News


White Paper on China's National Defense in 2002 

"Full Text" of white paper issued by the PRC Information 
Office of State Council on 9 December, 2002:  "China's National Defense 
in 2002" 

    Foreword 

    The world needs peace, the people want cooperation, nations long for 
development and society aspires for progress.   These are the 
irresistible trends of our times.   The Chinese people, like the people 
of all other countries, do not want to see any new war, hot or cold, and 
turbulence in any region of the world, but yearn for lasting peace, 
stability and tranquility, as well as common development and universal 
prosperity in the world. 

    China has entered the new phase of development for building a 
well-off society in an all-round way and speeding up socialist 
modernization.   To continue to propel the modernization drive, to 
achieve national reunification of the motherland, and to safeguard world 
peace and promote common development are the three historical tasks of 
the Chinese people in the new century.   The 16th National Congress of 
the Communist Party of China, which attracted worldwide attention, has 
drawn up a grand blueprint for China's development in the new century.   
A developing China needs a peaceful international environment and a 
favorable climate in its periphery.   And its development will make even 
greater contributions to world peace and human progress.   China 
steadfastly follows a road of peaceful development, pursues an 
independent foreign policy of peace and implements a national defense 
policy that is defensive in nature. 

    To further introduce China's national defense policy and progress in 
national defense development in the past two years, this white paper, 
China's National Defense in 2002, is hereby published. 

    I.   The Security Situation 

    The international situation is undergoing profound changes as the 
world has entered the new century.   World multi-polarization and 
economic globalization are developing amid twists and turns.   Science 
and technology are advancing with each passing day.   Competition in the 
overall national strength has become increasingly fierce.   And mankind 
is faced with new opportunities for development and new challenges. 

    Peace and development remain the themes of the present era.   
Economic interdependence among nations has been deepened.   The role 
played by global and regional economic cooperation organizations is on 
the increase.   And economic security has been given even more attention. 
  Economic development, scientific and technological progress, and the 
enhancement of overall national strength are the main strategic trends of 
all countries.   The major countries, while cooperating with and seeking 
support from each other, are nonetheless checking on and competing with 
one another.   But since the terrorist attacks against the United States 
on September 11, 2001, they have stepped up their coordination and 
cooperation.   The developing countries are actively pushing forward the 
establishment of a fair and rational new international order, and playing 
an important role in the promotion of world peace and development.   A 
new world war is unlikely in the foreseeable future. To preserve peace 
and promote development represents the common aspiration of all peoples. 

    The Asia-Pacific region has, on the whole, continued to enjoy its 
peace and stability, and remains the most dynamic region economically 
with the greatest development potential in the world. Strengthening 
dialogue and cooperation, maintaining regional stability and promoting 
common development have become the mainstream policy of the Asian 
countries.   The Asia-Pacific Economic Cooperation (APEC) is heading for 
closer cooperation.   The cooperation in East Asia with the Association 
of Southeast Asian Nations (ASEAN) and China, Japan and the Republic of 
Korea (10+3) as the major channel, has become more practical.   China and 
the ASEAN have reached consensus on the establishment of a free trade 
area within 10 years, initiating full cooperation in the field of 
non-traditional security issues.   Cooperation for the development of the 
Mekong River valley is about to unfold.   The ASEAN Regional Forum has 
made substantive achievements in the transition from confidence-building 
measures to preventive diplomacy.   The Shanghai Cooperation Organization 
(SCO) has made outstanding progress in building mutual trust and 
developing state-to-state relationship based on partnership rather than 
alliance, as well as in anti- terrorism cooperation.   The reconstruction 
of Afghanistan is under way.   The situation in the South China Sea area 
has been basically stable, as the relevant countries have signed the 
Declaration on the Conduct of Parties in the South China Sea. 

    However, uncertainties impeding peace and development are also on the 
increase.   The world is far from being tranquil.   The old international 
political and economic order, which is unfair and irrational, has yet to 
be changed fundamentally.   Economic development of the world is 
materially unbalanced, and the North- South gap is further widening.   
The developing countries have gained less from the economic globalization 
process, and some of them are in danger of being marginalized.   
Democracy in international relations remains elusive, and there are new 
manifestations of hegemonism and power politics.   In certain regions, 
disputes caused by ethnic, religious, territorial, resources or other 
issues crop up from time to time, leading even to armed conflicts and 
local wars.   Terrorism, transnational crimes, environmental degradation, 
drug trafficking and other non- traditional security threats are becoming 
more and more pronounced. Terrorism, in particular, is posing a real 
threat to both global and regional security. 

    Rapid and drastic changes are taking place in the military field 
around the world, and a new serious disequilibrium has occurred in the 
balance of military power.   The extensive applications in the military 
field of new and high technologies led by IT have stretched the 
battlefield into multidimensional space which includes the land, sea, 
air, outer space and electron. Medium- and long-distance precision 
strikes have become an important pattern of operations.   The form of war 
is becoming increasingly information-oriented.   All major countries have 
made adjustments in their military strategies and stepped up the 
modernization by relying on high technologies.   As far as military 
technology is concerned, the gap between the developed and developing 
countries is wider than ever before.   The developing countries are 
facing a serious challenge in their effort to safeguard sovereignty and 
security. 

    Factors of instability still exist in the Asia-Pacific region.   
Traditional security problems left over from history are yet to be 
resolved, and new ones have appeared.   In certain countries, non- 
traditional security issues are looming large.   The danger posed by 
terrorist, separatist and extremist forces to the region's security 
cannot be rooted out in a short time.   Tension in South Asia has not 
been fundamentally changed.   Afghanistan has not regained full 
stability.   Reconciliation on the Korean Peninsula is moving haltingly.  
 Certain countries are stepping up their military deployment and 
strengthening their military alliances in the Asia- Pacific region.   
Other countries have time and again enlarged the terms of reference and 
scope of operations of their armed forces. 

    The basic pattern and trend of development in the cross-Taiwan 
Straits relationship remain unchanged.   As the Taiwan compatriots are 
more vocal in their demand for peace, tranquility and development, 
cross-Straits economic, trade, cultural and personnel exchanges have 
become more frequent, and the opening of three direct links in mail, air 
and shipping, and trade between the two sides represents the popular will 
and the trend of the times.   But the root cause of tension between the 
two sides has not been eliminated.   While refusing to accept the 
one-China principle, and stubbornly clinging to the position of "Taiwan 
independence," the leader of Taiwan has even gone so far as to dish up 
the separatist proposition of "one country on each side," and carried out 
all sorts of separatist moves with an incremental tactic.   The Taiwan 
separatist force is the biggest threat to peace and stability in the 
Taiwan Straits.   By continuing to sell weapons and military equipment to 
Taiwan and elevating relations with the Taiwan authorities, a handful of 
countries have interfered in China's internal affairs, inflated the 
arrogance of the separatist forces and undermined China's peaceful 
reunification. 

    Threats to world security have come in multiple forms and assumed 
global dimension, which has increased the common interests of countries 
on the issue of security.   To enhance mutual trust through dialogue, to 
promote common security through cooperation, and to cultivate a new 
security concept featuring mutual trust, mutual benefit, equality and 
cooperation, have become the requirements of the trend of our era.   
China is always a staunch force for safeguarding world peace and 
promoting common development.   China will unremittingly put the new 
security concept into practice, oppose all kinds of hegemonism and power 
politics, and combat terrorism in all forms and manifestations.   China 
will strive, together with other countries in the world, to create an 
international environment of long-term peace, stability and security. 

    II.   National Defense Policy 

    Strengthening national defense is a strategic task in China's 
modernization drive, and a key guarantee for safeguarding China's 
security and unity and building a well-off society in an all-round way.   
China has consistently pursued a national defense policy that is 
defensive in nature. 

    The fundamental basis for the formulation of China's national defense 
policy is China's national interests.   It primarily includes: 
safeguarding state sovereignty, unity, territorial integrity and 
security; upholding economic development as the central task and 
unremittingly enhancing the overall national strength; adhering to and 
improving the socialist system; maintaining and promoting social 
stability and harmony; and striving for an international environment of 
lasting peace and a favorable climate in China's periphery.   China takes 
all measures necessary to safeguard its national interests and, at the 
same time, respects the interests of other countries, standing for 
peaceful settlement of disputes and differences among nations by means of 
consultation. 

    The goals and tasks of China's national defense are, in the main, as 
follows: 

    -- To consolidate national defense, prevent and resist aggression.   
China's territorial land, inland waters, territorial seas and territorial 
airspace are inviolable.   In accordance with the requirements of 
national defense in the new situation, China persists in unified 
leadership over national defense activities, pursues the principle of 
independence and self-defense by the whole people, implements the 
military strategy of active defense, strengthens the building of its 
armed forces and that of its frontier defense, sea defense and air 
defense, takes effective defensive and administrative measures to defend 
national security and safeguard its maritime rights and interests.   In 
the event of aggressions, China will resolutely resist in accordance with 
the Constitution and laws. 

     -- To stop separation and realize complete reunification of the 
motherland. 

    China is a unitary multi-ethnic country jointly created by its people 
of all ethnic groups.   The Chinese government forbids discrimination and 
oppression against any ethnic group, as well as any act aimed at 
undermining ethnic harmony and splitting the country.   Taiwan is an 
inalienable part of China.   The Chinese government will, in keeping with 
the basic principles of "peaceful reunification" and "one country, two 
systems" and the eight-point proposal on developing cross-Straits 
relations and advancing the process of peaceful national reunification at 
the present stage, strive for prospects of peaceful reunification with 
the utmost sincerity and the maximum effort.   But it will not forswear 
the use of force.   China resolutely opposes arms sales to Taiwan or 
entering into a military alliance in any form with Taiwan by any country. 
  China's armed forces will unswervingly defend the country's 
sovereignty and unity, and have the resolve as well as the capability to 
check any separatist act. 

    -- To stop armed subversion and safeguard social stability. 

    China's Constitution and laws prohibit any organization or individual 
from organizing, plotting or carrying out armed rebellion or riot to 
subvert the state power or overthrow the socialist system.   China 
opposes all forms of terrorism, separatism and extremism.   Regarding 
maintenance of public order and social stability in accordance with the 
law as their important duty, the Chinese armed forces will strike hard at 
terrorist activities of any kind, crush infiltration and sabotaging 
activities by hostile forces, and crack down on all criminal activities 
that threaten public order, so as to promote social stability and 
harmony.   

     -- To accelerate national defense development and achieve national 
defense and military modernization. 

    China follows an approach of coordinating national defense building 
and economic development, striving for a high cost- effectiveness and 
promoting defense and military modernization on the basis of economic 
growth.   Taking Mao Zedong's military thinking and Deng Xiaoping's 
thinking on armed forces building in the new period as the guide to 
action, and fully implementing the important thought of the "Three 
Represents," (meaning the Communist Party of China must always represent 
the requirements of the development of China's advanced productive 
forces, the orientation of the development of China's advanced culture, 
and the fundamental interests of the overwhelming majority of the people 
in China) the Chinese military persists in taking the road of fewer but 
better troops with Chinese characteristics, pushes forward the various 
reforms in response to the trend in military changes in the world, and 
strives to accomplish the historical tasks of mechanization and IT 
application, thereby bringing about leapfrog development in the 
modernization of the military. 

    -- To safeguard world peace and oppose aggression and expansion. 

    China will never seek hegemony, nor will it join any military bloc or 
crave for any sphere of influence.   China opposes policies of war, 
aggression and expansion, stands against arms race and supports efforts 
of the international community to solve international disputes in a fair 
and reasonable manner.   It endorses all activities conducive to 
maintaining the global strategic balance and stability, and actively 
participates in international cooperation against terrorism. 

    China implements a military strategy of active defense.   
Strategically, China pursues a principle featuring defensive operations, 
self-defense and attack only after being attacked.   In response to the 
profound changes in the world's military field and the requirements of 
the national development strategy, China has formulated a military 
strategic guideline of active defense in the new period. 

    This guideline is based on winning local wars under modern, 
especially high-tech conditions.   In view of the various factors 
threatening national security, China has prepared for defensive operation 
under the most difficult and complex circumstances.   The People's 
Liberation Army (PLA), in implementing the strategy of building a strong 
military through science and technology, has accelerated the R&D of 
defense weaponry and equipment, trained high-quality military personnel 
of a new type, established a scientific organizational structure, 
developed theories for military operations with Chinese characteristics, 
and strengthened its capability for joint, mobile and multi-purpose 
operations. 

    This guideline stresses the deterrence of war.   In accordance with 
the needs of the national development strategy, the PLA, by employing 
military means flexibly and in close coordination with political, 
economic and diplomatic endeavors, improves China's strategic 
environment, reduces factors of insecurity and instability, and prevents 
local wars and armed conflicts so as to keep the country from the harm of 
war.   China consistently upholds the policy of no first use of nuclear 
weapons, and adopts an extremely restrained attitude toward the 
development of nuclear weapons.   China has never participated in any 
nuclear arms race and never deployed nuclear weapons abroad.   China's 
limited nuclear counterattack ability is entirely for deterrence against 
possible nuclear attacks by other countries. 

