Distinguished guests,

Ladies and Gentlemen,

Good evening!

Thank you all for joining us on the occasion of the 56th anniversary of the founding of the People's Republic of China. This is an occasion we mark every year. But this year, it is special.

It is special because after 56 years of development, China has undergone unprecedented and profound changes. Between 1978 and 2004, in particular, China's GDP grew from some US$147.3 billion to US$1.6494 trillion, registering an average annual growth rate of 9.4%. Its annual import and export volume jumped from US$20.6 billion to US$1.1548 trillion, representing an average annual growth rate of over 16%. By the end of 2004, China's accumulative FDI in paid-in value reached US$562.1 billion. During the first six months of this year, China's GDP reached US$814.6 billion, up by 9.5% over the corresponding period of last year. The key to such an impressive performance lies in our success in finding a path of development suited to our national conditions, that is, building socialism with Chinese characteristics. China has every confidence about its future.

It is special because this year also marks the 35th anniversary of the establishment of diplomatic ties between China and Canada. As the world's largest developing country and the world's most spacious developed country respectively, China and Canada are both important Pacific-rim countries. The past 35 years witnessed great headway being made in bilateral ties, marked by frequent exchanges at various levels and smooth progress in our cooperation in all fields. Take the economic cooperation for example, according to Chinese statistics, two-way trade increased over 100 times from US$150 million in the early days of China-Canada diplomatic relations to US$15.5 billion in 2004. We are satisfied with the achievements of the robust China-Canada cooperation.

It is special this year, because Chinese President HU Jintao made his first state visit to Canada, bringing new momentum to the bilateral relationship. During his visit, President HU had in-depth exchanges of views with the Canadian leaders on ways to further develop our bilateral relations and reached broad agreement. The two sides signed 7 cooperative agreements and MOUs, concerning air transportation, railways, food security, quarantine, nuclear energy and health research. They also agreed to bring bilateral trade volume to over US$30 billion by 2010. One of the most important achievements of the visit is that the leaders of the two countries agreed to upgrade the bilateral relations to a level of strategic partnership and identified specific targets to advance the comprehensive cooperation between the two countries in various fields. We believe the strategic partnership will contribute to the steady growth of our relationship and serve the fundamental interests of our two countries and two peoples.

Ladies and Gentlemen,

In spite of its economy prospering, China is still a developing nation. Developing the economy and improving the quality of people lives is still the central task of China. We will firmly hold high the banner of peace, development and cooperation and follow the road of peaceful development. China's development, instead of hurting or threatening anyone, can only serve peace, stability and common prosperity in the world.

In closing, may I propose a toast to the continuous development of China-Canada relations,

to the prosperity of our two countries,

and to the health of everyone present here, cheers!