Extracts.

Seventh Anniversary of Eight-Point Reunification Proposal Marked.

China called on the Taiwan authorities Thursday to show courage in facing
reality, and take earnest and positive steps to recognize the "1992
consensus" for the sake of the stability and development of the island.
Vice-Premier reiterated the sovereignty and territorial integrity of China
must not be separated, which is the common ground for both sides to adhere
to the One China principle.


Vice-Premier called on peaceful reunification
China called on the Taiwan authorities Thursday to show courage in facing
reality, and take earnest and positive steps to recognize the "1992
consensus" for the sake of the stability and development of the island.
The call was made by Chinese Vice-Premier Qian Qichen at a forum held at the
Great Hall of the People here. The meeting was convened by seven Chinese
organizations to commemorate the seventh anniversary of Chinese President
Jiang Zemin's eight-point proposal for continued efforts toward the great
cause of the reunification of the motherland.
In his speech, Qian said that in the past year there were more exchanges and
efforts at cooperation across the Taiwan Straits in such fields as economy,
trade and culture, and fresh progress was made in this regard.
"The situation of Taiwan Island has seen changes that merit attention," said
the vice-premier. He said, judging from the overall situation, the basic
structure and development tendency of cross-straits relations have not
changed. 
The fundamental framework of one China is widely considered solid in the
world, and the splittist activities waged internationally by the Taiwan
authorities have been foiled time and time again, Qian said. "The pursuit of
peace, stability and development represents the mainstream of the Taiwan
public opinion." 
He said, "We will abide by the fundamental principle of 'peaceful
reunification, one country and two systems,' fully implement President Jiang
Zemin's eight-point proposal concerning the present cross-straits relations
and promote the process of the peaceful reunification of the motherland,
take active measures and work hard to push forward cross-straits relations
so as to achieve a peaceful reunification," Qian said.

Cooperation and exchanges traced back
Qian said the consensus reached by Chinese mainland's Association for
Relations Across the Taiwan Straits (ARATS) and Taiwan's Straits Exchanges
Foundation (SEF) in Hong Kong in 1992 whereby both sides of the Taiwan
Straits adhere to the "One-China" principle show political wisdom in dealing
with differences appropriately and breaking the deadlock effectively.
The importance of the '92 consensus lies in the fact that, under the
prerequisite of adhering to the One China principle, both sides seek common
ground while reserving differences in a flexible way, and, taking the
benefits to both sides into consideration, build mutual trust, negotiate
matters in a practical manner and always look forward, said Qian.
He said that the hard-won achievement is of great significance for the
current cross-straits relations and should be upheld.
"We have the uttermost sincerity and tolerance for making it possible to
resume dialogues and negotiations across the Taiwan Straits," said the
vice-premier. 

"One China" principle undoubted
The Taiwan authorities' rejection of the One China principle and the '92
consensus plunged the cross-straits relations into a deadlock and made it
difficult to stabilize the situation across the Taiwan Straits.
There is only one China in the world, and both the mainland and Taiwan
belong to one China, Qian reiterated. The sovereignty and territorial
integrity of China must not be separated, which is the common ground for
both sides to adhere to the One China principle, Qian continued.
Qian urged a resumption of dialogues and negotiations across the Taiwan
Straits on the condition that the Taiwan authorities recognize the '92
consensus. 
He said that the resumption of dialogues would not only be conducive to the
stability and development of cross-straits relations, be in line with the
benefits and aspirations of the compatriots living on both sides of the
Taiwan Straits, but will also contribute greatly to the peace and stability
of the Asia-Pacific region.
It is imperative to realize direct mail, shipping and trade services across
the Taiwan Straits, as the Chinese mainland and Taiwan are now members of
the World Trade Organization (WTO), said Qian. He urged the Taiwan
authorities to remove man-made obstacles restricting economic cooperation
across the straits.
Pledging adherence to the One China principle, Qian said the Chinese
mainland wishes to enhance contacts and dialogues with different political
parties and people from different walks of life in Taiwan as along as they
stand for developing cross-Straits relations.

DPP urged to consider people's benefits
Qian urged the Democratic Progressive Party to think more about the benefits
of the Taiwan people and completely forsake the stand of the DPP on the
"independence" of Taiwan, and show sincerity for developing cross-Straits
relations. 
Qian said the broad masses of the DPP members are welcome to visit the
Chinese mainland in appropriate capacities, saying he believed that they are
quite different from the handful of ``pro-independence" diehards in Taiwan.
The vice-premier also said that more flexible policies would be practiced in
Taiwan than in Hong Kong and Macao within the framework of "one country, two
systems" upon reunification of the Chinese mainland and Taiwan.
"After Taiwan and the Chinese mainland are reunited, the existing rights of
Taiwan compatriots will be respected and safeguarded, and their aspirations
for obtaining other rights will also be satisfied," emphasized Qian.