    This guideline highlights and carries forward the concept of people's 
war.   In the face of new changes in modern warfare, China persists in 
relying on the people in national defense building, enhancing the popular 
awareness of national defense, and instituting an armed force system of 
combining a small but capable standing army with a powerful reserve 
force; upholds the principle of combining peacetime footing with wartime 
footing, uniting the army with the people, and having a reserve among the 
people, improving the mobilization mechanism with expanded mobilization 
scope, and establishing a national defense mobilization system in line 
with the requirements of modern warfare; and adheres to flexible 
applications of strategies and tactics, creating new ways of fighting so 
as to give fuller play to the strength of a people's war. 

    III.   The Armed Forces 

    The armed forces of the People's Republic of China (PRC) are composed 
of the People's Liberation Army, the Chinese People's Armed Police Force 
and the militia.   The Central Military Commission (CMC) of the PRC 
directs and assumes unified command of the nation's armed forces. 

    The People's Liberation Army 

    The PLA is a people's army created and led by the Communist Party of 
China (CPC), and the principal body of China's armed forces.   The PLA is 
made up of both active and reserve components.   Its total force is 
maintained below the 2,500,000-strong mark.   The active components of 
the PLA are the country's standing army, consisting of the Army, Navy, 
Air Force and the Second Artillery Force, whose main task is to conduct 
operations of defense, and, if necessary, help to maintain social order 
in accordance with the law.   Through the General Staff Headquarters, the 
General Political Department, the General Logistics Department and the 
General Armaments Department, the CMC exercises operational command over 
the whole PLA and leadership for the development of the PLA. 

    The PLA was established on August 1, 1927, and consisted of land 
forces only in its early days.   The Army is responsible primarily for 
military operations on land.   At present, the Army has no independent 
leading organ, and the functions of the leading organ are exercised by 
the four general headquarters/departments.   The seven military area 
commands, namely, those of Shenyang, Beijing, Lanzhou, Jinan, Nanjing, 
Guangzhou and Chengdu, exercise direct leadership over the Army units 
under their command.   The Army has such arms as infantry, armor, 
artillery, air defense, Army aviation, engineering, chemical defense and 
communications, as well as other specialized units such as those of 
electronic counter-measure (ECM), reconnaissance and mapping.   The 
infantry, maneuvering and operating on foot or on armored personnel 
carriers or infantry fighting vehicles, is composed of mountain infantry, 
motorized infantry and mechanized infantry (armored infantry).   The 
armored corps (tank corps), equipped basically with tanks and other 
armored vehicles and support vehicles, carries out ground assaults.   The 
artillery corps, equipped basically with artillery for suppression and 
anti-tank purposes, and missiles for antitank and other 
operational-tactical purposes, carries out ground fire strikes.   The air 
defense corps, equipped basically with anti- aircraft artillery and 
ground-to-air missile systems, carries out ground-to-air operations.   
The Army aviation corps, equipped with attack, transport, and other 
specialized helicopters and light fixed-wing aircraft, carries out air 
maneuvers and provides support for ground operations.   The engineering 
corps, responsible for engineering support, is composed of engineering 
and other specialized units of pontoons, construction, camouflage, field 
water supply, and engineering maintenance.   The chemical defense corps, 
responsible for chemical defense operations, is composed of chemical 
defense, flame-throwing and smoke-generating units.   The communications 
corps, responsible for military communications, is composed of 
specialized units engaged in communications, communications engineering, 
communications technical support, aviation navigation and military postal 
service.   The Army, in accordance with its different duties and 
responsibilities, is also divided into field mobile, sea border defense, 
frontier defense, and garrison troops.   The organizational order of the 
field mobile troops is normally combined corps, division (brigade), 
regiment, battalion, company, platoon and squad.   The organizational 
systems of the sea border defense, frontier defense and garrison troops 
are decided in accordance with their operational tasks and geographical 
conditions. 

    The Navy of the PLA was established on April 23, 1949.   Its primary 
missions are, independently or jointly with the Army and Air Force, to 
guard against enemy invasion from the sea, defend the state's sovereignty 
over its territorial waters, and safeguard the state's maritime rights 
and interests.   The Navy has such arms as the submarine, surface, naval 
aviation, coastal defense and marine corps, as well as other specialized 
units.   Under the Navy, there are three fleets, namely, the Beihai, 
Donghai and Nanhai fleets, as well as the Naval Aviation Department.   
Each fleet has bases, maritime garrison commands, flotillas and squadrons 
under its command.   The submarine force is composed both of conventional 
and nuclear-powered units, with underwater attack and some nuclear 
counterattack capabilities respectively.   The nuclear-powered submarine 
force, which assumes the strategic nuclear counterattack mission, is 
under the direct command of the CMC.   The surface force has combat and 
support units, which have anti-ship, anti-submarine, air defense, mine 
warfare and shore attack capabilities.   The naval aviation is composed 
of bomber, fighter-bomber, attacker, fighter, anti-submarine and 
reconnaissance units, and security, ECM, transport, rescue and air 
refueling units, which have reconnaissance, security, anti-ship, 
anti-submarine and air defense capabilities.   The organizational order 
is: Naval Aviation Department, fleet aviation, and aviation division and 
regiment.   The naval coastal defense force is composed of shore-to-ship 
missile and coastal artillery units, which have capabilities to defend 
China's coasts.   The marine corps has infantry, artillery, armor and 
engineering units, as well as reconnaissance, chemical defense and 
communications units.   It is a rapid assault force for amphibious 
operations. 

    The Air Force of the PLA was established on November 11, 1949.   Its 
primary missions are organizing homeland air defense to protect the 
territorial air, and providing air security for key facilities; 
organizing relatively independent air offensive operations; independently 
or jointly with the Army, the Navy or the Second Artillery Force, 
engaging in joint operations against enemy invasion from the air, or in 
conducting air strikes against the enemy.   Adopting a system of 
combining aviation with ground-to- air defense forces, the Air Force 
consists of the aviation, surface-to-air missile, anti-aircraft artillery 
and airborne units, as well as communications, radar, ECM, chemical 
defense, technical reconnaissance and other specialized units.   The Air 
Force has an air command in each of the seven military areas of Shenyang, 
Beijing, Lanzhou, Jinan, Nanjing, Guangzhou and Chengdu.   In the major 
direction and target zones, there are air corps or corps- level air 
bases.   The aviation is composed of fighter, attacker, bomber, 
reconnaissance, transport and support units, usually in the 
organizational order of division, regiment, group and squadron. An 
aviation division generally has under its command two to three aviation 
regiments and related stations.   The aviation regiment is the basic 
tactical unit.   Due to differences in weaponry and tasks, the number of 
aircraft in an aviation regiment ranges from 20 to 40.   The ratio of 
aircraft to pilots (aircrew) is usually 1:1.2.   The ground-to-air 
missile force and anti-aircraft artillery force are usually organized 
into divisions (brigades), regiments, battalions and companies, and the 
airborne force into corps, divisions, regiments, battalions and 
companies. 

    The Second Artillery Force of the PLA was established on July 1, 
1966.   It is composed of the ground-to-ground strategic nuclear missile 
force, the conventional operational-tactical missile force, and the 
support units.   The strategic nuclear missile force, under the direct 
command of the CMC, constitutes the main part of China' s limited nuclear 
counterattack capability.   It is equipped with land-based strategic 
nuclear missile systems.   Its primary missions are to deter the enemy 
from using nuclear weapons against China, and, in the case of a nuclear 
attack by the enemy, to launch an effective counterattack in self-defense 
independently or jointly with the strategic nuclear forces of other 
services, at the order of the supreme command.   The conventional 
operational-tactical missile force is equipped with conventional 
operational and tactical missile systems.   Its task is to carry out fire 
assaults with conventional missiles. 

    The PLA's reserve force, established in 1983, is a force with its own 
preset organizational structure, with reserve personnel as the base and 
active personnel as the backbone.   The reserve force operates a unified 
organizational system.   The divisions, brigades and regiments of the 
reserve force are conferred designations and military banners.   The 
reserve force implements orders and regulations of the PLA, and is 
incorporated into the PLA's order of battle.   In peacetime, it is led by 
the provincial military districts or garrison commands, and in wartime, 
after mobilization, it is commanded by the designated active unit or 
carries out combat missions independently.   It receives military 
training in peacetime in accordance with the relevant regulations, and, 
if necessary, helps to maintain social order in accordance with the law.  
 In wartime, it may be called into active service in pursuance of a state 
mobilization order. 

    The PLA forces stationed in Hong Kong and Macao are under the direct 
leadership of the CMC.   The PLA Hong Kong Garrison is mainly composed of 
ground, naval and air units.   The PLA Macao Garrison is mainly composed 
of a ground force, with some naval and air force personnel on its staff. 

    The Chinese People's Armed Police Force 

    The Chinese People's Armed Police Force was established on June 19, 
1982.   It consists of internal security forces, gold mine, forest, water 
conservancy, electricity power, and transportation forces.   The frontier 
police force, fire brigades and security guards are also included into 
the Armed Police Force.   The internal security forces are composed of 
contingents and mobile divisions.   The Armed Police Force is constructed 
in accordance with the PLA's guiding concept, purpose and principles of 
army building, as well as its orders, rules and regulations, combined 
with characteristics of the Armed Police Force.   It implements the 
Military Service Law of the PRC, and enjoys the same benefits as those of 
the PLA.   The basic missions of the Armed Police Force are to maintain 
state security and social stability, protect facilities and objects 
significant to the state, safeguard people' s lives and properties, and 
assist the PLA in wartime in defensive operations. 

    The Armed Police Force is subordinate to the State Council, and is 
under the dual leadership of the State Council and the CMC.   The Armed 
Police Force receives unified leadership and management, and its command 
is delegated to a relevant organ at each level.   The Armed Police Force 
has three echelons of leadership, namely, general headquarters, 
contingent (division) and detachment ( regiment).   The General 
Headquarters of the Armed Police Force, as the chief commanding organ of 
the Armed Police Force, commands and administers internal security 
forces, and gold mine, forest, water conservancy, electricity power, and 
transportation forces.   In the nationwide administrative hierarchy, the 
Armed Police contingents, detachments, and squadrons are instituted at 
province, prefecture, and county levels respectively.   When performing a 
public security task or relevant work, the Armed Police Force unit is 
subordinate to the leadership and command of the public security organs 
at the same level. 

    In peacetime, the tasks of the Armed Police Force include performing 
guard duties at fixed points, dealing with contingencies, combating 
terrorism and supporting national economic development.   Guard duties at 
fixed points chiefly mean, among others, security guard, watch and ward, 
prison and detention guard, escort and patrol.   It is specifically 
responsible for protecting the security of state-designated objects to be 
guarded, important visiting foreign dignitaries, leading organs of the 
Party and government at and above the provincial level, embassies and 
consulates of foreign countries in China, important national and 
international conferences, and sites of large-scale cultural and sports 
activities; posting peripheral armed guards at prisons and detention 
houses; providing armed protection for key departments in charge of 
confidential work and critical parts of important airports, radio 
stations, state economic departments, and national defense works, as well 
as important bridges and tunnels along trunk railway lines, and specially 
designated large road bridges; and performing armed patrol and other 
security duties in state-designated large and medium-sized cities or 
specific zones.   Dealing with contingencies chiefly means handling, 
according to law, sudden illegal incidents endangering state security or 
social order, such as revolts, riots and disturbances, fights with 
weapons and other group activities that endanger public security.   
Combating terrorism chiefly means performing anti- attack, anti-hijacking 
and anti-explosion tasks.   Supporting national economic development 
chiefly means gold mine prospecting, preventing and fighting forest fire, 
participation in key state energy and transportation projects, and 
emergency rescue and disaster relief in cases of serious calamities. 

    The Militia 

    The militia is an armed mass organization not released from 
production.   It is a reserve force of the PLA and the basis for the 
prosecution of a people's war under modern conditions.   The General 
Staff Headquarters administers the building of the militia under the 
leadership of the State Council and the CMC.   Under the command of 
military organs, the militia in wartime helps the standing army in its 
military operations, conducts independent operations, and provides combat 
support and manpower replenishment for the standing army.   In peacetime, 
it undertakes the tasks of performing combat readiness support, taking 
part in emergency rescue and disaster relief efforts, and maintaining 
social order. 

