China and the Unites States should make greater efforts and explore new areas of cooperation in light of the changing situation. For example, the growing interdependence of the two economies and their impact on the global economy call for enhanced dialogue on macro-economic policies between us. Energy, food security and the environment, being growing challenges for mankind, are also issues of strategic significance that China and the United States need to tackle together. Our two countries should, in accordance with the 10 Year Energy and Environment Cooperation Framework, carry out more practical cooperation in this area.

Fourth, properly handle differences and sensitive issues in a constructive manner and prevent them from hampering the overall interests of bilateral relations. As China and the United States differ in cultural background, social system and level of development, it is only natural that we do not see eye to eye on everything. The two countries should respect and accommodate each other's core and major interests and handle issues in bilateral relations through consultations on an equal footing and in accordance with the principle of seeking common ground while putting aside differences. The question of Taiwan has always been the most important and sensitive issue in China-US relations. Recently, cross-Strait relations have shown good momentum of growth. The Chinese Government will build on this momentum and continue to work for new progress in the peaceful development of cross-Strait relations under the principle of "building mutual trust, laying aside disputes, seeking consensus while shelving differences and jointly creating a win-win situation." I want to stress, however, that no matter how the cross-Strait relations may change, the one China principle and the principles enshrined in the three China-US joint communiqué can never be changed. China hopes that the United States will honor its commitment by handling the Taiwan question cautiously and properly, and support the peaceful development of cross-Strait relations with concrete moves.

Democracy and freedom are the common pursuit of mankind. The Chinese Government is committed to the principle of putting people first and running the government for the people. The tremendous progress China has made in the field of human rights since reform and opening-up has been recognized by all. Let me give you some figures. China has joined 22 international human rights conventions. There are over 100 million religious believers and over 100,000 religious sites in China. In Tibet, there is on average one temple for every 1,600 people. China and the Untied States may have some different views on human rights or religion. The right approach to address these differences is through dialogue, not confrontation. We are ready to have dialogue with the United States on human rights, religion and other issues on the basis of equality, mutual respect and non-interference in each other's internal affairs.

Fifth, actively promote people-to-people exchanges and build stronger popular support for China-US friendship. People's need is the ultimate driving force behind state-to-state relations. The past few years have seen more and more individuals and organizations from both China and the United States getting directly involved in the development of our bilateral relations. This has offered a good opportunity to boost exchanges between people of various sectors of our two countries. We should think creatively and promote exchanges of various forms at the local level and in the business, media, academic, cultural and educational sectors, with a view to enhancing mutual understanding between the Chinese and Americans and making more people firm supporters of China-US relations. As the young generation represents the future, we should place great importance on the exchanges between the young people so that they will carry forward the cause of developing sound and stable China-US relations in the new century.

Ladies and gentlemen,

The Beijing Olympic Games will open in 10 days' time. To host the Olympic Games is a century-old dream of the Chinese people. We are confident that with our all-out effort and with the warm support from all over the world, this Olympic Games will be a great success. Here I also wish the American athletes every good luck in Beijing because they deserve it.

Ladies and gentlemen,

There is an old Chinese saying which goes, "the waves behind always drive on those before in the Yangtze River." I am confident that the opening of the Kissinger Institute on China and the United States will inspire more people to join the worthy cause of advancing China-US relations. It will also strengthen the voice of those calling for stronger relations with China in the United States. In conclusion, I wish the Kissinger Institute on China and the United States every success and China-US relations an even brighter future in the 21st century.

Thank you.