President Barbara Harrison,
Dr. Lampton,
Mme Li Xiaolin,
Ladies and Gentlemen:

I feel honored to attend the Thirteenth Annual Washington Seminar on US-China Relations, and look forward to exchanging views with you on the past, present and future of this very important relationship.  

First of all, I would like to take this opportunity to reiterate our condemnation on the terrorist attack on the U.S. on September 11,  to express once again our deepest sympathy and solicitude to the American people and to extend our condolences to the families of the victims. In combating terrorism, the Chinese government and people have stood and will stand by the side of the American people and the international community.

On the very night of September eleventh, President Jiang Zemin sent a message to President Bush, expressing to him and through him, to the US government and people, his profound sympathy and condolences to the families of the victims.  

In accordance with the agreement between Foreign Minister Tang Jiaxuan and Secretary Colin Powell, Sino-US Anti-terrorism Expert Group held consultations in Washington on September 25. The two sides explored ways to enhance cooperation in the fight against terrorism. They agreed to continue to increase their consultations and exchanges in the anti-terrorist cooperation.

China has recently provided, within its capability, urgent assistance to Afghan refugees in Pakistan, and provided commodities worth one million RMB yuan to the emergency assistance programme of the UNHCR for the settlement of Afghan refugees.  

China voted in support for the UN General Assembly and Security Council resolutions on anti-terrorism.

On October 8, President Jiang had another telephone conversation with President Bush. He reiterated that the Chinese government has always been opposed to all types of terrorism. China backs related resolutions passed respectively by the General Assembly and the Security Council of the United Nations and supports anti-terrorism activities. President Jiang noted that President Bush has said many times that related military actions are aimed at specific targets of terrorist activities only and not against the Afghan people and Muslim, and measures will be taken to avoid injuring the innocent. The Chinese side believes that adhering to the above-mentioned principles is very important for effectively fighting terrorism.  

All these point to the plain fact that, though great changes have taken place in the aftermath of the cold war, the common interests between our two countries instead of decreasing are increasing; and the need for cooperation between our two countries is all the more important.

As the world’s largest developing country and the largest developed country, China and the US are both permanent members of the UN Security Council and nuclear weapon states. We shoulder special responsibilities for safeguarding peace and stability in the Asia-Pacific region and the world as a whole. We have worked hard and had effective cooperation in handling regional hot spots. We share common interests on many important issues which are crucial to mankind, such as promoting continued development of the global economy, preventing the spread of weapons of mass destruction, combating terrorism, drug trafficking and other transnational crimes, increasing cooperation in energy and environmental protection, and the fight against AIDS. China and the US are both important countries in the Asia-Pacific. It is our common obligation to work for peace and prosperity in the region. Instead of edging the US out, China welcomes a positive and constructive role by the US in the region, and is ready to increase cooperation with the US in regional affairs.
         
