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Comrades and friends:

Following the celebration of the 1995 New Year's Day ,people of all ethnic groups in China are now greeting the Spring Festival. On the occasion of this traditional festival of the Chinese nation, it is of great significance for Taiwan compatriots in Beijing and other related personages to gather here to discuss the future of relations between the rwo sides of the Taiwan Strait and the peaceful reunification of our motherland. On behalf of the Central Committee of the Communist Party of China and the State Council, I would like to take this opportunity to wish our 21 million compatriots in Taiwan a happy New Year and the best of Luck.

Taiwan is an integral part of China. A hundred years ago, on April 17,1895, the Japanese imperialists, by waging a war against the corrupt government of the Qing Dynasty, forced it to sign the Shimonoseki Treaty of national betrayal and humiliation. Under the treaty, Japan seized Taiwan and the Penghu Islands, subjecting the people of Taiwan to its colonial rule for half a century. The Chinese people will never forget this humiliating chapter of our history. Fifty years ago, together with the people of other countries, the Chinese people defeated the Japanese imperialists. October 15,1945 saw the return of Taiwan and the Penghu Islands to China and marked the end of Japan's colonial rule over our compatriots in Taiwan. However, for reasons known to all, Taiwan has been severed from the Chinese mainland since 1949. It remains the inviolable mission and lofty goal of the Chinese people to achieve the reunification of their motherland and promote an all-round revitalization of the nation.

Since the Standing Committee of the National People's Congress issued its "Message to the Taiwan Compatriots" in January, 1979, we have formulated the basic principles of peaceful reunification and "one country, two systems" and a series of policies towards Taiwan. Comrade Deng Xiaoping, the chief architect of China's reform and opening to the outside world, is also the inventor of the great concept of "one country, two systems." With foresight and seeking truth from facts, he put forward a series of important theories and ideas concerning the settlement of the Taiwan question that reflect distinct features of the times and defined guiding principles for a peaceful reunification of the motherland.

Comrade Deng Xiaoping has pointed out that the core of the issue is the reunification of the motherland. All descendants of the Chinese nation wish to see China reunified. It is against the will of the nation to see it divided. There is only one China, and Taiwan is a part of China. We will never allow there to be "two Chinas" or "one China, one Taiwan." We firmly oppose the independence of Taiwan." There are only two ways to settle the Taiwan question: one is by peaceful means and the other is by non-peaceful means. The way the Taiwan question is to be settled is China's internal affair and brooks no foreign interference. We consistently stand for achieving reunification by peaceful means and through negotiations. But we will not undertake not to use force. Such commitment would only make it impossible to achieve a peaceful reunification and could only lead to the eventual settlement of the question by the use of force.

After Taiwan is reunified with the mainland, China will pursue the policy of "one country, two systems." The main part of the country will adhere to the socialist system, while Taiwan will retain its current system. "Reunification does not mean that the mainland will swallow up Taiwan, nor does it mean that Taiwan will swallow up the mainland." After Taiwan's reunification with the mainland, its social and economic systems will not change, nor will its way of life and its nongovernmental relations with foreign countries. This means that foreign investments in Taiwan and non-governmental exchanges between Taiwan and other countries will not be affected.

As a special administrative region, Taiwan will exercise a high degree of autonomy and enjoy legislative and independent judicial power, including that of final adjudication. It may also retain its armed forces and administer its party, governmental and military systems by itself. The central government will not station troops or send administrative personnel there. What is more, a number of posts in the central government will be made available to Taiwan.

The past decade and more has witnessed a vigorous expansion in cross-strait visits by individuals and exchanges in science, technology, culture, academic affairs, sports and other fields under the guidance of the basic principle of peaceful reunification and "one country, two systems," and through the concerted efforts of compatriots on both sides of the Taiwan Strait and in Hong Kong and Macao and Chinese residing abroad.

