Honorable Jose.Brillantes, Acting Secretary of Foreign Affairs,

His Excellency Ambassador Stanislav Slavicky, Vice-Dean of the Diplomatic Corps,

Distinguished guests,

Ladies and Gentlemen,

Good evening! Magandang gabi po!

On the jubilant occasion of the 55th anniversary of the founding of the People's Republic of China, may I extend, on behalf of the Chinese Government and people, our warm welcome to all our guests this evening.

55 years ago, the Chinese people, who had just become the master of their own fate, began to consider seriously how to turn the disaster-stricken, poor and backward Old China into an independent and prosperous New China? For five decades, hundreds of millions of Chinese people have been working unremittingly to achieve this lofty goal.

55 years ago, China's GDP was only US$8.5 billion, with only US$14 per capita. Last year, our GDP reached US$1.4 trillion, with per capita GDP exceeding US$1000, becoming the 6th largest economy in the world. 55 years ago, China's foreign trade volume was only US$ 0.45 billion, and it reached US$851.2billion last year, and is projected to exceed US$1 trillion this year, thus ranking the 3rd largest trading nation in the world. 55 years ago, foreign investment in China was almost nonexistent, and last year the direct foreign investment in China reached US$53.5 billion, ranking second in the world.

Over the past 55 years, China successfully lifted hundreds of millions of people out of poverty. 75% of the world poor people relieved from poverty over the past 20 years was contributed by China. Over 500 million Chinese households are either fixed or mobile phone subscribers, ranking first in the world. China is now the largest exporter of textiles, garments, shoes, clocks & watches, bicycles, sewing machines, cellar phones, laser CD players, monitors, air-conditioners, cargo containers, optical components, electrical instruments, and home electrical appliances. Now, 50% of video cameras, 30% of TV sets and air-conditioners, and 20% of the washing machines and refrigerators on the world market are made in China. China has nearly 80 million people using the Internet for information, over 30 thousand kilometers of high quality highways, and annual handling capacity of 48 million cargo containers, which all rank second in the world. More than 20 million Chinese traveled overseas last year, spending US$ 2000 per person, becoming an important tourist nation in the Asia-Pacific region. China successfully launched its first manned space flight, and will host the 2008 Olympic Game in Beijing, the 2010 World Expo in Shanghai and the 2010 Asian Games in Guangzhou. All these have greatly encouraged the Chinese people.

If our economy can grow 7% annually, by the year 2020, China's GDP will reach US$ 4 trillion with US$ 3000 per capita, its foreign trade volume will reach US$ 2 trillion, and over 100 million Chinese will travel abroad. In the past, China copied the foreign model for economic development, and unfortunately we failed. But now we can say proudly that China has found its own way of developing national economy consistent with the specific Chinese conditions. 10 days ago, the Chinese Communist Party successfully held the fourth plenary session of the 16th CPC Central Committee. Under the leadership of the Chinese Communist Party, the entire Chinese people, one fifth of the world population, are working with unprecedented enthusiasm for the great rejuvenation of the Chinese nation and to build a prosperous society on a scale never seen in human history. Both the Chinese Government and people are fully confident of our future success.

Ladies and gentlemen,

The current international situation is undergoing unprecedented, profound and complex changes. The economic globalization is developing further, and the trend towards a multi-polar world is irreversible. Peace and development are still the prevailing aspiration of the world. We are confident that world peace on the whole can be maintained and we have before us more opportunities than challenges.

China's rejuvenation and prosperity will be impossible without the world, and the world peace and development will be inseparable from China. China shall never develop herself by plundering and colonizing others. Instead we have chosen to develop China by means of peace, development and cooperation. A developed China represents a positive contribution to the global economy and an increase in the strength for world peace. A stable and prosperous China will play an irreplaceable role in maintaining the stability and prosperity of the Asia-Pacific region and the whole world.

In the long history, China has maintained close contacts and developed profound friendship with our neighbors. We shall continue to build good-neighborly relations and partnership with neighboring countries so as to enjoy with our neighbors harmony, security and prosperity. By doing so, we will contribute together more to world peace and common development with enhanced friendship and regional cooperation.

Ladies and gentlemen,

Some people say that the Philippines and China were linked a long ago by a land bridge that later sank into the sea after abrupt geological changes. However, the rough sea has never stopped the friendly contacts between our two countries over the past 1700 years. China and the Philippines not only enjoy time-honored friendship but also amicable kinship for many Filipino friends have Chinese blood. We can say that China-Filipino friendship is now the solid bridge linking us together.

Thanks to the joint efforts of our Governments and peoples, we have witnessed over the years the expanded exchanges and strengthened cooperation between us in such fields as political relations, economic and trade cooperation, infrastructure construction, culture, tourism and anti-transnational crimes as well as good coordination and cooperation in international and regional affairs. As a result, the good neighborly relations flourished. 29 years ago when we established diplomatic relations, our bilateral trade volume was only US$ 72 million. In 2003, it reached US$ 9.4 billion, showing an increase of 78.7% over that of 2002, with more than US$3 billion in favor of the Philippines. In the first seven months of this year, the trade volume reached US$ 6.9 billion, increased by 50.5% as compared with the same period last year, and is expected to reach US$10 billion by the end of this year. Such a growth rate in bilateral trade is the fastest among the ASEAN countries. While we have fruitful cooperation in cultivating hybrid rice, Chinese experts are helping Filipino farmers to plant hybrid corns from China. These not only benefit many local farmers but also help to obtain food security and increase agricultural production. North Rail Project, the largest Chinese infrastructure investment in the Philippines, will not only decongest the North Luzon area but also help develop Clark and Subic as the logistics center. Chinese President Hu Jintao suggested to President Arroyo that our bilateral trade volume should reach US$ 20 billion within next 5 years. We are confident in achieving that goal.

President Arroyo made a successful state visit to China early September, during which leaders of the two countries exchanged views extensively on how to further develop our relations and reached important consensus. That visit has enhanced our close traditional friendship, increased our mutual understanding and trust, and promoted our economic cooperation and common development. Now, the China- Philippine relations have entered a new stage of all round development.

Both China and the Philippines are working hard for developing national economies, and both are in need for domestic stability and a peaceful environment. We understand and support the Philippine Government's commitment to the peace process in the southern Philippines and its fight against separatism and terrorism so as to safeguard the national unity. I'd like also to extend our appreciations to the Philippine Government and people for their consistent adherence to the one China policy and valuable support for the reunification of China.

I'd like to mention here in particular the Chinese and Filipino-Chinese who have lived in this beautiful archipelago for generations. They have made important contributions to the economic and social development of this country with their diligence and wisdom, and served as a bridge linking our two countries with their enthusiasm and persistence, for which my Government and people are very grateful.

Ladies and gentlemen,

Next year will mark the 30th anniversary of our diplomatic relations, which is described by President Arroyo as the "pearl year". To honor the occasion, President Hu Jintao will visit the Philippines at the invitation of President Arroyo and our two sides will hold joint ceremonious activities. I believe that the celebration of the 30th anniversary will give fresh impetus to the development of our friendly relations and cooperation which will benefit our two peoples and contribute more to the regional stability and economic development.

Now, may I propose a toast

To the continuous development of friendly relations and cooperation between our two countries,

To the health of our distinguished guests present this evening,

Cheers! Mabuhay!

Thank you. Maraming salamat po!