XINHUA - Peoples Republic of China

Chinese, Dutch Defense Ministers Hold Talks

   BEIJING, December 10 (Xinhua) -- Chinese Defense Minister Chi 
Haotian held talks with the Minister of Defense of the Netherlands
Frank De Grave in Beijing Monday.

   Noting that Grave is the first Dutch defense minister to visit 
China since the two countries established diplomatic relations in 
the 1950, Chi said his visit is of important significance and will
make positive contribution to advancing and deepening the friendly
cooperative relations between the two armed forces.

   Chi, also vice chairman of the Central Military Commission and 
a state councilor, said the Chinese government values the Sino-
Dutch relations and China is ready to work for the healthy and 
steady development of military relations between the two countries
at all levels, on the basis of mutual respect, equality and mutual

   Chi also briefed Grave on China's view on the international and
 regional situation, China's foreign policy, domestic situation and
 national defense.

   He reaffirmed China's stance on the Taiwan issue, saying that 
the Chinese government has always adhered to the principles of  "
peaceful reunification" and "one country, two systems" in dealing 
with this issue. 

   "China has the utmost sincerity in settling the issue of 
peaceful reunification through peaceful means and is also fully 
prepared to take decisive measures to solve the Taiwan issue under
necessary circumstances," Chi stated.

   Grave said the Netherlands appreciates the exchanges between 
the armed forces of the two countries. He believes that further 
expanding such exchanges and cooperation between the two armed 
forces will benefit both.

   He noted that the Netherlands highly appreciates the positive 
role China has been playing in the international community's fight
against terrorism. He said in the second phase of the 
international anti-terrorism activities, including the 
reconstruction of Afghanistan, the role of the United Nations and 
its Security Council should be given full play.

   Grave and his entourage arrived in Beijing Sunday for a week-
long official visit to China.   


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