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World

As two major countries in the Asia-Pacific region, China and the United States are ready to strengthen their cooperation to meet various challenges and make positive contributions to promoting stability and prosperity in the region. Recognizing that maintenance of peace and stability on the Korean Peninsula is of great importance, the two countries are working through the Four-Party Talks to help establish a durable peace on the Peninsula, and will continue consultations to this end. They also stress that it is in the interest of the two countries to maintain peace and stability in other important regions, including the Middle East, the Gulf, and South Asia.

The two President agreed on a number of steps that will provide a framework for further promoting China-U.S. relations and strengthening their cooperation in international affairs.

High-level Dialogue and Consultations

China and the United States agree to regular visits by their Presidents to each other's capitals.

They agree to a Beijing-Washington presidential communications link to facilitate contact.

They also agree to regular exchanges of visits by cabinet and sub-cabinet officials to consult on political, military, security and arms control issues.

Energy and Environment Cooperation

China and the United States reaffirm the importance of bilateral cooperation across the broad range of environmental issues, as evidenced by the establishment of the China-U.S. Forum on Environment and Development in March 1997.

They consider it a critical challenge to develop and efficiently use energy sources, protect the global environment, and promote environmentally sound growth and development. Accordingly, they agree to strengthen their cooperation in energy and environment through an initiative to accelerate clean energy projects and the appropriate transfer of related technologies. The principal areas of cooperation will be in clean energy, urban air

pollution control and rural electrification. This initiative also will foster broader cooperation on global environment issues such as climate change, desertification and bio-diversity. China's State Planning Commission and the U.S. Energy Department have signed the China-U.S. initiative on Energy and Environment Cooperation to promote effective cooperation in these fields, including the use of clear energy.

Economic Relations and Trade

The two presidents are prepared to take positive and effective measures to expand China-U.S. trade and economic ties. As both economies move into the 21st century, information technology will be critical to spurring technological innovation and improving productivity. In this regard, China indicated its intention to participate as soon as possible in the Information Technology Agreement. In addition, in the context of WTO negotiations, China will continue to make further substantial tariff reduction. China and the United States agree that China's full participation in the multilateral trading system is in their mutual interest. To this end, they agree to intensify negotiations on market access,

including tariffs, non-tariff measures, services, standards and agriculture and on implementation of WTO principles so that China can accede to the WTO on a commercially meaningful basis at the earliest possible date.

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