    In accordance with provisions in the Military Service Law of the PRC, 
male citizens from 18 to 35 years of age who are fit for military 
service, excluding those enlisted for active service, shall be regimented 
into militia units to perform reserve service. The militia has two 
categories: the primary and the ordinary.   A selected group of 
militiamen under the age of 28, including soldiers discharged from active 
service and other persons who have received or are selected for military 
training, shall be regimented into the primary militia; other male 
citizens belonging to the age group of 18 to 35, who are qualified for 
reserve service shall be regimented into the ordinary militia.   The 
primary militia may recruit female citizens when necessary.   Rural towns 
and townships, administrative villages, urban sub-districts, and 
enterprises and institutions of a certain scale are the basic units in 
which the militia is organized.   Primary militiamen are separately 
organized for concentrated military training in militia military training 
bases of administrative areas at the county level.   Currently, there are 
emergency detachments, and such specialized technical detachments as 
anti-aircraft artillery, anti- aircraft machineguns, portable air defense 
missiles, ground artillery, communications, chemical defense, engineering 
and reconnaissance detachments. 

    To ensure that militiamen are always ready to respond to the call in 
case of a contingency, the Chinese government has formulated a militia 
combat readiness system, whereby combat readiness education is carried 
out regularly among the militia with the purpose of enhancing their 
national defense awareness, and exercises are conducted in accordance 
with combat readiness plans to enhance the militia's operational 
capabilities. 

    IV.   National Defense Building 

    China's national defense building is an important part of the 
country's modernization drive.   To meet the needs of safeguarding its 
national security, China insists on modernizing its national defense 
according to its own conditions 

    Legal System 

    During the past two years, the legal system relating to China's 
national defense has made much headway.   In March 2000, the National 
People's Congress (NPC) enacted the Legislation Law of the PRC, which for 
the first time expressly defined the legislative power of the CMC and all 
general headquarters/ departments, all services and arms, and all 
military area commands. The CMC may formulate military statutes in 
accordance with the Constitution and laws.   The general 
headquarters/departments, services and arms, and military area commands 
may, within their respective authorities, formulate military regulations 
in accordance with the law and the military statutes, decisions and 
orders of the CMC.   The military statutes and regulations are 
implemented within the armed forces.   Procedures for formulation, 
amendment and nullification of military statutes and regulations shall be 
stipulated by the CMC in accordance with the principles specified in the 
provisions of the said Law.   The above stipulations have provided for 
the important position of the military legislative system within the 
overall legislative system of the state. 

    Since 2000, China has issued 3 decisions, 56 statutes and 420 
regulations in respect of laws and law-related issues concerning national 
defense and armed forces building.   The National Defense Education Law 
of the PRC enacted by the Standing Committee of the NPC has provided a 
legal basis for national defense education.   The newly revised Law of 
the PRC on Officers in Active Service has further perfected the military 
service system pertaining to PLA officers.   The State Council and the 
CMC have joint1ly formulated the Implementation Measures for the Law of 
the PRC on Protecting Military Facilities, which expressly provides for 
the organizational leading system regarding the protection of military 
facilities, as well as specific protection and penalty measures.   The 
newly revised Routine Service Regulations of the PLA and Discipline 
Regulations of the PLA provide a powerful legal guarantee for enhancing 
the effort of running the armed forces according to law under the new 
conditions. 

    To safeguard the interests of national defense and the legitimate 
rights and interests of military personnel in an age of reform and 
opening-up, China has reformed its military judicial system.   Authorized 
by the Supreme People's Court of the PRC, military courts have begun to 
adjudicate civil cases within the armed forces, including cases on 
contract, marriage and family, real estate, intellectual property rights, 
damage claims in medical accidents, and applications for adjudication of 
the missing or death of servicemen, thus exercising the function of civil 
adjudication inside the armed forces.   Relevant organs of local 
governments at various levels and the armed forces are trying to create a 
favorable legal environment for national defense and armed forces 
building by establishing and improving the mechanism of protecting the 
legitimate rights and interests of the service personnel and their 
families. 

    Under unified arrangement by the state, the Chinese armed forces 
launched in 2001 the Fourth Five-Year Program on Education to Popularize 
Knowledge of Laws.   The main contents include studying the Constitution, 
basic laws of the state and laws and regulations in relation to national 
defense and armed forces building, performance of the armed forces' 
functions, development of the socialist market economy, and the vital 
interests of the officers and men.   The contents of the military law, 
the law of war and armed conflicts, etc., have been included in the legal 
courses at military colleges and schools, and the training programs of 
the armed forces.   The PLA has set up courses for field-grade officers 
of the Army, Navy and Air Force on the armed conflict law once every two 
years, and organized lectures on the armed conflict law for officers of 
the division level and above, who are enrolled at the National Defense 
University every year. 

    Mobilization 

    At each level of the people's government from the county up to the 
state, there is a national defense mobilization commission, which has 
under it, offices and coordinating bodies responsible for the 
mobilization of the people's armed forces, national economy and 
transportation, civil air defense, and national defense education.   The 
premier of the State Council takes the position of chairman of the State 
National Defense Mobilization Commission, and vice-premiers of the State 
Council and vice- chairmen of the CMC are vice-chairmen.   Other members 
include heads of relevant ministries and commissions under the State 
Council, leaders of the general headquarters/departments of the PLA and 
heads of their subordinate offices.   The chairman of the local national 
defense mobilization commission is the principal leader of the local 
government at the same level.   The vice-chairmen are the deputy leaders 
at the local government of the same level and principal leaders of the 
military organ at the same level. 

    The state conducts mobilization preparations in peacetime by 
integrating mobilization of the armed forces, the national economy and 
transportation, civil air defense, and defense education into the state's 
overall development plan and relevant programs.   Mobilization of the 
armed forces refers to the mobilization of the active and reserve forces 
of the PLA, the Armed Police Force, the militia and the reserve 
personnel, as well as the mobilization of appropriate weapons, equipment 
and logistical materials.   Its main task is to prepare in peacetime for 
manpower mobilization and, in case of need, call up the reservists and 
other citizens of service age, ensure a quick expansion and 
reorganization of the PLA, and expansion of the other forces, and 
organize the masses to support and join in the operations of the armed 
forces.   Mobilization of the national economy includes mobilization of 
industry, agriculture, science and technology, material supplies, 
commerce and trade, and finance.   Its main task is, in peacetime, to 
integrate the preparation for mobilization with economic development in 
an organized and planned way, and in time of war, reallocate economic 
resources, and exercise centralized control and use of national financial 
and material resources so as to increase the production of weapons, 
equipment and other military supplies, and meet the needs of war.   
Mobilization for civil air defense includes mobilization of civilians and 
people with special civil air defense skills, material and technical 
support for civil air defense projects, and civil air defense 
early-warning systems. Its main task is to mobilize social forces in 
construction of air defense projects, establish and train specialized air 
defense service, conduct civil air defense publicity and education, 
organize evacuations and sheltering, assist in air defense operations, 
and deal with the aftermath of air raids.   Mobilization of 
transportation includes mobilization of transportation, communications 
and postal services.   Its main task is to organize in peacetime the 
formation of professional transportation and communications support 
force, defense infrastructure construction, equipment build-up, war 
material storage and mobilization preparations of civil transportation 
means and in time of war, organize the rush repair and construction of 
transportation and communications facilities, and transportation support 
for troop movement and material supply. 

    In recent years, some army units and local governments have, pursuant 
to relevant laws and regulations, jointly organized defense mobilization 
drills for transportation and air defense.   China is further improving 
its defense mobilization laws and regulations, perfecting its defense 
mobilization system, and actively promoting modernization in this area. 

    Education 

    China emphasizes popularizing and strengthening national defense 
education with patriotism at its core, strives to enhance the national 
defense awareness of the whole people, and helps citizens perform defense 
duties conscientiously. 

    The nationwide defense education is under the leadership of the State 
Council, with the assistance of the CMC.   The State Defense Education 
Office is responsible for the planning, organization, direction and 
coordination of the nation's defense education.   Local people's 
governments at all levels exercise leadership over defense education in 
their respective administrative areas.   All relevant departments perform 
their respective duties, cooperate with one another, and, combined with 
their own work, ensure that defense education activities are carried out 
smoothly.   The National Defense Education Law of the PRC was formally 
promulgated and came into force on April 28, 2001, putting China's 
national defense education on the legal track. 

    China implements a military training system in institutions of higher 
learning, senior middle schools and schools corresponding to senior 
middle schools.   Since 1985, more than 200,000 officers and men have 
helped these institutions and schools organize military training for 
students, and more than 30 million students have been trained.   In the 
past several years, the percentage of university and college freshmen 
receiving military training has reached about 60%.   Commencing in 2002, 
students of all regular institutions of higher learning and senior middle 
schools are obliged to take military training in accordance with relevant 
regulations and plans. 

    On August 31, 2001, the NPC Standing Committee set the third Saturday 
of September every year as the National Defense Education Day.   This has 
provided a vehicle for the participation of the entire population in 
national defense educational activities, which helps ensure enhanced and 
continued implementation of the educational programs in this area. 

    Defense Expenditure 

    The Chinese government has always been strict in its control, 
management and supervision of defense spending, and has established a 
complete system of relevant laws and regulations for that purpose.   
Pursuant to the National Defense Law of the PRC, the entire defense 
expenditure comes from the state financial budget.   In order to meet the 
defense needs, the Chinese government exercises a system of financial 
appropriation of defense funds, and implements administration in 
accordance with the Budget Law of the PRC.   China's defense budget and 
final accounts are reviewed and approved by the NPC.   The state and 
armed forces' auditing organs exercise strict auditing and supervision of 
the execution process of the budget. 

    In recent years, in line with financing and budgeting reforms in the 
government, the administration of defense expenditure has undergone a 
whole array of reforms, including reform in the defense expenditure 
budgeting method, centralized payment for weapon and equipment 
procurement, and a tendering and bidding system for the procurement of 
defense materials, projects and services.   Defense funds are therefore 
managed in a more just, fair and transparent way. 

    Based on the continuous economic growth, China's defense expenditure 
has increased somewhat.   The proportion of annual defense spending in 
the GDP was 1.09% in 1995, and 1.50% in 2001 ( see Chart 1).   However, 
China's defense expenditure has been kept at a fairly low level, and the 
increased part is basically of a compensatory nature.   From 1979 to 
2001, the proportion of defense expenditure in the state financial 
spending is on a declining curve (see Chart 2) from 17.37% in 1979 to 
7.65% in 2001 -- a drop of nearly 10 percentage points.   Chart 1: 
Percentage of China's Annual Defense Expenditure in GDP ( 1995-2001) 
1995:1.09%; 1996:1.06%; 1997:1.09%; 1998:1.19%; 1999:1.31%; 2000:1. 35%; 
2001:1.50% Chart 2: Percentage of China's Defense Expenditure in the 
Total State Financial Expenditure (1979-2001) 1979:17.37%; 1983:12.57%; 
1987:9.27%; 1991:9.75%; 1995:9.33%; 1998: 8.66%; 2001:7.65%. 

    China's defense spending was 120.754 billion yuan (RMB) in 2000, and 
144.204 billion yuan in 2001.   The budget for defense expenditure in 
2002 is 169.444 billion yuan (see the following table), accounting for 
7.60%, 7.65% and 8.03% of the state financial expenditure in the same 
year, respectively.   Table: Breakdown of China's Annual Defense 
Expenditures in 2000, 2001 and 2002 (unit: RMB100 million yuan) Item 
Year/Personnel: 2000/405.50; 2001/461.63; 2002/540.43 Item 
Year/Maintenance & Operations: 2000/412.74; 2001/485.81; 2002/581.23 Item 
Year/ Equipment: 2000/389.30; 2001/494.60; 2002/572.78 Item Year/Total: 
2000/1,207.54; 2001/1,442.04; 2002/1,694.44 

    The increased defense expenditure in recent years has primarily been 
for the following purposes: (1)Increase of personnel expenses. Along with 
the socio-economic development and the per-capita income rise of rural 
and urban residents, it is necessary to improve the living standards and 
conditions of military personnel. The past decade has witnessed the 
increase of the board expenses in the armed forces on five occasions, and 
an 84% salary raise for officers and 92% allowance raise for soldiers.   
(2)Establishment and gradual improvement of a social security system for 
servicemen. In accordance with the requirements of the market economy, 
China has, since 1998, established such systems as injury and death 
insurance for servicemen, medical insurance for demobilized servicemen 
and housing subsidies for servicemen, and adjusted and enhanced living 
expense standards for PLA retirees.   (3)Increase of expenses of a 
maintenance nature.   Since the armed forces stopped commercial 
activities in 1998, the budget for training has increased year by year.   
With the gradual improvement of living facilities and progressive office 
automation, expenses of a maintenance nature have kept rising.   
(4)Increase of expenses spent on cooperation with the international 
community in anti-terrorism activities.   (5)Appropriate increase of 
expenses for the improvement of military equipment to enhance defense 
capabilities under the conditions of modern technologies, particularly 
high technologies. 

