Dinner Hosted by the Canada-China Business Council

Your Excellency, President Jiang Zemin, distinguished Ministers and Guests.

Mr. President, I welcome you to Toronto.

On the streets of this great city, one can find people from every nation in the world. This diversity is but a taste of what you will find throughout Canada. We built a diverse nation by welcoming people from around the world to come to Canada and make a new start. And a vibrant Chinese Canadian community is a cornerstone of our national identity.

Ladies and gentlemen, the presence of President Jiang and myself here tonight should tell you how serious Canada and China are about continuing to improve our trade and economic ties. And let me tell you, we are in it for the long term.

Twenty-seven years ago, Canada and China formally embarked on a renewed, historic journey together. Much has happened since. The Cold War has ended. Globalization has transformed the international economy. Asia has become an economic powerhouse. And the people of China are harnessing their own creative potential as never before.

Times have changed. But friendship and understanding remain at the heart of the Canada-China relationship.

Business, trade and investment have, in recent years, become the most dynamic aspects of our partnership. Since the landmark Team Canada visit in 1994, both the dollar value and scope of our trade have increased. Indeed, if we include Canada-Hong Kong trade, China is now our third largest trading partner.

The lion's share of the credit for this strong growth goes to the people in this room -- Canadian and Chinese business people. I congratulate you.

Canadian business is eager and excited about China's vast economic potential. I have seen this on Team Canada. And I have seen it in the tremendous work of the Canada-China Business Council.

The same can be said for our desire to explore new opportunities throughout the Asia Pacific. Canadians feel a new sense of Pacific neighbourhood. We designated 1997 to be Canada's Year of Asia Pacific to celebrate it. And it was on full display for the world to see just a few days ago in Vancouver, where I had the honour of hosting the APEC Economic Leaders' Meeting.

China is a very important part of that Pacific neighbourhood. And as good neighbours, we are working as partners on issues that bring us together and those that separate us.

We believe that rhetoric alone does not make for good or effective policy. What is required is dialogue and understanding of each others views. That is how progress can be made.

Mr. President, you and I have talked about the deep and abiding respect that Canadians have for human rights. Canadians have built a country based on respect for individual rights combined with collective responsibility for the economic and social well-being of all of our citizens. We believe that the free and open expression of opposing views is not a threat to any nation. On the contrary. Our history has taught us that it is a source of national strength.

Under your leadership, China is travelling the road of renewal and transformation. We applaud your achievements in meeting the economic needs of your people -- the right to food, to economic security, to growth, and to foster the knowledge-based economy.

We believe in sharing our experiences, and engaging constructively with China. We are doing this -- and will continue to -- not only on economic matters, but also on matters of individual rights. For example, we are providing expertise to help China meet its goal of a complete legal framework early in the next century. We are sharing our experience in legal aid and judicial training. And we are working together on your bold plans for civil service reform.

Ladies and gentlemen, much attention has been focused recently on the economic problems that have hit some Asia Pacific economies. China, Canada and the whole world have an enormous stake in seeing these problems resolved. In Vancouver, we discussed what is necessary to stabilize the situation. The measures that are now being taken must be fully supported and implemented to restore a sense of confidence in the region. China's role in shaping this cooperative effort is greatly appreciated.

But as we deal with these problems, we must remember that the Chinese economy remains strong. The International Monetary Fund says the Chinese economy should grow by 9.5 per cent this year. The future looks bright. And as China enjoys a surging economy, our own is enjoying great strength as well.

Over the last four years, Canada has created almost one million new jobs. Our interest rates have fallen below those of the United States. Our rate of inflation is lower than 2 per cent. Our growth is running at close to 4 per cent. We have the highest rate of job creation in the G-7. We have removed the burden on the future that the deficit represented. We have begun to invest in the needs of our people. And we have begun reducing the debt as a proportion of the size of the economy.

Today, all the international forecasters are predicting that Canada will enter the next century with the best economic performance of the G-7 countries. The result is a new optimism abroad in our land.

Mr. President, the re-energized Canadian economy has much to offer China in your drive to modernize your economy. As you have told me, yourself, our economies complement each other nicely. The list of success stories is impressive.

We applaud the plans for the construction of aluminum smelters, and for the joint production of high quality passenger cars for the Chinese railway. We were pleased to learn of the contracts won by Canadians for hydro-electric turbines and generators for Three Gorges and other energy projects. Canadian-built technology has been introduced into the Chinese housing market. And our advanced telecommunications firms are held in high esteem.

As the Chinese economy continues to surge ahead at top speed, we also see many interesting new commercial possibilities. Our financial services sector has made impressive inroads. We are opening an information centre at our Embassy in Beijing to market our expertise in education services. And Canadians are involved in building a state-of-the art hospital in Beijing.

Canada welcomes new business opportunities in China. And we also warmly welcome Chinese investment in Canada. Historically, our openness to foreign investment has been a key to our enduring prosperity and our unmatched quality of life. And I would like to take this opportunity to explain to Chinese investors, just what a great place Canada is to invest and do business.

We are a preferred point of access to a North American market of 386 million people. Our entrepreneurs are bold. Our workers are highly skilled. Our transportation and communication systems have no peer. We are at the forefront of the use of information technology. We have good schools and safe neighborhoods. And our quality of life has been rated the best in the world by the United Nations for the last four years in a row.

Mr. President, the Canada-China economic relationship is growing. But at the risk of appearing greedy, let me say that we want it to grow still stronger. I know you feel the same way. To that end, a number of agreements have been signed during your visit that bode well for the future. Of special importance, we will as much as double the number of air flights and routes between Canada, Beijing and Shanghai in the next few years. And we have agreed to work more closely on tourism, the environment and in support of small and medium sized businesses.

Ladies and gentlemen, we are on the verge of a new millennium. We live in a world that is confronting unprecedented change. The historic path that China is travelling under President Jiang's leadership is but one striking example.

Mr. President, as you and your people continue down this path, Canada will be with you -- in a spirit of friendship and understanding. A spirit that finds expression both in an eagerness to develop our economic relationship, and an abiding willingness to work in cooperation on the issues that separate us.