Cracking down on splittist
Realizing peaceful reunification and practicing the 'one country, two
systems' policy can avoid the catastrophe of a war provoked by the
pro-independence splittists in Taiwan and ensure lasting peace, he said.
The attempts made internationally by splittist forces in Taiwan in order to
create "two Chinas" or "one China, one Taiwan" are doomed to failure, said
Qian, who also used the occasion to extend new year's greetings to the
people of Taiwan. 
Vice-President Hu Jintao, also a member of the Standing Committee of the
Political Bureau of the Communist Party of China (CPC) Central Committee,
was present.



*****


Each Side Should Take a Step Back to Solve Their Knotty Problem: Commentary.


Palestine-Israel conflicts have been intensified in recent days, Israel, on
the one hand, puts Yasser Arafat under house arrest and, on the other hand,
violently strikes Palestine. There is no sign of relaxation in
Palestine-Israel conflicts, on the contrary, the situation is becoming
increasingly fierce, which has indeed developed to a very dangerous.
 
Palestine-Israel conflicts have been intensified in recent days, Israel, on
the one hand, puts Yasser Arafat under house arrest and, on the other hand,
violently strikes Palestine.
Following its large-scale military actions against Tulkarm, on the morning
of January 22, it launched attacks on Nabulus, a city on the west bank of
the Jordan River, while the Islamic Resistance Movement (Hamas) also
declared full-scale war with Israel.
There is no sign of relaxation in Palestine-Israel conflicts, on the
contrary, the situation is becoming increasingly fierce, which has indeed
developed to a very dangerous extent.
More seriously, the Arab side has felt disappointed and even despaired of
Ariel Sharon himself and the Israeli government with Sharon as Prime
Minister, while the current Israeli government has repeatedly expressed that
it cherishes no expectations of Chairman Arafat and the Palestine National
Authority (PNA) under his leadership. With the mutual distrust between
Palestine and Israel, obviously there is no basic condition for easing the
situation. 
As one reviews the past 16 months, one cannot say that whether the parties
involved¡ªPalestine and Israel, or the Arab countries; whether the United
States, Russia and European Union (EU), or the United Nations have no desire
for the solution of the Palestine-Israel issue, nor can one say that they
have not made efforts for this, but Palestine-Israel conflicts remain and
bloodshed continues unabated and have thus formed a pattern in which each
side revenges the other. Today, if they want to untie the fast knot, the two
sides of Palestine and Israel must face up to realities, and each tries hard
to restrain themselves and cool down.
For the Arab world and Palestine, the most important thing at present is no
more than to unite as one, unify their goal of struggle, discard all
unrealistic ideas, take peaceful means in coordination with the mediation
effort of the international community, strive for a just and reasonable
solution of the problem and, through political negotiation, gradually
fulfill their desire for the establishment of an independent Palestine
State. 
Israel should understand that the use of force not only cannot fundamentally
solve the problem, but also Israel's peace and tranquility will be out of
the question. If it continues to use force, the problem will become more and
more complicated, thus making it impossible to repair the already damaged
bilateral trust. Since Prime Minister Sharon has repeatedly declared his
willingness to make "a painful compromise" to Palestine in return for peace
with the latter, then why doesn't it try hard to replace military actions
with peaceful means?
As for the United States, since it has openly expressed its agreement to the
establishment of a Palestine State, then it should take follow-up actions.
The United States has considerable restrictive force to deal with Israel.
It should let the Palestinian people really see that there is hope for the
establishment of an independent Palestine State with East Jerusalem as the
capital through peaceful means, this not only will facilitate the
development of the Palestine-Israel situation, but also will definitely be
conducive to the solution of the problem concerning extremist organizations
of Palestine and Israel. For this purpose, the Egyptian President Hosni
Mubarak has sent 11 letters to the US President George W. Bush, however,
people do not see any effective actions taken by the United States.
The ownership of Jerusalem is pivotal and crucial to the Palestine-Israel
issue. Only when Palestine recovers East Jerusalem and establish a State
there, can Palestine-Israel conflicts die down and can there be the
possibility to bring about peace in the Middle East region. Israel should
realize this and thereby consider its own actions. The international
community should also on this basis extend more realistic and effective
support to Palestine.
The commentary, written by Xu Ping, is carried in full on page 3 of People'
Daily January 25.)