    On the whole, China's defense expenditure has remained at a fairly 
low level in the world in 2002 (see Chart 3).   Compared with the USA, 
Russia, UK and France, the percentage of China's defense expenditure in 
its GDP and the state financial expenditure is also fairly low (see Chart 
4). Chart 3: Comparison of Defense Expenditures of Some Countries in 2002 
(unit: 100 million US dollars) USA:3,479.9; Russia:91; UK:348; 
France:244; Germany:207; Japan:405; China:204 Note 1: The exchange rate 
used here is based on that announced by China's State Administration of 
Exchange Control in 2002, which is 1.0 US dollar equals about 8.28 RMB 
yuan. Note 2: Statistics in the chart are sourced from the national 
defense reports, financial reports and other government reports published 
by the said countries. Chart 4: Comparison of the Percentages of Defense 
Expenditure in the GDP and Financial Expenditure of China and Some Other 
Countries in 2001 Percentage of defense expenditure in the GDP: 
USA:3.04%; Russia:2.41%; UK:2.50%; France:1.96%; Germany:1.10%; 
Japan:0.95%; China:1.50% Percentage of defense expenditure in financial 
expenditure: USA:16.55%; Russia:18.35%; UK:6.1%; France:11.08%; 
Germany:9.80%; Japan:5.98%; China:7.65% Note: Statistics in the chart are 
sourced from the national defense reports, financial reports and other 
government reports published by the said countries. 

    Science, Technology and Industry for National Defense 

    China's defense-related science, technology and industry is the 
state's strategic industry, and the important industrial and 
technological foundation for national defense modernization, as well as a 
major driving force for the development of the national economy, science 
and technology.   China builds and develops its defense-related science, 
technology and industry independently, enhances the overall level and 
economic efficiency of defense- related science, technology and industry, 
and promotes the coordinated development of national defense and economy. 

    The Commission of Science, Technology and Industry for National 
Defense of the PRC is an organ under the State Council in charge of work 
in this regard.   It is responsible for researching and formulating 
principles and policies, as well as laws, rules and regulations in 
respect of the development of defense-related science, technology and 
industry; deliberating the development plan for defense-related science, 
technology and industry, and overseeing the overall planning of and 
proper connections between defense-related research, production and 
construction; organizing qualification examination and approval work for 
research and manufacture of military products; examining and verifying 
contracts in respect of scientific research and production between the 
military and the producers; coordinating, supervising and inspecting 
execution of ordering contracts so as to ensure the production and supply 
of military equipment; exercising administration of the nuclear, space, 
aviation, shipbuilding and weaponry industries; giving guidance to the 
administration of the military-related electronics sector; organizing, 
studying and implementing reform of the system of defense-related 
science, technology and industry; organizing adjustment of the 
capability, structure and layout of the defense-related science, 
technology and industry; drawing up plans for investment in fixed assets 
in respect of defense-related science, technology and industry, and for 
technical transformation and development of defense conversion 
technologies, and organizing the implementation of such plans; and 
conducting foreign exchanges and international cooperation in the field 
of defense-related science, technology and industry. 

     After decades of development, China has formed a defense- related 
science, technology and industry system, which is by and large complete 
in disciplines and coordinated with regard to means of research and 
production; trained and fostered a contingent of professionals with a 
good mastery of advanced technology and a sound work style; and laid an 
important material and technological foundation for independent research 
and manufacture of military equipment in China.   Currently, China has 11 
military industrial group corporations, namely, China National Nuclear 
Corporation, China Nuclear Engineering and Construction Corporation, 
China Aerospace Science and Technology Corporation, China Aerospace 
Science and Industry Corporation, China Aviation Industry Corporation I, 
China Aviation Industry Corporation II, China State Shipbuilding 
Corporation, China Shipbuilding Industry Corporation, China North 
Industries Group Corporation, China South Industries Group Corporation, 
and China Electronic Science and Technology Corporation.   Each is 
responsible for the organization and administration of its R&D and 
manufacture, and exercising the rights of an investor authorized by the 
state over state-owned assets in its subordinate enterprises. 

    China's defense-related science, technology and industry gives 
priority to the development of new- and high-tech weaponry and equipment, 
and strives to raise their modernization level.   It is imperative to 
speed up the adjustment of capability, structure and layout, enhance 
capability in research and production of new- and high-tech weaponry, 
streamline the work force of military industry, optimize the industrial 
layout, and gradually establish a new system of defense-related science, 
technology and industry.   It is imperative to further strengthen the 
development of defense- related science and technology, promote the 
progress of science and technology, concentrate resources to make 
breakthroughs in a number of key technologies, enhance the capability of 
self- reliance and innovation and sustained development capability in 
defense-related science, technology and industry, and strive to achieve 
leapfrog technological progress.   It is imperative to bring up talented 
people and create a well-structured contingent of high- caliber people in 
a whole array of disciplines needed for the development of 
defense-related science, technology and industry.   At present, in 
China's defense-related science, technology and industry, 141 
academicians of the Chinese Academy of Sciences and the Chinese Academy 
of Engineering are active, of which 52 are academicians of the Chinese 
Academy of Sciences, 95 are academicians of the Chinese Academy of 
Engineering, and 6 belong to both academies. 

    The Chinese government has always stressed the peaceful use of 
military industrial technology, and encouraged and supported 
defense-related science, technology and industry to bring its 
technological and human resource advantages into full play, and develop 
dual-purpose technologies and new- and high-tech industries, and thus 
promoted the development of the national economy.   Nuclear power for 
civil use should be industrialized.   Civil aerospace technologies have 
made remarkable achievements in the applied satellite, carrier rocket, 
and manned spaceship.   The " Long March" series of carrier rockets have 
successfully launched 27 foreign-made satellites, entitling China to a 
position in the international commercial satellite launching service 
market.   In 1999, 2001 and 2002, China successfully launched in 
succession three experimental unmanned spaceships, marking a breakthrough 
for China in mastering basic manned spaceship technology.   This has 
provided a solid foundation for China to send a manned spaceship into 
space.   The aviation industry for civil use, while strengthening 
technological research, expanding sub-contracting scope for production, 
and improving existing plane models, has made important headway in 
manufacturing general-purpose aircraft and the "Xinzhou 60" aircraft, and 
has begun the R&D of new feeder liners.   The shipbuilding industry for 
civil use has already become a highly competitive pillar export industry 
among China's electromechanical industries.   In recent years, China's 
shipbuilding output has continuously increased, ranking third in the 
world for seven consecutive years.   The accomplished shipbuilding output 
in 2001 accounted for six percent of the world 's total. 

    China's defense-related science, technology and industry endeavors to 
establish and perfect an organizational system and an operational 
mechanism tailored to the needs of national defense building and the 
socialist market economy.   It encourages a specialized division of 
labor, gradually forms a new multi-tiered cooperative system of principal 
weaponry contractors, sub- contractors and suppliers of parts and 
components.   It also presses forward with the strategic reorganization 
of military industrial enterprises and institutions, optimizes the 
allocation of resources, develops core industries, and gradually forms a 
batch of internationally competitive conglomerates.   It makes efforts to 
deepen the reform of military industrial enterprises, establish a modern 
enterprise system, and push forward the diversification of investors of 
the enterprises and transformation of operational mechanisms so as to 
enable these enterprises to turn into market competitors operating 
independently and responsible for their own profits or losses.   The 
defense-related science, technology and industry stresses the reform of 
its sci-tech system, strengthens the organic integration of production, 
education and research, and transforms the defense-related science and 
technology into actual productivity.   In addition, the defense-related 
science, technology and industry adheres to opening-up, and actively 
participates in international exchanges and cooperation in line with the 
principles of the complementarity of each other's strengths, reciprocity, 
mutual benefit and common development. 

    Land and Sea Border Defense 

    China pursues a policy of good neighborliness and friendship.   It 
defends and administers its land borders and seas under its jurisdiction, 
safeguards the country's territorial sovereignty and maritime rights and 
interests, and secures both its land and sea borders strictly in 
accordance with treaties and agreements it has signed with neighboring 
countries, and the United Nations Convention on Law of the Sea. 

    China advocates settling unresolved border and maritime demarcation 
issues through negotiation, and demarcating maritime boundaries with 
neighboring countries or countries contiguous to opposite coasts based on 
the principle of equity, and opposes the use of force or provocative 
acts.   China has solved or basically solved boundary issues left over by 
history with most of its adjacent countries.   In December 2000, China 
and Viet Nam entered into the Beibu Gulf Demarcation Agreement.   In May 
2002, China and Tajikistan signed the Supplementary Agreement on the 
Boundary Between the People's Republic of China and the Republic of 
Tajikistan. 

    China attaches importance to having frontier defense exchanges and 
cooperation with neighboring countries, and jointly maintaining order 
along the borders.   China has signed treaties, agreements and 
understandings with Mongolia, Russia, Myanmar, Viet Nam, Laos and India 
on border control and handling border affairs, setting up 
confidence-building measures, and preventing dangerous military 
activities.   Since 1995, the Chinese Ministry of National Defense has 
signed frontier cooperation agreements with the General Administration of 
Frontier Defense of the Russian Federation and the Administration of 
Frontier Guards of Mongolia.   In January 2002, Chinese Ministry of 
National Defense and the National Security Commission of Kazakhstan 
signed the Frontier Defense Cooperation Agreement Between China and 
Kazakhstan.   In April 2002, China sent a delegation to attend the 
meeting of leaders of frontier defense authorities of the member states 
of the Shanghai Cooperation Organization (SCO) held in Alma-Ata.   At the 
meeting, the leaders of the frontier defense authorities of China, 
Russia, Kazakhstan, Kyrgyzstan and Tajikistan agreed that the frontier 
defense authorities of the five states will, within the framework of the 
relevant documents of the SCO and in accordance with the circumstances of 
the areas of common borders of the member states, strengthen exchanges of 
information in respect of frontier defense; further deepen corresponding 
bilateral and multilateral cooperation; take effective measures for the 
joint fight against terrorism, separatism and extremism, and for 
preventing cross-border criminal activities of all forms; safeguard order 
along the common borders of member states; and provide powerful guarantee 
for the development of good neighborliness and friendship and economic, 
trade and cultural relations between the member states.   China's 
frontier authorities and frontier troops faithfully implement relevant 
treaties, agreements and understandings, actively establish or improve 
the systems for consultation, frontier defense talks and meetings with 
counterparts of neighboring countries, carry out frontier defense 
contacts and cooperation at various levels, and deal appropriately with 
border affairs.   Therefore, mutual understanding, trust and friendship 
between China and neighboring countries have been increased, and a 
peaceful and friendly atmosphere along borders has been created. 

    The Chinese government attaches importance to border area development 
and endeavors to promote transportation, communications, culture, 
education, public health, radio and television services in border areas.  
 Since 1996, the State Frontier Defense Commission has organized the 
construction of frontier defense infrastructure on a large scale in nine 
overland frontier provinces and autonomous regions, which has effectively 
improved the administrative conditions of border areas, and given impetus 
to economic and social development there.   While earnestly performing 
their duties and unremittingly improving themselves, the land and sea 
border defense forces have actively participated in and supported local 
economic development and the building of spiritual civilization.   This 
has helped to strengthen the relations between the armed forces and the 
local governments, and between the military and civilians, and to 
safeguard political and social stability, and the unity of ethnic groups 
in frontier regions. 

    Civil Air Defense 

    China's civil air defense sector implements the concept of people's 
war.   In view of wartime requirements, and based on the economic 
capability of the country, it relies on the broad masses, gives play to 
the initiatives of the central and local governments, ensures its 
readiness to provide effective protection.   The basic tasks of civil air 
defense include: spreading knowledge of air defense among the people; 
building all types of protection projects; setting up a civil air defense 
communications and warning system; making plans for personnel and 
material evacuation; organizing and training specialized air defense 
contingents; guarding and protecting important facilities of the national 
economy; and in wartime, organizing and directing people to protect 
themselves against air-raids.   In accordance with the needs for 
preparation against war, China has identified cities and regions for the 
conduct of civil air defense, and urban civil air defense is taken as the 
focal point of civil air defense. 

    The civil air defense sector adopts a system of joint leadership by 
the people's governments and military organs.   The State Council and the 
CMC exercise leadership over civil air defense nationwide.   Authorized 
by the State Council and the CMC, the military area commands exercise 
leadership over civil air defense in their respective regions.   Local 
people's governments at the county level and above and the corresponding 
military organs exercise leadership over civil air defense in their 
respective administrative areas.   The administrative organ in charge of 
nationwide civil air defense is in the General Staff Headquarters, and 
those in charge of the military area civil air defense are in the 
headquarters of the military area commands.   The administrative organs 
in charge of civil air defense at the county level and above are in the 
people's governments at the same level.   The relevant departments in 
charge of planning, programming and construction in the people's 
governments at the county level and above are responsible for relevant 
civil air defense within their respective scopes of duties. 

