Extracts. DPRK Condemns US for Military Buildup in Asia. The Korean Central News Agency condemned the United States Saturday for its decision to transfer some hardware and technical equipment of the US forces to Asia from Europe. An article carried by the news agency said that the projected transfer of the U.S. forces deployed in Europe for a large-scale war proves that the Bush administration's world strategy to bring the Asia-Pacific region under its control and exercise supremacy over it has already entered the phase of implementation. It is as clear as noonday that the transfer of military hardware to be followed by the redeployment of military forces would upset the strategic stability in the Asia-Pacific region and, first of all, adversely affect the peace process on the Korean Peninsula, said the article. The article noted that while pretending to recognize the positive change in the situation of the Peninsula and hope for its improvement, the United States is, in fact, aggravating the regional situation. This fully betrays the criminal attempts of the United States to perpetuate its military presence in South Korea at any cost and, with it as a foothold, to realize its strategy for world domination. The Korean Peninsula has become the primary target of the U.S. forces present in Asia including South Korea and Japan and most of the afore-said military hardware would be transferred to the U.S. military bases in Asia including South Korea. This is an outright challenge to the whole Korean Nation, who wants the independent and peaceful reunification of the country, and to the peace-loving people in Asia and the rest of the world, the article said. The United States will surely have to pay dearly for such military challenge as seriously straining the overall situation in the Asia-Pacific region, to say nothing of the Korean Peninsula, and harassing peace and stability, the article added. **** Chinese Company Regrets Washington Times' Refusal to Apologize. The China National Machinery and Equipment Import & Export Corporation (CMEC) said Friday it regrets the fact that The Washington Times has refused to apologize for its groundless reports on the CMEC's alleged export of missile components to Pakistan. In a statement issued Friday, the CMEC said that in August this year The Washington Times published a series of reports alleging that the CMEC had exported missile components to Pakistan. The CMEC had previously issued a statement, making it clear that those reports were groundless and sheer fabrications. The CMEC has thereafter made repeated representations to the newspaper. Friday, the CMEC again made a statement as follows: 1. As the result of the repeated representations made by the CMEC, The Washington Times issued a correction on September 6, admitting publicly that its previous reports on the CMEC's export of missile components to Pakistan were wrong. 2. The CMEC feels regret and dissatisfaction that, although the newspaper issued the correction, it still refused to make any apology to the company. 3. The above-mentioned reports of The Washington Times have greatly damaged the CMEC's reputation and caused losses to its business. The CMEC reserves the right to further pursue this matter. **** China Cautions US on MDS. China hopes that the US act cautiously regarding the MDS issue, Foreign Ministry spokesman Zhu Bangzao said Friday. He noted that as the world's strongest military power, the United States insists on the development of its missile defense system (MDS), which is bound to damage the international strategic balance and stability and harm the common security of all countries. Zhu was asked to comment on U.S. reports that the U.S. government will ask the Chinese side for its support for the U.S. missile defense plan in return for not opposing China's expansion of its nuclear arsenal, and that the U.S. government has issued a statement saying that the report was erroneous. Saying that the Chinese side has taken note of the contradictory reports, Zhu confirmed that China has always called for complete prohibition and thorough destruction of nuclear weapons, never participated in the nuclear arms race and disapproves of the act of seeking a strategic advantage over other countries through a nuclear arms race. He stressed that China has always exerted the utmost restraint on the development of nuclear weapons, and has always maintained the minimum nuclear arsenal that is needed for self-defense. China also strictly abides by its commitment to no-first-use of nuclear weapons, and unconditionally no-use of or threat-to-use nuclear weapons to target nuclear-free countries, Zhu added. China's nuclear force poses no threat to any country, he pointed out. **** China to Enhance Exchanges with Vietnam: Li Peng China's National People's Congress (NPC will enhance exchanges with the Vietnamese National Assembly, Li Peng, chairman of the NPC Standing Committee, told his Vietnamese counterpart Nguyen Van An in Hanoi on Friday. "The exchanges and co-operation between parliaments of the two countries are an important part in the Sino-Vietnamese relations," said Li in his talks with An at the Presidential Palace of Vietnam. Li, also a member of the Standing Committee of the Political Bureau of the Central Committee of the Communist Party of China, is visiting Vietnam at the invitation of the Central Committee of the Communist Party of Vietnam and the Standing Committee of the Vietnamese National Assembly. Li suggested that special committees of the NPC and the Vietnamese Congress have conducted in-depth discussions in various fields including legal construction in a down-to-earth manner, established a mechanism of exchange and consultation between their staff and experts, exchanged information and strengthened their co- operation in international