****

Communist Party to Take Tougher Measures Against Corruption:Communique.

The Communist Party of China (CPC) has pledged to take stricter measures to
improve the Party's work style and prevent corrupt activities by leading
officials. The measures were worked out at the Seventh Plenary Meeting of
the CPC Central Commission for Discipline Inspection, which was convened
here January 23-25, according to a communique adopted at the end of the
meeting. 
 
Communist Party to Take Tougher Measures Against Corruption:Communique
Jiang Zemin, general secretary of the CPC Central Committee, made an
important speech at the meeting, which was also attended by other members of
the Standing Committee of the CPC Central Committee Political Bureau Li
Peng, Zhu Rongji, Li Ruihuan, Hu Jintao, Wei Jianxing and Li Lanqing.
The meeting examined and approved a work report delivered by Wei Jianxing on
behalf of the Standing Committee of the CPC Central Commission for
Discipline Inspection.
Wei is the secretary of the commission.
At the meeting, the participants summed up last year's experience in the
fields of improving the Party's work style and building a clean government,
and fighting against corruption, and made new arrangements for the tasks in
2002, the communique says.
They hailed Jiang's speech, saying that it is of great importance for
strengthening the Party building, improving the Party work style and
building a clean government and pushing forward the anti-corruption campaign
in a down-to-earth manner.
In 2001, the Party exercised a powerful leadership in improving the Party's
work style, building a clean government and in the fight against corruption.
A series of arrangements were made by the Party Central Committee and the
State Council to deepen the reform and step up the efforts to wipe out
corruption. 
These efforts resulted in curbing the spread of corruption and step-by-step
resolving of deep-seated factors causing corruption, according to the
communique. 
The communique says that in 2002, a year of great importance for the history
of the Party and the nation, which will witness the convening of the 16th
National Congress of the CPC, efforts will be made to achieve new progress
in improving the Party's style of work and building a clean and honest
government, and in the anti-corruption campaign. The Party will take further
measures to curb corrupt activities,the communique says.
Further efforts will be made to ensure the honesty of leading officials by
strengthening supervision and inspection. Greater efforts should be made to
deal with major corruption cases, especially in the fields of finance,
securities, real estate, personnel and judiciary work. Those involved in
serious violations of political discipline will be severely punished.
Efforts will be made to curb irregularities in pharmaceuticals production
and circulation, reduce the financial burden on farmers,and curb illegal
charges levied by highway administration departments and schools.
In order to curb corruption by officials, various departments and regions
should, in accordance with the Party's requirement, should accelerate the
reform of the administrative system, adopt open bidding and government
procurement, deepen the reform of the financial system, and push forward the
reform of the personnel system, according to the communique.
In 2002, the Chinese people will enjoy greater democracy, as all
county-level governments and some prefecture-level authorities will be asked
to allow the public to learn about their work, the communique says.
The communique stresses the importance of abiding by the Party's political
discipline and upholding the authority of the CPC Central Committee with
Jiang Zemin at the core, so as to ensure the smooth implementation of the
central policies and orders, and achieve new progress in improving the
Party's work style and building a clean and honest government.
 
****


China to Create More Stable, Transparent Economic Environment.
 
The Chinese government will create a more stable and transparent environment
for domestic and overseas enterprises, the trade minister said here Friday.

The Chinese government will create a more stable and transparent environment
for domestic and overseas enterprises, the trade minister said here Friday.

Shi Guangsheng   of the Ministry of Foreign Trade and Economic Cooperation
said China will improve its economic and trade environment concerning
policies, the legal system, administration and the market for facilitate
cooperation between domestic and overseas businesses.

Shi made the remarks at the ministry's Spring Festival party attended by
heads and business representatives of foreign diplomatic missions and
international organizations in China and their, and chief and business
representatives of the liaison offices of Hong Kong  and Macao.

The minister said that despite difficult international circumstances,
China's foreign trade volume in 2001 reached 509.8 billion U.S. dollars, a
year-on-year growth of 7.5 percent.

Of the total, exports grew 6.8 percent to 266.2 billion U.S. dollars and
imports rose 8.2 percent to 243.6 billion U.S. dollars.

The contracted volume of foreign investment totaled 69.2 billion U.S.
dollars, up 10.4 percent, with the amount of foreign investment in place
jumping 14.9 percent to 46.9 billion U.S. dollars.