    The civil air defense sector adheres to the policy of long-term 
readiness, construction of key projects, and combination of peacetime 
footing with wartime footing, and implements the principle of developing 
in coordination with economic construction and in combination with urban 
construction.   In peacetime, the state carries out civil air defense 
construction, divides cities into different categories for protection, 
incorporates civil air defense construction into the national 
socio-economic development program, integrates the civil air defense 
construction plan into the overall urban development plan, and ensures 
the smooth operation of the civil air defense communications and warning 
system.   The state protects civil air defense facilities from being 
damaged, adopts a preferential policy toward construction of air defense 
facilities, and encourages and supports enterprises, institutions, social 
organizations and individuals to invest in civil air defense construction 
projects.   In peacetime, the state encourages submission of civil air 
defense projects to the service of economic development and people's 
daily needs; the use of civil air defense communications and warning 
facilities for emergency rescue and disaster relief, and assumption by 
civil air defense organs and specialized contingents of rescue and relief 
missions assigned by people's governments.   To meet the needs of the 
changing situations, civil air defense will gradually be integrated with 
disaster prevention, and capabilities in rapid- reaction, 
damage-resistance, emergency rescue and self-improvement will be enhanced 
so as to cope with modern warfare and serious disasters and accidents, 
and effectively protect citizens' lives and property. 

    China has promulgated and implemented the Civil Air Defense Law of 
the PRC, and formulated a number of auxiliary civil air defense 
regulations.   China sets store by cooperation and exchanges in respect 
of civil air defense with countries worldwide, and joined the 
International Civil Defense Organization in 1992. 

    Participating in and Supporting the Development of the Western Region 

    The development of China's western region is important to the 
country's economy, politics and national defense.   In accordance with 
the strategic decision for the large-scale development of the western 
region made by the state, the CMC has established a special leading group 
and a dedicated office, and made unified arrangements.   The PLA and the 
Armed Police Force have contributed more than 1.5 million troops and 
450,000 motor vehicles and machines to actively participate in and 
support the western region development efforts. 

    Concentrating strength on supporting the construction of key 
infrastructure projects.   The Chinese armed forces regard the 
participation in the construction of transportation, energy, water 
conservancy and communications projects as the focal points in supporting 
the development of the western region.   They have engaged in the 
expansion or reconstruction of 8 airports, 3 national highways and 4 
expressways; the construction of 9 energy facilities such as pipelines, 
natural gas fields and oil-and-gas fields; the construction of 7 
hydropower stations and 19 trunk diversion channels; and the laying of 8 
optic telecommunications cables totaling more than 20,000 km. 

    Taking part in the protection and construction of the ecological 
environment.   The armed forces stationed in the western region have, in 
order to improve the ecological environment, taken an active part in 
activities such as forestation, sand prevention and control, closing 
mountains to facilitate forestation, and restoring the reclaimed land to 
forests and grasslands.   They have planted trees in an area of more than 
3 million mu (one mu equals one fifteenth of a hectare), sown grass on 
more than 1.8 million mu of land, and restored more than 1.5 million mu 
of reclaimed land to forests and grasslands.   Technical troops 
specializing in mapping, meteorology, water supply and aviation have 
provided such services as geographic survey, weather forecast, water 
source exploration, aerial sowing and artificial precipitation in the 
western region. 

    Providing talented personnel, and intellectual and technical support. 
  Chinese armed forces have selected and transferred professionals from 
military colleges and schools, hospitals and scientific research 
institutes to support the development of the western region; arranged, in 
a planned way, demobilized officers to work in the western region; 
encouraged or persuaded demobilized soldiers from densely populated areas 
to settle in the west; and assigned increased numbers of soldiers from 
the western region to units stationed in developed areas, so as to help 
the cultivation of talents and the renewal of thinking for the 
development of the western region.   Some colleges and schools, hospitals 
and scientific research institutes have actively provided services to the 
western region by way of jointly running schools, sponsoring short-term 
training courses, offering diseases prevention and treatment assistance, 
and transferring achievements of scientific and technological research. 

    Opening and developing military facilities.   On the premise of 
ensuring military security, the armed forces have opened 5 military 
airports, more than 200 military rail lines, 30 oil pipelines, 70 
communication lines and more than 100 rear area warehouses for civilian 
use.   Some of the military farms, real estate, support enterprises and 
army horse-breeding farms have been handed over to local authorities.   
The armed forces have improved such facilities for preparation against 
war as air traffic control and frontier defense roads, in order to 
support the development of the civil transportation. 

    Carrying out activities to help the poor and needy.   The armed 
forces stationed in the western region have sent officers and men to help 
repair roads, install electricity lines, sink wells, teach useful skills 
and develop a diversified economy.   These efforts have enabled more than 
200,000 local people to get rid of poverty. The armed forces have also 
helped build or enlarge more than 300 middle and primary schools, and 
helped more than 50,000 school dropouts return to class.   In addition, 
100 PLA hospitals have made arrangements with 105 local county hospitals 
in the poor areas of the western region to provide assistance. 

    V.   Armed Forces Building 

    In compliance with the general requirements of being qualified 
politically and competent militarily and having a fine style of work, 
strict discipline and adequate logistical support, and focusing on the 
two historic tasks of being capable of winning and never degenerating, 
the PLA strives to strengthen its overall development and form a 
revolutionary, modernized and regularized people's army. 

    Military Training 

    The PLA strives to adapt itself to the characteristics of modern 
warfare, takes enhancement of the capability of defensive operations 
under high-tech conditions as the main objective, and continuously 
strengthens and improves military training. 

    Over the past two years, the PLA has quickened its steps in 
transforming the training -- from the conventional training to one 
featuring new technology.   It has made full use of modern science and 
technology to organize and implement military training.   In October 
2000, the General Staff Headquarters organized a large- scale high-tech 
military exercise in the vicinity of Beijing and used such new and high 
technologies as computer networking, reconnaissance sensing, ECM and 
simulation to drill and test the new operational concepts, weaponry and 
training methods.   The latest achievements gained in military training 
featuring new technologies were exchanged among the troops. 

    In line with the new generation of operational doctrines, the PLA 
focuses on the studies and training of joint operations.   The annual 
regular exercises organized by the military area commands and services 
and arms all concentrate on joint operations.   In the spring and summer 
of 2001, both Nanjing and Guangzhou military area commands organized 
field exercises with joint landing operations as the backdrop, focusing 
on the coordination of joint and combined arms landing operation, and 
drew useful lessons on how to organize, support and manage joint 
training, ground force amphibious landing training, and training of rapid 
reserve mobilization.   In addition, the general headquarters/departments 
organized successive studies and exercises of communications and command 
at the joint operational level, training of landing and mountain 
operations, and research on methods of joint penetration operations, and 
explored the features and patterns of integrated network and electronic 
warfare. 

    The PLA has enforced new military training regulations and 
strengthened regularized training.   On the basis of extensively 
absorbing the achievements of the armed forces' training reform and the 
experience gained in troop training featuring new technologies, the 
General Staff Headquarters revised and adjusted the system of content of 
the PLA's military training, promulgated the Outline of Military Training 
and Evaluation in July 2001, and organized a training course of the 
Outline in a combined corps in northern China in September 2001.   In 
September 2002, the CMC promulgated the new Regulations on Military 
Training of the PLA comprehensively and systematically standardizing the 
organization, leadership and administration of military training. 

    The PLA has continued to deepen the reform of institutional 
education.   In line with the general concept of "running schools in 
large scale, modernizing teaching, regularizing administration and 
outsourcing logistic support," the PLA has further improved its new 
system of institutional education and established a teaching system 
consonant with military, sci-tech and educational developments.   In 
recent years, on the basis of fulfilling the major construction tasks of 
18 colleges and schools, 60 disciplines and 31 laboratories, the PLA has 
launched the Key Construction Project of Military Colleges and Schools, 
whereby efforts are being focused on 67 domains of disciplines and 
specialties, and 178 research centers.   So far 58 have been qualified as 
state-level key disciplines and specialties.   The general 
headquarters/departments have promulgated the first catalogue of 
disciplines and specialties of the PLA's colleges and schools, thus 
setting up a new system of disciplines and specialties.   Deepening 
teaching reform with teaching content as the focal point, colleges and 
schools of the PLA have formulated a new teaching program, implemented a 
key teaching material development project, and perfected the teaching 
appraisal system.   At the same time, informationization and networking 
of teaching have been promoted, and an information network platform for 
the armed forces' teaching and scientific research has been initially put 
in place, giving shape to a training information network linking PLA's 
colleges and schools and having nearly 100,000 websites and centers. 

    Political Work 

    The political work of the PLA is the ideological and organizational 
work of the CPC in the armed forces.   It is the fundamental guarantee 
for the absolute leadership of the Party over the armed forces, and the 
assurance on maintaining and improving combat effectiveness of the 
troops.   It is the lifeline of the PLA. 

    The PLA's political work implements the aim of serving the people 
wholeheartedly; guarantees the Party's absolute leadership over the armed 
forces; adheres to the principle of seeking unity between officers and 
men and between the military and the people, and demoralizing and 
disintegrating the enemy, with ideological- political education as the 
central link; operates a system featuring political democracy, economic 
democracy and military democracy; and enforces the Three Main Rules of 
Discipline and the Eight Points for Attention.   The PLA's political work 
implements the Party committee (Party branch) system, political leader 
system and political organ system.   The Party committee (Party branch) 
system stipulates that a Party committee shall be set up in a unit at or 
above the regiment level, a grass-roots Party committee in a unit at the 
battalion or corresponding level, and a Party branch in a unit at the 
company or corresponding level.   Party committees (Party branches) at 
various levels are the core of the centralized leadership and unity of 
the unit concerned.   The system of leading cadres assuming separate 
responsibilities under the unified collective leadership of the Party 
committee (Party branch) is the fundamental system for Party leadership 
over the armed forces.   The political leader system stipulates that a 
political commissar shall be appointed to a unit at or above the regiment 
level, a political director to a battalion, and a political instructor to 
a company.   The political commissar, political director and political 
instructor, together with the chief military officers at the same level, 
are the chief leaders of their units, assuming joint responsibility for 
all work in their units under the leadership of the Party committees 
(Party branches) at the same level.   The political commissar, political 
director and political instructor are organizers of the day-to-day work 
of the Party committees ( Party branches) and leaders of political work.  
 The political organ system stipulates that a political department 
(section) shall be set up in a unit at or above the regiment level, and a 
general political department for the PLA; and that the political organs 
are the leading body of the political work in a unit, responsible for 
administering Party work and organizing the implementation of the 
political work. 

     The political work of the PLA persists in advancing with the times, 
breaking new ground and making innovations, keeping pace with profound 
changes in the international situation and the military field, adapting 
itself to the rapid development of the socialist market economy, striving 
to provide strong spiritual motivation for winning future high-tech wars, 
and furnishing a reliable political guarantee for maintaining the nature, 
character and work style of the people's army.   In recent years, the CPC 
Central Committee has promulgated the new Regulations on the Political 
Work of the PLA, the CMC has promulgated the Outline for Armed Forces 
Construction at the Grass-Roots Level, and the General Political 
Department has released Decisions on Some Issues Concerning the PLA 
Ideological-Political Work Under the Conditions of the Reform and 
Opening-up and the Development of a Socialist Market Economy and Opinions 
on Strengthening and Improving Ideological-Political Education of the 
Army in the New Situation.   The PLA has actively studied and implemented 
the important thought of the "Three Represents," organized the rank and 
file to study the Constitution and other state laws, the Party's basic 
theories, and scientific and cultural knowledge, and conducted education 
in patriotism, collectivism and revolutionary heroism by establishing 
military history museums in units at and above the regiment level, and 
honor exhibition in companies.   The PLA has issued an ethical code for 
servicemen, organized the composition of moral songs, set up a PLA-wide 
publicity, cultural and information network, improved cultural facilities 
in barracks, set up cultural clubs in companies, and established cultural 
centers in units at and above the regiment level.   The PLA has carried 
out psychological education and legal consultation, and has established 
psychological education and legal consultation mechanisms that rely 
mainly on brigade or regiment political organs and grass- roots political 
officers and integrate the political work system with the related 
specialty system. 

    Logistical Support 

    The PLA strives actively to reform its logistical structure and 
system, construct a modern logistical support system and constantly 
enhance its logistical support capabilities. 

    The introduction of the joint logistics system is a major reform of 
the logistical support system of the PLA.   The joint logistics system is 
based on military area commands.   It combines regional support with 
organic system support and general supply support with special supply 
support.   Unified general-purpose material supply and service support 
are provided by military area commands, and special material supply and 
service support are provided by the services and arms through their 
organic channels.   The General Logistics Department is in charge of the 
PLA's joint logistics work.   The military area command's joint logistics 
department is in charge of the joint logistics work within a theater of 
war.   And the joint logistics sub-department is mainly responsible for 
organizing and implementing the general-purpose support of the services 
and arms within its support area.   After more than two years' practice 
of reform, the joint logistics system has been standardized gradually 
with notably improved efficiency.   The system will be further developed 
into one that integrates the three armed services, unites the army with 
the people, and combines peacetime and wartime footing. 

