Chi, also vice-chairman of the Central Military Commission and a state councilor, made the remarks while meeting with Vice-Admiral Paul G. Gaffney II, president of the US National Defense University, and his party.

Chi said Gaffney's visit would mark a new beginning for the national defense universities of the two countries in increasing contacts and cooperation.

Sino-US relations played an important role in maintaining peace and stability in the Asia-Pacific region and the world as well, said Chi.

"We are glad to see that Chinese President Jiang Zemin and US President George W. Bush met twice in the past year, and reached an important consensus on the Sino-US relationship of cooperation," said Chi, noting that the forthcoming visit of Chinese President Jiang to the US was of great significance in furthering ties.

Chi said history had proved that the common interests of China and the US overwhelmed their differences, therefore the two countries should strengthen contacts and cooperation.

Chi said that China wanted to develop military relations with the US in the spirit of mutual respect, mutual reciprocity and equal consultation, to further strengthen the communications and cooperation and to contribute to regional and world peace and stability.

Chi also briefed the guests on China's stance on the Taiwan issue, hoping that the US would honor its commitments and try to advance the peaceful reunification of China and properly handle the issue which had become the most important and most sensitive area of Sino-US relations, so as to avoid damaging relations.

Gaffney expressed his hope to further increase exchanges and cooperation between the military schools in a bid to promote friendly cooperative relations between the two countries and the two armed forces.

(Xinhua News Agency October 9, 2002)