"These exchanges are mutually beneficial," Kong said at the regular press briefing in reply to questions on a report that a US destroyer will dock in Qingdao this month.

Sino-US military exchanges were interrupted after a collision between a US navy surveillance plane and a Chinese fighter jet on April 1 last year.

Kong said President Jiang Zemin and his US counterpart George W. Bush shared an overall review of bilateral relations when they held a summit at Bush's Texas ranch late last month.

"They reached a series of important consensus including resumption of military exchanges," Kong said, adding that the two countries are still discussing specific issues concerning the military exchange.

He added that the defense consultation between the vice-defense ministers of the two countries will also resume.

Turning to the Iraq issue, Kong reiterated that China firmly advocated a peaceful settlement of the issue through political and diplomatic means and within the framework of the United Nations.

"We think the focus of international attention is whether the latest UN Resolution 1441 on weapons inspections can be implemented in a comprehensive, strict and serious manner," said Kong, adding that the UN Security Council has never authorized the establishment of "no-fly zone" in Iraq.

In another development, Vice-Foreign Minister Wang Yi led a delegation to India yesterday for talks on resolving border disputes between the two countries.

Kong said China hopes the two sides can achieve a new consensus. He said China and India are now discussing a planned visit by Indian Prime Minister Vajpayee.

Turning to Foreign Minister Tang Jiaxuan's pending visit to Spain and Germany next week, the spokesman said Tang is expected to meet Spain's King Juan Carlos I and Prime Minister Jose Maria Aznar, and German President Johannes Rau and Chancellor Gerhard Schroeder in addition to holding talks with his Spanish and German counterparts.

(China Daily November 22, 2002)