    In order to streamline the logistical support organizations and 
improve the cost-effectiveness of defense expenditures, the PLA has 
carried out a reform featuring the socialization of logistical support in 
non-combat units at and above the corps level, and in military colleges 
and schools and hospitals in large and medium- sized cities.   After 
nearly three years of effort, substantial progress has been achieved in 
this regard, including reform in food and commercial services, barracks, 
and the administration of civilian employees.   Reform has also been 
carried out, on a trial basis, in non-military transportation, fuel 
supply and the monetized supply of clothing.   So far, the PLA has 
already had more than 1,500 messes run by civilian services, more than 
1,000 post exchanges integrated into civilian service systems, more than 
1, 800 barracks managed by real estate companies, approximately 300 
support enterprises and farms transferred to central and local 
authorities, reducing a total number of more than 300,000 institutional 
and business employees.   In order to promote the reform of socialization 
of military logistical support and to ensure the development of the 
reform, in September 2002, the State Council and the CMC issued an 
Announcement Concerning the Issues of Advancing the Reform of Military 
Logistical Support, and in October, the CMC approved and transmitted the 
General Logistics Department's Opinions on Some Issues Concerning the 
Socialization of Military Logistical Support. 

     In March 2001, the PLA began to reform the budgetary planning 
system.   Drawing on the internationally adopted budgeting method, the 
PLA reformed its budgeting form, method and content extensively, with 
emphasis placed on implementation of the zero- base budget method, so as 
to give full play to the budget's macro- control role and gradually 
establish a new budgeting pattern featuring the concentration of 
financial power and resources, scientific distribution of military 
expenditures, concrete and transparent itemization, and tight supervision 
and control. 

    In January 2002, the PLA carried out an across-the-board reform of 
the procurement system, focusing mainly on concentrated procurement and 
procurement through public bidding, and set up a mechanism for sectional 
management, which features cooperation with proper division of labor and 
mutual restriction.   High-value, large-quantity, general-purpose 
materials are procured in a concentrated way by relying mainly on the 
material procurement departments.   Bulk materials with one-time 
procurement value exceeding RMB 500,000 yuan, and projects newly built, 
expanded, or revamped each involving an investment of over RMB 2 million 
yuan are undertaken through public bidding. 

    Currently, the method of combining military support with social 
support, government house with self-owned house, and supply in kind with 
supply in money is adopted for PLA officers' housing system.   Officers 
of all ranks and all military branches are provided with appropriate 
housing support.   Active-service officers live mainly in government 
houses.   Retired officers are entitled mainly to purchase the houses 
they are living in or other affordable houses.   Demobilized officers and 
noncommissioned officers transferred to civilian posts should be ensured 
of housing benefits mainly by subsidies and incorporation into the social 
security system. 

    The PLA constantly strengthens the development of its logistical 
equipment and upgrades its logistical support means.   In 2001, it 
carried out coordinative experiments in the overall support capability of 
logistical equipment organically and systematically; developed logistical 
equipment in seven aspects -- rapid maritime rescue and treatment of the 
wounded, shore party support, air field support, mobility support for 
missile units, air-dropped material support, individual support and field 
logistics command; and completed the demonstration, R&D and testing of 86 
kinds of new equipment.   In order to obtain and process information on 
the resources, requirements and conditions of logistical support 
real-time and in a precise and transparent way, the PLA is doing research 
on a video logistics system.   In July 2002, the CMC promulgated the 
Regulations on the Logistical Equipment of the PLA to promote the 
regularized development of logistical equipment. 

    Weaponry and Equipment 

    In line with the needs of high-tech military developments and defense 
operations, the PLA conscientiously implements the principle of building 
a strong military through science and technology and giving first place 
to quality, so as to upgrade and accelerate the development of military 
equipment. 

    The weaponry and equipment management system and mechanism have 
further improved.   Following the founding of the General Armaments 
Department in April 1998, the services and arms, military area commands 
and combat units at the corps, division and regiment levels have all set 
up their armaments departments (sections), and further strengthened 
unified leadership over weaponry and equipment development, and the 
across-the-board and life-cycle management of military equipment, thus 
effectively improving the overall efficiency.   In December 2000, the CMC 
promulgated the first Regulations on Armaments of the PLA, which 
standardizes the organization and leadership, division of 
responsibilities and management procedures of the PLA's armament-related 
work.   The CMC promulgated the Regulations on the Armament Maintenance 
Work of the PLA in June 2002, and the Outline of Operational Equipment 
Support of the PLA in October 2002.   These rules and regulations 
concerning armament-related work have promoted the development of the 
work along scientific, regularized and legal lines. 

    The modernization level of weaponry and equipment has undergone 
constant improvement.   The PLA persists in stressing self-reliance and 
independent innovation, and actively develops military equipment with 
advanced foreign technology.   In compliance with the needs of future 
defense operations in high-tech conditions, the PLA mainly develops 
weaponry and equipment featuring new and high technology, while upgrading 
and modernizing current weaponry and equipment selectively, so as to 
accomplish the historical tasks of mechanization and IT-application of 
military equipment.   A Chinese- style weaponry and equipment system, 
with a relatively complete variety and a good structure, has thus come 
into shape. 

    Weaponry and equipment management capability has been notably 
enhanced.   The PLA manages and uses existing weaponry and equipment 
conscientiously and in a proper way, and constantly enhances its ability 
to manage new-type weapons.   The forces at and below the corps level 
have universally established and improved rules and regulations for 
weaponry management, exercised standardized management of 
equipment-related finance, and carried out examination and appraisal 
relating to the scientific, institutional and regular management of 
weaponry and equipment.   At the same time, they have organized training 
courses in the use and management of new-type equipment, trained 
personnel in equipment management and technological support, improved the 
management of support facilities, and succeeded in developing the combat 
and support capabilities of military equipment organically and 
systematically. 

    The weapon and equipment procurement system is being gradually 
reformed.   The PLA seeks actively to meet the requirements of the 
socialist market economy and improvement of weapons and equipment, and 
vigorously promotes the reform.   The armament departments perform the 
functions of the principal responsible party in weapon and equipment 
ordering, and institutes contractual management in the research, 
procurement and maintenance of weapons and equipment in accordance with 
state and PLA regulations.   In recent years, the PLA has persisted in 
introducing the mechanism of competition into its procurement process, 
gradually instituted a public bidding and tendering system, introduced 
and improved mechanisms of competition, appraisal, supervision and 
motivation, further strengthened the fostering of factory-based military 
representatives, and perfected the quality certification system, thereby 
improving the efficiency of the weapon and equipment expenditures, and 
the cost-effectiveness of weaponry research and production. 

    Cadre Training 

    The PLA persists in taking the training of high-quality military 
personnel of a new type as a fundamental measure for promoting a leapfrog 
development of the armed forces' modernization. 

    Cadres of the PLA include officers and non-ranking cadres.   In 
recent years, the PLA has constantly raised the training level of officer 
candidates, adjusted the sources of officer candidates, and established a 
scientific and justified system for training such candidates, resulting 
in a marked improvement in the training level, quality and efficiency of 
military personnel.   At present, more than 80% of the PLA's cadres have 
received junior college or higher education.   More than 30,000 have 
doctor's or master's degrees, and many of them hold leading posts at the 
division or regiment level.   At the same time, in order to draw on the 
useful armed forces building experiences of other countries, particularly 
developed countries, the PLA has since 1996 sent nearly 1,000 servicemen 
to study in over 20 countries, a considerable number of them being 
commanding or technical officers at the division or regiment level. 

    Both the Law of the PRC on Officers in Active Service passed by the 
Standing Committee of the NPC in December 2000 and the Regulations on 
Non-Ranking Officers of the PLA issued by the CMC in June 1999 explicitly 
stipulate that commanding officers and non- ranking officers without 
technical specialty, as well as ranking officers with technical specialty 
and non-ranking officers with technical specialty should receive training 
at relevant colleges and schools or other training institutions before 
their promotion; and that cadres in leading organs should have undergone 
training at appropriate colleges or schools.   Cadre's on-the-job 
training is gradually undergoing a change from academic credentials 
education to all-round continuing education.   Except for a small number 
of cadres who have to take academic credentials education, the 
overwhelming majority of cadres would update their knowledge mainly 
through short-term training. 

    In May 2000, the State Council and the CMC promulgated the Decision 
on Establishing a System for Training Military Cadres by Reliance on 
Regular Institutions of Higher Learning, clearly stressing the role of 
regular higher education in the modernization of national defense and the 
armed forces, so as to widen the channel for the selection and training 
of high-caliber personnel for the military.   So far, more than 50 
institutions of higher learning, including Peking University and Tsinghua 
University, have undertaken the task of training personnel for the armed 
forces, providing a large batch of outstanding personnel for the PLA each 
year. 

    To meet the requirement of building a strong military through science 
and technology, the PLA pays great attention to the training of 
high-level personnel.   In the past two years, the PLA's mobile 
post-doctoral stations and doctor's or master's degree authorization 
centers have increased by large margins, the academic degree 
authorization system has been improved gradually, and the training scale 
has been enlarged substantially.   In May 2002, the Academic Degree 
Commission under the State Council examined and approved the Plan of 
Setting Up Specialties for the Master Degree of Military Science, and 
decided on the setting up of specialties for the master degree of 
military science as an experiment, marking a new stage in the training of 
high-level professionals for the armed forces. 

    The PLA regards the exchange of cadres as an important channel for 
training and tempering them and raising their quality.   The Law of the 
PRC on Officers in Active Service further clarifies and standardizes the 
exchange of officers.   The Regulations on the Appointment and Removal of 
the PLA Officers in Active Service promulgated by the CMC in January 2002 
lays down concrete stipulations on the condition, scope, organization and 
implementation of officer exchange.   In accordance with the Interim 
Provisions on the Rotation of Cadres of the PLA Garrison in Hong Kong 
promulgated in December 1998, a regular rotation system has been 
instituted for all cadres of the garrison force in Hong Kong, and three 
batches of cadres have so far been rotated.   A rotation system of this 
kind has also been instituted for the PLA Garrison in Macao. 

    VI.   International Security Cooperation 

    International security cooperation is playing an increasingly 
important role in maintaining world and regional peace and stability.   
The Chinese government pays great attention to and actively participates 
in international security cooperation, and advocates the development of 
international security cooperation on the basis of the UN Charter, the 
Five Principles of Peaceful Coexistence, and other universally recognized 
norms of international relations. 

    Regional Security Cooperation 

    Conducting dialogue and cooperation with Asia-Pacific countries is an 
important content of China's policy concerning Asia-Pacific security, and 
a component part of its policy of good- neighborliness and friendship.   
China persists in building a good- neighborly relationship and 
partnership with its neighbors and strengthens regional cooperation 
constantly.   Over the past two years, China has worked hard to boost the 
formation and development of the Shanghai Cooperation Organization (SCO), 
and continued to support and participate in the ASEAN Regional Forum ( 
ARF), Conference on Interaction and Confidence-Building Measures in Asia 
(CICA), Council on Security Cooperation in the Asia- Pacific Region 
(CSCAP), Northeast Asia Cooperation Dialogue (NEACD) and other activities 
for multilateral security dialogue and cooperation, thus playing a 
positive role in deepening regional security cooperation with Asian 
characteristics. 

     In June 2001, China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan and 
Uzbekistan founded the SCO.   This organization is a regional 
multilateral cooperation body established on the basis of the " Shanghai 
Five." Since its founding, it has signed and published in succession the 
Shanghai Convention on Combating Terrorism, Separatism and Extremism, the 
joint communique of the defense ministers, the statement of the prime 
ministers, the statement of leaders of the law-enforcement and security 
departments, and the joint statement of the foreign ministers.   At the 
SCO St.   Petersburg Summit held in June 2002, the heads of state of the 
six countries signed three important legal and political documents -- the 
Charter of the SCO, the Agreement on a Regional Anti-Terrorist Agency and 
the Declaration of the Heads of State of the SCO Member Countries.   The 
SCO has initiated a new security concept, a new pattern for regional 
cooperation, and state-to-state relations of a new type, strengthened 
trust and cooperation in the military field, beefed up substantive 
cooperation in the fight against terrorism, separatism and extremism, and 
reached a consensus on mutual assistance in preventing and peacefully 
solving international conflicts.   The SCO propagates the "Shanghai 
Spirit" that features mutual trust, mutual benefit, equality, 
consultation, respect for diverse civilizations and seeking common 
development, and actively promotes the establishment of a fair and 
rational new international political and economic order, thus advancing 
regional security and stability. 

    China endorses the CICA aim and principle of strengthening trust and 
cooperation and safeguarding regional security, and has developed 
constructive and friendly cooperation with all its member countries.   In 
June 2002, the first CICA summit meeting passed the Alma-Ata Document and 
the Declaration on Eliminating Terrorism and Promoting Dialogue Among 
Civilizations.   The CICA has scored important achievements in its 
activities. 

