He stated this during a meeting with Peter W. Rodman, assistant secretary of the US defense department. Rodman also expressed the same view on bilateral military relations.

"The US Secretary of Defense Donald Rumsfeld has dispatched me here to explore ways to promote relations between the two armed forces," Rodman said.

Rodman is the highest US defense official to visit China since the collision between a US surveillance plane and a Chinese fighter plane last April.

Sino-US military relations have had their ups and downs over the past two years and Chi said that the US should take full responsibility for the twists and turns in bilateral ties.

"We hope that the two sides will pay full consideration to the development of Sino-US military relations and develop military cooperation on the basis of equality, mutual benefit and trust," he added.

This year, the Chinese and the US presidents have met twice in four months, reached consensus on developing constructive and cooperative relations, and given their support to the development of military relations.

Earlier this year, Chinese Vice President Hu Jintao visited the US, and reached common ground with Rumsfeld on improving contact between the two armed forces.

Chi said that China and the US are both influential countries and both shoulder responsibility for world peace and human development, and therefore developing stable and healthy Sino-US relations would be in the interest of the peoples of the two countries.

He said that Chinese military values the relationship with its US counterpart, and over two decades of contact between the two armed forces have promoted mutual understanding, reduced the differences and mistrust, improved their friendship, and pushed forward relations between the two countries.

During the meeting, Chi, also vice chairman of the Central Military Commission and a state councilor, reaffirmed the Chinese government's stance on the Taiwan issue, the most important and sensitive issue in Sino-US relations.

He said that China will settle the Taiwan issue according to "peaceful reunification, one country and two systems," and the eight proposals raised by President Jiang Zemin, and China's stance on the issue is unambiguous and consistent.

He stressed that the Taiwan issue relates to Chinese territorial integrity, and China hopes that the US will conscientiously observe the three Sino-US joint communiqu?s, adhere to the one-China policy and handle the Taiwan issue correctly so as to play a constructive role in promoting peaceful reunification.

Chi expressed appreciation for the reiteration by the US defense department on one-China policy and on its not supporting Taiwan's independence.

Rodman arrived in Beijing Tuesday evening, and Xiong Guangkai, deputy chief of the General Staff of the Chinese People's Liberation Army, and Li Zhaoxing, vice foreign minister met with him Wednesday. Zhan Maohai, director of the foreign affairs office of the national defense ministry, also held talks with him.

Rodman said that his talks with the Chinese side are "frank" and "constructive".

He said that relations between the US and China are important, and the US hopes to further improve the military relations with China.

(Xinhua News Agency June 28, 2002)