A situation in which the economies of the two sides promote, complement and benefit each other is taking shape. Establishment of direct links between the two sides for postal, air and shipping services at an early date not only represents the strong desire of vast numbers of compatriots in Taiwan, particularly industrialists and businessmen, but has also become an actual requirement for future economic development in Taiwan. Progress has been registered in negotiations on specific issues, and the "Wang Daohan-Koo Chenfu talks" represent an important historic step forward in relations between the two sides.

However, what the Chinese people should watch out for is the growing separatist tendency and the increasingly rampant activities of forces on the island working for the "independence of Taiwan" in recent years. Certain foreign forces have further meddled in the issue of Taiwan, interfering in China's internal affairs. All this not only impedes the process of China's peaceful reunification, but also threatens peace,stability and development in the Asia-Pacific region.

The current international situation is still complex and volatile, but in general it is moving towards relaxation. All countries in the world are working out their economic strategies for the future and regard it as a task of primary importance to increase their overall national strength so as to take up their proper places in the world in the next century. We are pleased to see that the economies of both sides are growing. In 1997 and 1999 China will resume its exercise of sovereignty over Hong Kong and Macao respectively,which will be happy events for the Chinese of all ethnic groups,including our compatriots in Taiwan.

The Chinese nation has experienced many vicissitudes and hardships, and now is high time to accomplish reunification of the motherland and revitalize the nation. This means an opportunity for Taiwan;it also means an opportunity for the entire Chinese nation. Here, I would like to state the following views and propositions on a number of important questions that have a bearing on the development of relations between the two sides and the promotion of a peaceful reunification of the motherland:

1. Adherence to the principle of one China is the basis and premise for peaceful reunification. China's sovereignty and territory must never be allowed to suffer division. We must firmly oppose any words or actions aimed at creating the "independence of Taiwan" and propositions that run counter to the principle of one China such as "two split sides with separate administrations," "two Chinas over a period of time"and so on.

2. We do not challenge development of non-governmental economic and cultural ties by Taiwan with other countries. Under the principle of one China and in accordance with the charters of relevant international organizations, Taiwan has become a member of the Asian Development Bank, the Asia-Pacific Economic Cooperation Forum and other international economic organizations in the name of "Chinese Taipei." However, we oppose Taiwan's activities in "expanding" its "international living space" which aim to create "two Chinas" or "one China, one Taiwan." All patriotic compatriots in Taiwan and other people of insight understand that, instead of solving problems, such activities can only help forces working for the "independence of Taiwan" undermine the process of peaceful reunification. Only after peaceful reunification is accomplished can Taiwan compatriots truly and fully share the international dignity and honor attained by our great motherland with other Chinese.

3. It has been our consistent stand to hold negotiations with the Taiwan authorities on the peaceful reunification of the motherland. Representatives from various political par-ties and mass organizations on both sides of the Taiwan Strait can be invited to participate in such talks. I said in my report at the 14th National Congress of the Communist Party of China held in October 1992, "On the premise that there is only one China, we are prepared to talk with the Taiwan authorities about any matter, including the form that official negotiations should take, a form that would be acceptable to both sides." By "on the premise that there is only one China, we are prepared to talk with the Taiwan authorities about any matter," we mean, naturally, that all matters of concern to the Taiwan authorities are included. We have proposed time and again that negotiations should be held on officially ending the state of hostility between the two sides and accomplishing peaceful reunification in a step-by-step way. Here again I solemnly propose that such negotiations be held. I suggest that, as the first step, negotiations should be held and an agreement reached on officially ending the state of hostility between the two sides in accordance with the principle that there is only one China. On this basis, the two sides should undertake jointly to safeguard China's sovereignty and territorial integrity and map out plans for the future development of their relations. As for the name, place and form of such political talks, a solution acceptable to both sides can certainly be found so long as consultations on an equal footing can be held at an early date.