    China supports the ARF in its continuous advance toward its set goal. 
  China has consistently taken an active part in the ARF foreign 
ministers' meetings, senior officials' meetings and unofficial meetings.  
 China has undertaken the project of the ARF ocean information website 
and formally opened it to service; attended the ARF experts' group 
meeting on confidence-building measures against transnational crimes; 
submitted a country report on the question of transnational crimes; and 
regularly submitted annual security prospect reports to the ARF.   At the 
Eighth ARF Foreign Ministers' Conference, held in 2001, China declared 
its readiness to support the ARF's efforts to gradually develop dialogue 
and cooperation in non-traditional security fields, and reiterated its 
proposal on reporting on, and sending personnel to observe, multilateral 
joint military exercises.   In May 2002, China submitted to the ARF 
Senior Officials' Conference the Document Concerning China's Stand in 
Strengthening Cooperation in Non- Traditional Security Fields.   At the 
Ninth ARF Foreign Ministers' Conference, held in July 2002, China 
submitted the Document Concerning China's Stand in Regard to the New 
Security Concept, emphasizing the need to jointly cultivate a new 
security concept, enhance trust through dialogue, and promote security 
through cooperation.   The Joint Declaration of ASEAN and China on 
Cooperation in the Field of Non-Traditional Security Issues released in 
November 2002, initiated full cooperation between ASEAN and China in the 
field of non-traditional security issues.   In September 2002, China held 
the ARF seminar on military logistics outsourcing support in Beijing. 

    Cooperation between ASEAN and China, Japan and the Republic of Korea 
(10+3) is an important channel for East Asian leaders to exchange views 
on strengthening cooperation in the region, and is conducive to enhancing 
mutual understanding, trust and mutually beneficial cooperation among 
East Asian countries.   China values and actively participates in this 
cooperation.   It advocates that it should be expanded into 
all-directional cooperation on the existing basis, that dialogue and 
cooperation in the political and security fields be gradually developed 
on the principles of achieving unity through consultation and making 
steady advance, and that this cooperation be started with cooperation in 
the non- traditional fields of security.   After more than four years' 
development, this cooperation has made marked progress. 

    The Chinese armed forces have participated in security dialogue and 
cooperation in the Asia-Pacific region.   In January 2002, Chinese 
officers observed the naval mine clearance exercise sponsored by 
Singapore in the West Pacific region.   In April 2002, Chinese officers 
observed the submarine search and rescue exercise sponsored by Japan in 
the West Pacific region.   In May 2002, China sent officers to observe 
the "Cobra Gold" joint military exercises staged by the United States, 
Thailand and Singapore.   China intends to selectively and gradually 
participate in more multilateral joint military exercises in the 
non-traditional fields of security in the future. 

    Anti-Terrorism Cooperation 

    In recent years, terrorist activities have notably increased, and 
constitute a real threat to world peace and development.   The " 
September 11" terrorist attack, which caused a great loss of lives and 
property, has aroused the universal concern of the international 
community.   China, too, is a victim of terrorism.   The "East Turkistan" 
terrorist forces are a serious threat to the security of the lives and 
property of the people of all China's ethnic groups, as well as to the 
country's social stability.   On September 11, 2002, the UN Security 
Council, in response to a common demand from China, the United States, 
Afghanistan and Kyrgyzstan, formally included the "East Turkistan Islamic 
Movement " on its list of terrorist organizations.   The Chinese 
government has always resolutely opposed and condemned all forms of 
terrorism, and has actively adopted effective measures to fight against 
terrorist activities. 

    The Chinese government is of the view that the international 
community should strengthen dialogue and consultation and develop 
cooperation, join hands in preventing and fighting against international 
terrorist activities, and make efforts to eradicate the root cause of 
terrorism.   The fight against terrorism requires conclusive evidence, 
clear targets and conformity with the purpose and principles of the UN 
Charter, and the universally acknowledged norms of international laws.   
In this regard, the leading role of the UN and its Security Council 
should be brought into full play, and all actions taken should be 
conducive to the long-term interest of preserving regional and world 
peace.   Terrorism should not be confused with a specific nation or 
religion, neither should dual standards be adopted in the fight against 
terrorism.   The international community should make common efforts to 
resolutely condemn and attack terrorism whenever and wherever it occurs, 
whoever it is directed against and in whatever form it appears.   In 
fighting terrorism, it is necessary to address both its symptoms and root 
cause, and adopt comprehensive measures, especially in solving the 
question of development, narrowing the North-South gap, and ending 
regional conflicts. 

    China supports and has conscientiously implemented a series of 
resolutions on the anti-terrorism issue passed by the United Nations and 
its Security Council, and has submitted to the Security Council 
Anti-Terrorism Commission a report on the implementation of Security 
Council Resolution No.   1373.   China has acceded to the International 
Convention on Stopping Terrorist Explosions, and signed the International 
Convention on Severing Financial Aid to Terrorism.   China has acceded to 
10 and signed another one of the 12 international anti-terrorism 
conventions.   China has also held anti-terrorism consultations 
respectively with the USA, Russia, UK, France, Pakistan and India, and 
has taken an active part in the work of the Security Council 
Anti-Terrorism Commission.   China actively helped the Shanghai 
Conference of APEC Leaders in bringing about the anti-terrorism 
statement, motivated the heads of government, defense ministers, leaders 
of law- enforcement and security departments, and foreign ministers of 
the SCO member nations in issuing a common statement, and actively 
supported the SCO in establishing a permanent regional anti- terrorist 
organization.   China and Kyrgyzstan conducted a joint anti-terrorism 
military exercise in October 2002.   China pays great attention to 
international anti-terrorist cooperation in the financial field.   
Although China is not a member of the ad hoc working group for combating 
the financial action of money laundering, it consistently supports the 
group's work.   China has given the group a full introduction of its 
measures for anti- terrorism in the financial field. 

    Participation in UN Peace-keeping Operations 

    As a permanent member of the UN Security Council, China has always 
valued and supported the UN in its efforts to play a positive role in 
safeguarding international peace and security under the guidance of the 
purpose and principles of the UN Charter. China adopts an active attitude 
toward the reform of peace-keeping operations, and hopes that further 
efforts will be made to strengthen the role of the UN in peace-keeping 
operations and to make these operations more efficient.   China supports 
the active measures taken by the UN Secretariat in this regard, and 
welcomes the progress made by the UN General Assembly and the Security 
Council in deliberating the Prasmy's Report on Reforming the UN's 
Peace-keeping Operations. 

    Since its first dispatch of military observers to the UN peacekeeping 
activities in 1990, the PLA of China has successively taken part in 10 UN 
peace-keeping operations.   So far it has sent more than 650 military 
observers, liaison officers, advisors or staff officers and 800 (in two 
batches) engineering officers and men to the UN peacekeeping operations.  
 At present, 53 Chinese military observers are still serving in 6 
regions, and 2 staff officers working in the UN peacekeeping department.  
 Four Chinese servicemen have laid down their lives, and dozens have been 
wounded in UN peace-keeping operations. 

    After its first dispatch of 15 policemen to UN peace-keeping 
operations in January 2000, the Chinese government has sent in succession 
198 civilian policemen to serve with UNTAET and UNMIBH. 

    In May 1997, the Chinese government decided, in principle, to take 
part in the UN's stand-by arrangements for its peace-keeping operations.  
 In January 2002, China formally participated in the Class-A stand-by 
arrangements mechanism for the UN peace-keeping operations, and it is 
ready to provide the UN peace-keeping operations with engineering, 
medical, transportation and other logistical support teams at appropriate 
times.   China is able to provide these operations with 1 UN standard 
engineering battalion, 1 UN standard medical team and 2 UN standard 
transportation companies. 

    Military Exchanges and Cooperation 

    The PLA has actively conducted military exchanges and cooperation 
with other countries.   The areas of its external contacts are being 
gradually expanded, with the content of the contacts increasingly richer 
and forms more flexible and diversified. 

    China has established military relations with more than 100 
countries, and over 100 military attache's offices in Chinese embassies 
abroad.   Meanwhile, more than 70 countries have set up military 
attache's offices in China.   Over the past two years, the PLA has 
carried out over 130 important exchange projects, sent high-level 
delegations to over 60 countries, and hosted over 90 important military 
leaders' delegations from some 60 countries.   From May to September 
2002, Chinese naval ships undertook their first round-the-world 
navigation, visiting 10 countries, covering a total of over 30,000 
nautical miles.   The PLA's foreign military academic exchanges and 
technical cooperation have also constantly developed in breadth and 
depth.   It has exchanged visits of more than 100 delegations or groups 
of military experts with several dozen countries, and the scale of 
exchanges of military students has expanded step by step.   Between 
October and November 2001, China held the Third Symposium on 
International Issues at the National Defense University, with officers 
from 18 countries participating.   In October 2002, the Fourth Symposium 
was held at the National Defense University, with officers from 31 
countries participating. 

    China actively promotes military relations with countries around the 
world.   The relations between the armed forces of China and Russia, 
under the guidance of the Sino-Russian Treaty of Good Neighborliness, 
Friendship and Cooperation, have been strengthened and developed 
continuously, and high-level contacts between the armed forces of the two 
sides have maintained their momentum.   In September 2001, the special 
meeting of the China-US Military Maritime Consultation Agreement was held 
in Guam, which led to the thawing of the once suspended Sino-US military 
relations.   In October 2002, it was agreed between the heads of state of 
both countries that the military exchanges should be resumed.   Sino- 
Japanese military ties were resumed at the end of 2001.   Meanwhile, 
China-EU military relations have developed smoothly.   Chinese military 
delegations at various levels have made successful military visits on 
invitation to many countries in Northeast, Southeast, South and Central 
Asia regions.   China's frontier commands have exchanged visits with 
their counterparts in neighboring countries.   China continues to provide 
a number of developing countries with aid in personnel training, 
equipment, logistical materials and medical care, and will seek to widen 
the scope of contacts in the future.   It has also intensified its 
efforts for contacts with West Asian and African countries, and sustained 
military contacts with Latin American countries. 

    The PLA has repeatedly sent personnel to attend multilateral security 
conferences in the Asia-Pacific region, the Asia-Pacific Region Defense 
Authority Officials Forum, the NEACD, the ARF, the West Pacific Naval 
Forum, and other activities for multilateral security.   The PLA has also 
held security consultations and meetings with the defense or other 
military departments of countries such as Australia, France, Germany, 
India, Japan, Kazakhstan, Kyrgyzstan, Pakistan, Russia, Thailand, UK and 
USA, thereby enhancing mutual trust and understanding with them. 

    VII.   Arms Control and Disarmament 

    After the end of the Cold War, a series of achievements were made in 
the field of international arms control, disarmament and 
non-proliferation.   However, this momentum has been hampered by a host 
of negative developments in recent years.   In the current situation, it 
is vitally important to maintain the global strategic balance and 
stability and the legal system governing international arms control and 
disarmament.   The existing legal system is an important component of the 
global collective security framework centered around the United Nations.  
 The Chinese government is willing, together with the international 
community, to contribute to the maintenance of the legal system for 
international arms control and disarmament, and the advancement of the 
process of arms control, disarmament and non-proliferation. 

    Nuclear Disarmament 

    China has consistently advocated the complete prohibition and 
thorough destruction of nuclear weapons.   On the very first day it came 
into possession of nuclear weapons, China solemnly declared that at no 
time and under no circumstances would it be the first to use such 
weapons.   Later, China undertook unconditionally not to use or threaten 
to use nuclear weapons against non-nuclear-weapon states or 
nuclear-weapon-free zones, and has consistently urged all nuclear-weapon 
states to enshrine these commitments in a legal form.   China has always 
exercised utmost restraint on the development of nuclear weapons, and its 
nuclear arsenal is kept at the lowest level necessary for self-defense 
only.   China holds that countries having the largest nuclear arsenals 
bear a special and primary responsibility toward nuclear disarmament, and 
that they should take the lead in drastically reducing their nuclear 
arsenals and destroy the reduced nuclear weapons.   China welcomes the 
new treaty signed by the US and Russia on the reduction of their 
offensive strategic weapons, and hopes that these two countries will 
adopt effective measures to ensure the " verifiability" and 
"irreversibility" of nuclear disarmament, and continue to further the 
process of nuclear disarmament, so as to genuinely promote world peace 
and stability. 

    The Comprehensive Nuclear Test Ban Treaty (CTBT) is an important step 
taken in the process of nuclear disarmament.   As one of the first 
countries to sign the Treaty, China has always actively participated in 
the work of the Preparatory Commission of the Treaty Organization, and 
earnestly carried out the preparatory work for the implementation of the 
Treaty in China.   The Chinese government has submitted the Treaty to the 
NPC Standing Committee for examination and approval.   Together with the 
international community, China is ready to work for the early entry into 
force of the Treaty.   China maintains that the conclusion of a Fissile 
Material Cut-off Treaty (FMCT) will help to accelerate the process of 
nuclear disarmament and nuclear non-proliferation, and supports an early 
start of the negotiations on such a Treaty on the basis of a 
comprehensive and balanced work plan of the Conference on Disarmament 
(CD). 