Economic cooperation and trade is another bright spot in our relations.  Together with the increase in total trade volume, which stands at $74.46 billion in 2000, US export to China has also been growing steadily, with an average annual rate of 16% in the past decade. According to Chinese statistics, during the first seven months of this year, our two way trade volume has reached $44.8 billion. It is worth noting that US export to China grew by 19.9%, rising faster than its import from China, which grew at a rate of 5.9%. US contractual investment in China now stands at $64 billion, while actual investment at 32 billion and more. China is the fourth largest trading partner of the US, and the US is the second largest trading partner of China. All these have brought about tangible benefits to our two peoples. The US export to China has created four hundred thousand high-salary posts for the American people, while China’s export to the US about one million jobs in China.
China will soon become a member of the WTO. This will not only provide new impetus to world economy, but provide greater potential for our bilateral trade and economic cooperation. From October 1st, China has gradually relaxed its control over the prices of 120 categories of commodities, leaving only thirteen categories of goods still under the price control of the Government. In the coming five years, China’s total import is estimated to reach as high as 1.4 trillion US dollars. I hope that the US business community will not miss such vast business opportunities in China.
The Ninth APEC Economic Leaders’ Meeting will be held in Shanghai next week. Both China and the US are duty bound to strengthen coordination to make the meeting a great success so as to advance the cooperation process in the Asia-Pacific. With new challenges facing the global economy, closer consultations and collaboration between our two countries in the fiscal and financial fields are particularly important for guarding against regional financial turmoil and promoting regional economic development. In this ever increasingly interwoven and interdependent world economy, China and the US are in the same boat. There will be no winner unless all are winners. We sincerely hope that the US economy will pick up soon.
Mutually beneficial exchanges between our two countries in such fields as culture, education have also expanded steadily, which helps enhance the understanding and friendship of our two peoples. According to incomplete statistics, the number of Chinese students studying in the US has reached 120,000 since 1978, while the number of American students studying in China exceeded 10,000. Over the years, the US-China Peoples Friendship Association, Chinese People’s Association for Friendship with Foreign Countries and friends from all circles have made unremitting efforts to enhance the mutual understanding and friendship between the Chinese and American peoples and advance the bilateral relations. Here I wish to express my appreciation for their hard work and valuable contributions.      
All in all, a constructive relationship of cooperation between our two countries not only serves the fundamental interests of our two countries and two peoples, but is conducive to peace, stability and prosperity in the Asia-Pacific and the world at large. China and the US have every reason to be friends, not enemies; to be partners, not rivals. The 21st century holds out great opportunities for the further development of this mutually beneficial relations. I am optimistic about the future prospect of China-US relations.          
 
There is no need for reticence that China-US relations also face  challenges in the days ahead. Among them the most important and most sensitive issue is the Taiwan question. A sound and stable China-U.S. relationship hinges up on its prudent and proper handling. In the three China-U.S. Joint Communiques, the U.S. acknowledges that there is but one China and Taiwan is part of China; the U.S. recognizes the government of the People's Republic of China as the sole legal government of China and, the U.S. does not seek to carry out a long-term policy of arms sales to Taiwan, and it intends gradually to reduce its sale of arms to Taiwan, leading, over a period of time, to a final resolution. The three joint communiques provide the bedrock of our relations, and the "one China" principle is at the very heart of them. We hope that the US side will honor the clear-cut commitments it has made, implement the one China policy and support the peaceful reunification of China. The reunification between Taiwan and the mainland is not only in the interest of the security and stability in the Asia-Pacific region, conducive to the steady development of China-US relations, but also in the best interest of the US.

Blood is thicker than water. No one in the world care more than us in bringing about a peaceful solution to the Taiwan question. Our policy of “peaceful reunification and one country, two systems”has not changed and it will not change.  By "one China", we mean there is only one China in the world, both the mainland and Taiwan are all part of China, China's sovereignty and territorial integrity are indivisible. This provides both sides of the Taiwan Straits with a common foothold and a starting point to find ways to solve their political differences on an equal footing. Unfortunately, such a reasonable proposal has been stubbornly refused by the Taiwan authorities. Since his election, Chen Shuibian has not endorsed the “one China”principle. He even refuses to recognize that he is Chinese. We hope the Taiwan authorities will acknowledge the agreement reached by the two sides in 1993, and recognizes the “one China”principle, so as to create conditions for the resumption of the cross-Straits talks.

While maintaining social stability and ethnic harmony, China has successfully lifted over two hundred million rural people out of poverty. The basic needs for food and shelter of the more than one point two billion people in the country have been by and large satisfied. About three hundred million people now enjoy a relatively comfortable life. Never before have the Chinese people enjoyed so many opportunities for education, employment, social security and medical services.