4. We should strive for a peaceful reunification of the motherland since Chinese should not fight Chinese. Our not undertaking to give up the use of force is not directed against our compatriots in Taiwan, but against the schemes of foreign forces to interfere with China's reunification and to bring about the "independence of Taiwan." We are fully confident that our compatriots in Taiwan, Hong Kong and Macao and all Chinese residing overseas would understand this principled position of ours.

5. In face of the development of the world economy in the 21st century, great efforts should be made to expand economic exchanges and cooperation between the two sides so as to achieve prosperity for both to the benefit of the entire nation. We maintain that political differences should not affect or interfere with economic cooperation between the two sides. We will continue to implement over a long period of time the policy of encouraging industrialists and businessmen from Taiwan to invest in the mainland and enforce Law of the People's Republic of China for Protecting Investments of Taiwan Compatriots. We will safeguard the legitimate rights and interests of industrialists and businessmen from Taiwan under whatever circumstances. We should continue to expand contacts and exchanges between our compatriots on both sides so as to increase mutual understanding and trust. Since direct links for postal, air and shipping services and trade between the two sides are an objective requirement for their economic development and contacts in various fields, and since such links serve the interests of people on both sides, it is absolutely necessary to adopt practical measures to speed up the establishment of such direct links. Efforts should be made to promote negotiations on specific issues between the two sides. We are in favor of conducting this kind of negotiations on the basis of reciprocity and mutual benefit and signing non-governmental agreements on the protection of the rights and interests of industrialists and businessmen from Taiwan.

6. The splendid culture of 5,000 years created by the sons and daughters of all ethnic groups of China has become ties that keep the entire Chinese people close at heart. It constitutes an important basis for a peaceful reunification of the motherland. People on both sides of the Taiwan Strait should jointly inherit and carry forward the fine traditions of Chinese culture.

7. The 21 million compatriots in Taiwan, whether born there or from other provinces, are all Chinese. They are our own flesh and blood. We should fully respect their lifestyle and their wish to be the masters of their own destiny and protect all their legitimate rights and interests. Relevant departments of our government including agencies stationed abroad should strengthen contacts with compatriots from Taiwan, listen to their views and wishes, care for and look after their interests and make every effort to help them solve their problems. We hope Taiwan Island enjoys social stability, economic growth and a high living standard. We also hope all political parties in Taiwan will adopt a sensible, forward-looking and constructive attitude and promote the expansion of relations between the two sides. All parties and personages of all circles in Taiwan are welcome to exchange views with us on relations between the two sides and on peaceful reunification. They are also welcome to visit and tour the mainland. History will remember the deeds of all personages from various circles who contribute to the reunification of China.

8. Leaders of the Taiwan authorities are welcome to visit the mainland in appropriate capacities. We are also ready to accept invitations to visit Taiwan. The two sides can discuss state affairs or exchange ideas on some questions first. Even a simple visit to the other side will be useful. The affairs of the Chinese people should be handled by Chinese themselves, something that does not take an international occasion to accomplish. The Taiwan Strait is narrow and people on both sides eagerly look forward to meeting each other. They should exchange visits instead of being kept from seeing each other all their lives.

Our compatriots in Hong Kong and Macao and all Chinese residing abroad have made dedicated efforts to promote closer relations between the two sides, the reunification of the motherland and revitalization of the nation. Their contributions will always be remembered. We hope they will make new contributions in this regard.

Reunification of the motherland is the common aspiration of the Chinese people. All patriotic compatriots do not wish to see reunification delayed indefinitely. Dr. Sun Yatsen, the great revolutionary forerunner of the Chinese nation, once said, "Reunification is the hope of all people of the Chinese nation. Reunification, and all people of the country will enjoya happy life; failure to accomplish reunification, and they will suffer." We appeal to all Chinese to unite and hold high the great banner of patriotism, uphold reunification, oppose se-cession, spare no effort in promoting the expansion of rela tions between the two sides and work for the accomplish ment of China's reunification. The glorious day of reunification is sure to arrive in the course of modem development of the Chinese nation.


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