    Chemical and Biological Disarmament 

    China has consistently advocated the complete prohibition and 
thorough destruction of chemical weapons.   As a State Party to the 
Chemical Weapons Convention (CWC), China actively supports its purposes 
and objectives and has conscientiously and strictly fulfilled all its 
obligations under the Convention.   China has set up a national authority 
for the implementation of the Convention, and submitted its initial 
declaration and all sorts of annual declarations in time.   So far, China 
has accepted 55 inspections by the Organization for the Prohibition of 
Chemical Weapons (OPCW), and has co-sponsored, together with the OPCW, 
several training courses and symposiums for inspectors. 

    Today, large quantities of chemical weapons abandoned by the Japanese 
invaders still remain on Chinese soil.   China urges Japan to earnestly 
implement the obligations under the CWC for the destruction of these 
weapons, and expedite the pace of the relevant work in accordance with 
the Memorandum on the Destruction of Japanese Abandoned Chemical Weapons 
in China between the governments of China and Japan, so as to commence as 
soon as possible the substantive part of the destruction process. 

    China has always stood for the complete prohibition and thorough 
destruction of biological weapons.   China acceded to the Biological 
Weapons Convention (BWC) in 1984, and has fully and conscientiously 
fulfilled its obligations under the Convention.   Since 1987, China has, 
on an annual basis, provided the UN with information on 
confidence-building measures, in accordance with the decisions of the 
Review Conferences of the Convention. 

    China supports the enhancement of the effectiveness of the BWC in a 
comprehensive manner, and has actively participated in the work of the ad 
hoc group of the states parties to the Convention set up for the 
negotiation of a BWC protocol.   China regrets that the protocol has not 
been reached as scheduled and that the Fifth Review Conference of the 
Convention has had to adjourn.   China holds that the conclusion of a 
protocol with balanced contents and effective measures through 
multilateral negotiations remains the best way to enhance the 
effectiveness of the BWC.   China is willing, together with all other 
parties concerned, to continue to explore measures along this line on the 
basis of the universal participation of all countries and within a 
multilateral framework. 

    Missile Defense and Prevention of an Arms Race in Outer Space 

    China's stand on the issue of missile defense is consistent and 
clear-cut.   China understands the relevant countries' concern over the 
proliferation of weapons of mass destruction (WMD) and their means of 
delivery.   But, like many other countries, China holds that this issue 
should be resolved through political and diplomatic means, with the 
common efforts of the international community. 

    China regrets the abrogation of the Anti-Ballistic Missile Treaty 
(ABM).   It is China's consistent view that maintaining the global 
strategic stability and the international system of arms control, 
disarmament and non-proliferation is vitally important and in conformity 
with the fundamental interests of all countries. China hopes that the 
relevant countries will heed the opinions of the international community, 
and act prudently on the issue of missile defense.   At the same time, 
China is willing to conduct constructive dialogue with all the parties 
involved, and make joint efforts to safeguard international peace and 
security. 

    China is concerned about certain countries' joint research and 
development of theater missile defense (TMD) systems with a view to their 
deployment in the Northeast Asian region.   This will lead to the 
proliferation of advanced missile technology and be detrimental to peace 
and stability in the Asia-Pacific region.   China resolutely opposes any 
country which provides Taiwan with TMD assistance or protection in any 
form. 

    Outer space belongs to all mankind, and the peaceful use of outer 
space is the common aspiration of all humanity.   At present, outer space 
is faced with the danger of weaponization, and protection of outer space 
from weaponization and an arms race has become a very urgent and 
realistic issue.   The international community should negotiate and 
conclude the necessary legal instrument as soon as possible to prohibit 
the deployment of weapons in outer space and the use or threat of use of 
force against objects in outer space, so as to ensure peace and 
tranquility therein.   China holds that the Conference on Disarmament in 
Geneva is the suitable place for negotiations on this matter.   China has 
submitted several working papers to the Conference, putting forward its 
suggestions on the main points of a future international legal 
instrument.   In June 2002, China, Russia and some other countries 
jointly submitted to the Conference a working paper titled Possible 
Elements for a Future International Legal Agreement on the Prevention of 
the Deployment of Weapons in Outer Space, the Threat or Use of Force 
Against Outer Space Objects (Draft), setting forth their concept on the 
general structure and concrete contents of such a document.   The 
above-mentioned working paper has received favorable responses from many 
countries.   China hopes that the Conference will carry out substantive 
work on this issue at an early date, and start negotiating an 
international legal instrument, thus making positive efforts for the 
prevention of the weaponization of outer space and an arms race therein. 

   Non-Proliferation of Weapons of Mass Destruction and Their Means of 
Delivery 

    China has always been opposed to the proliferation of WMD and their 
means of delivery.   It supports the international community's active 
efforts of non-proliferation, and has made its own contributions in this 
area.   China maintains that the efforts of non-proliferation should not 
be confined to non-proliferation itself and should also include the 
identification and resolution of its root causes.   Establishing a fair 
and rational new international order and realizing the universal 
improvement of international relations are the fundamental way to 
eliminate the threat of WMD.   Preventing terrorist organizations and 
other non- state entities from obtaining WMD is a common task confronting 
the international community.   China is willing, together with the 
international community, to make common efforts for the establishment of 
a fair, rational and effective multilateral non- proliferation regime 
based on the participation of all countries. 

    China is a State Party to the Treaty on the Non-Proliferation of 
Nuclear Weapons (NPT).   It has always abided by its obligations under 
the Treaty, and pursues a policy of not advocating, not encouraging and 
not engaging in the proliferation of nuclear weapons, and not helping 
other countries to develop nuclear weapons.   China has also formulated 
three principles governing its nuclear exports: guarantees for peaceful 
use only, acceptance of the safeguards of the International Atomic Energy 
Agency (IAEA), and no re-transfer to the third country without prior 
approval of China.   In order to strengthen its nuclear export control 
mechanism, China joined the Zangger Committee in 1997, and has 
established and improved on its relevant domestic legal system.   China 
promulgated, respectively in September 1997 and June 1998, the 
Regulations on the Control of Nuclear Export and Regulations on the 
Control of Nuclear Dual-Use Items and Related Technologies Export, under 
which China exercises control over the export of materials and 
technologies included in the list of the Zangger Committee and the list 
of nuclear dual-use items and technologies currently in use 
internationally.   These regulations stipulate that China's nuclear 
exports shall be done exclusively by specialized companies designated by 
the government, that a licensing system shall be instituted for nuclear 
export, and that China shall not provide any assistance to any nuclear 
facility which is not under the IAEA safeguards.   In order to strengthen 
the effectiveness of the IAEA safeguard system and fulfill its own 
non-proliferation obligations, China formally notified the IAEA on March 
28, 2002 that it had completed the domestic legal procedures necessary 
for the entry into force of the Protocol Additional to the Agreement 
Between China and IAEA for the Application of Safeguards in China, and 
that the Protocol became effective for China on the same day.   China was 
the first of the nuclear-weapon states to complete the above-mentioned 
procedures. 

    China is in favor of IAEA making its contributions to the protection 
against potential nuclear terrorist activities in accordance with 
purposes and principles of its Statute, and will provide appropriate 
assistance to the anti-terrorism activities of the Agency.   
Strengthening the physical protection of nuclear facilities and material 
is conducive to nuclear non-proliferation and prevention of nuclear 
terrorism.   China has actively participated in the revision of the 
Convention on the Physical Protection of Nuclear Material, and is ready 
to make every effort to facilitate this process. 

    China strictly adheres to its obligations under the CWC and BWC, and 
will not in any way help or encourage any country to obtain chemical or 
biological weapons.   China has consistently adopted a prudent and 
responsible attitude toward the export of chemicals or biological agents, 
as well as related production equipment and technologies.   To ensure 
that exports of such material from China are not used for manufacturing 
chemical or biological weapons, the Chinese government has promulgated 
and implemented the Regulations of the PRC on the Administration of the 
Controlled Chemicals, and the detailed rules for its implementation, 
thereby placing the export of related material under stringent control.   
The Amendments to the Criminal Law of the PRC promulgated in December 
2001 designates as criminal offenses such acts of endangering public 
security as using, illegally manufacturing, trafficking, transporting and 
stockpiling radioactive substances, toxic materials or infectious disease 
pathogens, and stipulates corresponding penalties for these acts.   In 
order to further strengthen the export control of the chemicals and 
dual-use biological products and related technologies and equipment, the 
Chinese government promulgated in October 2002 the Measures on Export 
Control of Certain Chemicals and Related Equipment and Technologies 
(including its control list), the Regulations of the PRC on the Export 
Control of Dual-Use Biological Agents and Related Equipment and 
Technologies (including its control list), and the newly revised 
Regulations of the PRC on the Administration of Arms Export. 

    In recent years, the question of missile proliferation has aroused 
extensive concern in the international community.   China also attaches 
great importance to this issue.   The international community should, on 
the basis of such principles as non- discrimination and undiminished 
security for all countries, seek a solution to this issue through 
dialogue and cooperation, including exploring the possibility of 
establishing a new multilateral mechanism.   China supports the United 
Nations in its efforts to play an important role in this field, and has 
actively participated in the UN Group of Governmental Experts on 
Missiles.   China adopts an open attitude toward the new proposals made 
by countries concerned, and has, with a constructive stance, participated 
in international discussions on the International Code of Conduct Against 
Ballistic Missile Proliferation and the Proposal on a Global System for 
Non-proliferation of Missile Technologies.   With respect to the 
prevention of missile proliferation, the Chinese government has always 
adopted a serious, conscientious and responsible attitude, has not helped 
any country to develop ballistic missiles that can be used to deliver 
nuclear weapons, and has exercised strict control over the export of 
missiles and related material and technologies.   In August 2002, the 
Chinese government formally promulgated the Regulations on the Export 
Control of Missiles and Missile-Related Items and Technologies and its 
control list.   This is a major measure taken by the Chinese government 
to implement its policy of missile non- proliferation, further tightening 
control over the export of missiles and related material and 
technologies, and strengthening the administration of exports on a legal 
basis.   In the future, China will, based on its own export control 
practice, continue to improve its legal system of export control.   It is 
also willing to enhance exchanges and cooperation with all countries in 
this respect, actively participate in the discussions concerning the 
international non-proliferation mechanisms, and work for the final 
establishment of a fair, rational and effective international non- 
proliferation regime. 

    Small Arms and Anti-Personnel Landmines 

    China has always treated seriously the issue of illicit trafficking 
and excessive accumulation of small arms, and consistently taken a 
responsible attitude toward the manufacture and transfer of such arms.   
China has also actively participated in the endeavors of the 
international community in this regard.   With a constructive attitude, 
China attended the UN Conference on the Illicit Trade in Small Arms and 
Light Weapons in All Its Aspects in July 2001, and is taking actions to 
implement the Program of Action adopted at the Conference.   China has 
actively participated in the negotiations of the Firearms Protocol to the 
UN Convention Against Transnational Organized Crimes, making its 
contributions to the conclusion of the Protocol.   China is positively 
considering signing the Protocol.   Both the Law of the PRC on the 
Control of Firearms and the Regulations of the PRC on the Administration 
of Arms Export have contained detailed stipulations on the manufacture, 
transportation, sales, equipment, and entry and exit control of firearms 
and ammunition, put in place strict controls over the export of small 
arms and other military items, and laid out severe penalties for 
violations.   In 2001, China launched a nationwide campaign to eliminate 
illegal firearms, in the course of which large quantities of illegal 
firearms were confiscated and destroyed. 

    Since its ratification of the Amended Protocol II to the Convention 
on Certain Conventional Weapons in 1998, China has continued to carry out 
its commitment not to export anti-personnel landmines (APL) that are not 
in conformity with the standards set out in the Protocol, and has made 
considerable progress in other aspects of the implementation of the 
Protocol.   The PLA has held a number of training courses on the 
Protocol.   Relevant departments are now formulating a series of rules 
and standards in accordance with the provisions of the Protocol, 
including the state military standards related to the technical 
performance of APLs and marking of minefields. 

    China continues to promote domestic and international mine clearance 
efforts.   China is now basically safe from landmine hazards on its own 
territory.   In 2001, China donated large quantities of demining 
equipment to Cambodia, Ethiopia, Eritrea, Mozambique, Rwanda, Namibia and 
Angola.   In 2002, it contributed more than 3 million US dollars for 
international mine clearance cooperation, mainly in aid to the demining 
operations in Eritrea and Lebanon.   Apart from providing the two 
countries with demining equipment, China has sent a group of mine 
clearance experts to Eritrea to give on-the-spot guidance. 


[Description of Source: Beijing Xinhua in English -- China's official 
news service for English-language audiences (New China News Agency)]