Joint Communiqué on the Second South Africa - People's Republic of China Bi-National Commission Pretoria, 28 - 29 July 2004

1. At the invitation of His Excellency Deputy President Jacob Zuma, His Excellency Mr ZENG Qinghong, Vice President of the People's Republic of China, paid an official visit to South Africa between 26 and 29 June 2004. During the visit, Vice President Zeng paid a courtesy call on President Thabo Mbeki, co-chaired the Second Meeting of the South Africa - People's Republic of China Bi - National Commission with Deputy President Zuma and attended the Seminar on China-South Africa Trade and Economic Cooperation, where he delivered a keynote speech. He also paid courtesy calls on Ms Baleka Mbete, the Speaker of the National Assembly and Ms Joyce Kgoali, the Chairperson of the National Council of Provinces.

2. During the courtesy call on President Mbeki, the two leaders expressed satisfaction with the progress and achievements reached in their bilateral relationship since the establishment of diplomatic relations, particularly since the First Meeting of the Bi-National Commission in December 2001. They exchanged ideas and reached broad consensus on a range of issues of common interest. They agreed to work together to elevate the strategic partnership between the two countries to a new high. President Mbeki expressed appreciation for China's increasing involvement in Africa's own initiatives to promote peace and regional integration in the African continent. Vice President Zeng reaffirmed China's policy statement on Africa, and the new ideas and measures to strengthen China-Africa cooperation as elaborated in the Addis Ababa Action Plan (2004 - 2006) of the Forum on China - Africa Cooperation, and emphasized China's commitment to building a new type of partnership with Africa based on long-term stability, equality, mutual benefit and all-round cooperation. Vice President Zeng reiterated Chinese support for the New Partnership for Africa's Development (NEPAD), African peace initiatives and the promotion of regional integration.

3. China welcomed the Southern African Customs Union (SACU) decision to commence Free Trade Agreement (FTA) negotiations with China, and both sides agreed to launch these negotiations. In affirmation of the positive changes in the Chinese economy and China opening up greater links with the world, South Africa was pleased to announce its recognition of China's market economy status. Market economy status will facilitate the process of linking the two economies, as it will establish common principles and standards in the negotiation of the rules that will govern trade. The two countries agreed to encourage and support mutual trade and investment and to expand cooperation in areas of mutual economic interest.

4. The two sides were satisfied with the work of the South Africa - China Bi-National Commission, and acknowledged the comprehensive nature and growing number of exchanges, especially in areas of trade, investment, culture, education, science and technology and international affairs, which have deepened, strengthened and diversified the South Africa - China strategic partnership during the past two years.

5. During the course of the Bi - National Commission, the two sides held Sectoral Committee Meetings and counterpart consultations. It was agreed that interaction and consultation between the respective Foreign Ministries should be intensified to facilitate consultation and cooperation on international issues of mutual concern. Issues concerning trade and economic cooperation were discussed, including the need to improve market access for agricultural products into the markets of the two countries. A Sectoral Committee on Education was also inaugurated to further cooperation, and China confirmed the establishment of the Centre for Chinese Studies at the University of Stellenbosch at an early date.

6. The Co-chairs discussed several issues facing the international community in the twenty-first century, such as security issues, the Middle East peace process, events in Iraq and the situation in the Korean Peninsula. They acknowledged the importance of the role of the United Nations in safeguarding world peace and stability. They stressed the need to advocate multilateralism and equality in international affairs. They confirmed their position as important partners in the pursuit of a new international political and economic order based on peace, stability, justice and equality. They expressed their determination to strengthen their cooperative South - South relationship and agreed to cooperate on issues pertaining to the WTO to safeguard the legitimate rights and interests of the developing world.

7. At the conclusion of the Bi - National Commission, the Agreement on Education Cooperation was signed by Minister Naledi Pandor, Minister of Education and Minister ZHOU Ji, Minister of Education. The Exchange of Letters in regard to grant aid for human resources projects in South Africa was signed by Minister Trevor Manual, Minister of Finance and Minister BO Xilai, Minister of Commerce. Minister Thoko Didiza, Minister of Agriculture and Minister LI Changjiang, Minister of the General Administration of Quality Supervision, Inspection and Quarantine, signed Memorandum of Understanding on Sanitary and Phytosanitary Consultation Mechanism, as well as the Protocol of Phytosanitary Requirements for the export of citrus fruits from South Africa to China.

8. South Africa re-iterated its commitment to the One China principle in terms of which the Government of the People's Republic of China is the sole legitimate government representing the whole of China. South Africa recognises China's position that Taiwan is an inalienable part of China. The Chinese side expressed its appreciation for this position.

Issued by the Department of Foreign Affairs

Private Bag X152

Pretoria

0001

29 June 2004