Shi said China's accession to the World Trade Organization  marks the
beginning of a new stage of the country's reform and opening-up, and China
will take part in international economic cooperation and competition in a
wider scope and greater depth.

China is willing to continue the mutually beneficial trade and economic
relations with various countries and regions all over theworld for common
development and prosperity, he said.

****



Chinese Version of Agreements on China's WTO Entry Released.
 
The Standing Committee of the National People's Congress, China's top
legislature, released Friday the legal documents on China's accession to the
World Trade Organization (WTO).

The Standing Committee of the National People's Congress, China's top
legislature, released Friday the legal documents on China's accession to the
World Trade Organization  (WTO).

The first Chinese version released was of the Protocol on the Accession of
the People's Republic of China.

The document, about 10,000 Chinese characters, contains three parts: General
Provisions, Schedules, and Final Provisions.

The Protocol makes specific the rules on the administration of the trade
regime, non-discrimination, special trade arrangements, right to trade,
state trading, non-tariff measures, import and export licensing, price
controls, subsidies, taxes and charges

levied on imports and exports, agriculture, technical barriers to trade,
sanitary and phytosanitary measures, price comparability in determining
subsidies and dumping, transitional product-specific safeguard mechanism,
reservations by WTO members, and transitional review mechanism.

The Ministry of Foreign Trade and Economic Cooperation  has published the
full English text of legal documents concerning China's accession to the WTO
on its website. 

China signed the WTO accession documents on November 10, 2001, in Doha and
became a full member of the WTO a month later.

****



Argentine Government Prepares for Facing Protests.
 
The Argentine government has decided to resort to a special security forces
operation to prevent protests against restrictions on bank deposits
withdrawals,which were set for Friday night.

The Argentine government has decided to resort to a special security forces
operation to prevent protests against restrictions on bank deposits
withdrawals,which were set for Friday night.

Presidential spokesman Eduardo Amadeo told reporters the obligation of the
government is to control the situation in the face of the possibility that a
handful of people pretend to lead the protests to loss of life and property.

Interior Minister Rodolfo Gabrielli said authorities will be inflexible to
those who resort to violence during the pot-banging protest which will start
at 20:00 local time (2300 GMT).

Gabrielli called on people to be careful and not to allow "the presence of
infiltrators among peaceful demonstrators."


****



Eight Pak Soldiers Killed in Indian Strike.
 
Eight Pakistani soldiers were killed and 10 of their bunkers smashed in
"retaliatory strikes" by Indian troops in Noushera sector of Jammu and
Kashmir, the Press Trust of India (PTI) reported.

Pakistani soldiers shelled Indian positions in Noushera sector of Rajouri
district, forcing Indian troops to reply effectively, the PTI quoted a local
defense spokesman as saying.

Eight Pakistani soldiers were killed and their 10 bunkers blown up in the
Indian action, the spokesman said, adding that there were no casualties on
the Indian side. 

****

Japanese Govt Approves Zero GNP Growth Forecast for FY 2002.

The Japanese cabinet on Friday adopted an official projection of zero
economic growth in real terms and minus 0.9 percent in nominal terms for
fiscal 2002, which starts on April 1.

The Japanese cabinet on Friday adopted an official projection of zero
economic growth in real terms and minus 0.9 percent in nominal terms for
fiscal 2002, which starts on April 1.

The projection assumes that Japan's economy will begin a moderate recovery
led by private demand in the latter half of the next fiscal year, a recovery
in the U.S. economy and the effects of Japan's second supplementary budget
for fiscal 2001. 

Both official projections in real and nominal terms are the lowest-ever
growth targets for a coming fiscal year while nominal contraction is the
first ever due to deflation.

Japan's gross domestic product (GDP) will shrink 0.9 percent innominal terms
to 496.2 trillion yen (3.73 trillion U.S. dollars) in fiscal 2002, for the
first time below the 500 trillion yen (3.76 trillion dollars) level since
fiscal 1994, according to the Japanese government.

Personal consumption will inch up 0.2 percent while business investment in
facilities and equipment will decline 3.5 percent, according to the
projection. 

The jobless rate will climb to 5.6 percent as a yearly average from an
estimated 5.2 percent in the current fiscal year, it said.

The Japanese cabinet on Friday also endorsed a midterm fiscal and economic
outlook calling for the end of deflation and achieving economic expansion in
fiscal 2003. 

The economy will grow in fiscal 2003 and expand more than 1.5 percent in
real terms, or 2.5 percent in nominal terms, in fiscal 2004 and thereafter,
said the outlook covering fiscal 2002 to fiscal 2006.










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