and regional parliamentary organizations. Nguyen Van An, chairman of the Vietnamese National Assembly, said the relations between parliaments of the two countries have made great progress thanks to their frequent exchanges of visits and their exchanges in the legislative field. He said such exchanges and co-operation should be deepened and enhanced. Looking back into the past decade, Li said, the traditional friendship and co-operation between the two countries have been restored rapidly and achieved overall development. China and Vietnam normalized their bilateral relations in 1991. The exchange of visits and frequent consultations on major issues between leaders of the two countries have played an irreplaceable role in promoting bilateral relations, Li said. The two countries have solved their disputes over land borders and the delimitation problem in the Beibu Gulf. A joint declaration concerning the overall co-operation between the two countries in the new century, signed at the end of last year, is a landmark signifying that the bilateral relations have entered a new phase, Li said. **** Li Peng Holds Talks With Vietnamese President Tran Duc Luong. It is of strategic importance for China to develop good neighborly and friendly relations with Vietnam, China's top legislator Li Peng said during his talks with at the Presidential Palace Saturday in Hanoi. Extending the cordial greetings of General Secretary Jiang Zemin and other Chinese top leaders to President Luong, Li said that under the guidance of building long-term, stable, future- oriented and good neighborly and all-round cooperative relations, defined by the two party leaders, rapid progress has been made in the development of Sino-Vietnamese relations in various fields. Li, also a member of the Standing Committee of the Political Bureau of the Communist Party of China Central Committee, noted that the Joint Statement published by the two countries during President Luong's visit to China last year is of great importance for the realization of the right guidance governing the bilateral relations. The Chinese top legislator who started his visit to Vietnam on Friday spoke highly of the achievements made by the Vietnamese people in the cause of socialist construction and renovation in recent years. President Luong warmly welcomed Li's visit to Vietnam. He said that in recent years the two parties and two countries have held frequent exchange of visits at all levels and cooperation in all fields have been enhanced, adding that the exchange of experiences in socialist construction will further promote the bilateral relations. Li also briefed President Luong on the current situation of China's reform and opening-up construction. **** Australia Warned of US-China Crossfire. The national security adviser to the former US President Bill Clinton warned that Australia would be caught in the crossfire between the United States and China if the Bush Administration persisted in rushing to develop a missile defense shield. Sandy Berger was interviewed by the Australian daily The Sydney Morning Herald on the eve of Prime Minister John Howard's visit to the United States. Berger said hard-line elements in the Bush Administration viewed China as the new enemy. "If we treat China like an enemy we 'll make China an enemy. America's presence in Asia should be as a stabilizing factor not as a provocative factor," he emphasized. Berger questioned the cause for developing the missile defense system, saying that "we're moving too fast on missile defense. There is a potential rogue state missile threat that we need to deal with, but it's one of a range of security interests, it's not necessarily the greatest threat we have." Apparently aimed at the US plan to strengthen its Asian security alliances, he pointed out that "it's unwise to put our allies -- whether it's Japan or Australia -- in a spot where they are caught in the middle." He expressed he didn't believe Australia wants to be placed in "a crossfire ". "I don't think it's necessary," he said. The Howard Government is the unique unreserved supporter over the world to the Bush Administration's missile defense system plan. On the same day, the daily published accidentally an article entitled "The point is, prime minister, this is where we live", criticizing the government's foreign policy. It said frankly that "Howard has led us away from Asia and the Pacific, and back towards a "reinvigorated" security alliance with the United States, at a time when Washington's own foreign and defense policies are facing increasing criticism." Prime Minister Howard is heading to the United States later Saturday to mark the 50th anniversary of the Australia-New Zealand- America security treaty and to hammer out a more solid Australia-US relationship. **** Chinese Vice-Premier Meets Cuban Vice Minister . Chinese Vice-Premier Wu Bangguo said Saturday in Xiamen that China hopes to work jointly with Cuba and raise their trade and economic cooperation to an even higher level. Wu made the remarks during a meeting with Ernesto Senti Darias, vice minister of Foreign Investment and Economic Cooperation of Cuba, and a Cuban delegation led by him. The Cuban guests are here attending the China International Fair for Investment and Trade, an annual event that began Saturday in this coastal city in Fujian Province. China and Cuba have "excellent" relations, Wu said, and the two sides should make joint efforts to raise the level of trade and investment. Senti said Cuba pays much attention to the current fair, and hopes to push forward cooperation between Cuban enterprises and their Chinese peers. A two-way investment seminar will be held here during the fair. _________________________________________________ KOMINFORM P.O. 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