In the meantime, China has also made major progress in improving democracy and rule of law. Several hundred million rural people have participated in direct elections at the grass-roots over the past few years. Many foreign friends including Americans have seen such elections with their own eyes. In China, people enjoy freedom of speech, expression and assembly according to law. It’s not uncommon for ordinary citizen to sue government organs or officials, which is totally unthinkable 20 years ago. People with no prejudice can not but acknowledge that now is the best time in Chinese history so far as human rights are concerned.

The Chinese citizens enjoy the freedom to have religious faith and engage in religious activities in accordance with law. There are over one hundred million religious believers, eighty-five thousand religious sites, three hundred thousand religious and clerical staff, three thousand religious groups, and seventy-four religious schools and colleges. One thing, some of you may not believe, is that China print more Bibles than any other country in the world. Minority people in Tibet and other regions have enjoyed full protection of their religions, languages and customs and habits.
The average life expectancy in Tibet was only 35 years in the 1950s. Now it has risen to 67 years. It is through this and other true facts that, more and more people have come to realize that Tibet’s serf system before 1959 is not at all the Shangri-la as painted by Dalai Lama.

China and the US differ in national conditions. It is nothing strange for the two countries to have differences over such issues as human rights. Instead of seeking confrontation, we should try to enhance mutual understanding and expand consensus through dialogue. Just a few days ago, China and the US resumed inter-governmental dialogues on human rights. So long as the principles of respecting each other, treating each other as equals, non-interference in each other’s internal affairs, and seeking common ground while shelving differences are observed, we will be able to handle the differences properly and expand cooperation.  
 
Sunlight is composed of seven colors. The diversity of civilization is the basic feature of human society and also the driving force behind the progress of human civilization. I appreciate the concept of diversity in American culture. I believe diversity among states is as essential and precious as among individuals. Respect should be given to the history, culture, social system and model of development of each individual country. Different civilizations and social systems should enjoy long-term coexistence and draw upon and benefit from each other in the process of competition and comparison and achieve common development while seeking common ground and shelving differences.

Falun Gong has attracted media attention in this country. Irrefutable facts have proved that Falun Gong is an evil cult which has committed a host of serious crimes including organizing and employing cults, obstructing justice and causing human deaths. So far, more than 1,600 Chinese citizens have died, thousands more have suffered psychologically and a large number of families have been broken due to practicing Falun Gong. The Chinese Government banned the cult according to law thereby saving large number of its followers from harm, safeguarding the human rights and freedoms of the people and upholding the rule of law. The actions of the Chinese Government have won overwhelming support not only from the Chinese public, but also from many former Falun Gong practitioners. We hope the American public will respect the facts and support us in our fight against Falun Gong, which, like terrorism, is another international scourge.

Ladies and gentlemen,

Having suffered a lot from wars, turmoil, poverty and hunger, China is deeply aware of the value of peace and stability.  During the past two decades or so, our GDP has been doubled. Our next target is to double our GDP again by the middle of this century. China has made it its main task to further develop its economy and raise the living standards of the Chinese people. This requires an international environment of lasting peace. China sincerely hopes to live peacefully and cooperate with all the other countries in the world. China wants to be friend to all and enemy to none. The Chinese people have always cherished friendly feelings towards the American people. The Chinese government attaches great importance to its relations with the US and is committed to developing a constructive relationship of cooperation. This is neither a diplomatic jargon nor an expedient measure. It is instead decided by China’s national interest.  A stable and prosperous China is a blessing to world peace, stability and prosperity, China has never been, and never will become a threat to anyone,  least of all the US.

Ladies and gentlemen,

In 1784, an American merchant ship the “Empress of China”came a long way to China, leading to more than two centuries of exchanges. Despite the ups and downs, twists and turns, history has witnessed an ever growing China-US relations. With the usher in of the new century, China-US relations faces both opportunities and challenges. Now is the time to review, but more than ever, the time to plan for the future. President Jiang Zemin and President Bush will be meeting each other next week in Shanghai. I hope and believe, with the concerted effort on both sides, the meeting will be a total success and will lead China-US relations to a new height in the 21st century.

Thank you all very much.