Honorable Chairman John Zhao, distinguished guests, ladies and gentlemen:

Greetings to all. It is a great pleasure to once again return to Hong Kong, where we join hands with the China-United States Exchange Foundation to host the U.S.-China Hong Kong Forum.

This year marks the 45th anniversary of the establishment of diplomatic relations between China and the United States. Just a week ago, the U.S. presidential election concluded, with President Xi Jinping extending his congratulations to Donald Trump on his election as the 47th president of the United States. In his message, President Xi expressed hope that, under the guiding principles of mutual respect, peaceful coexistence and win-win cooperation, China and the United States will continue to foster the stable, healthy and sustainable development of their bilateral relationship.

The relationship between China and the United States stands as one of the most consequential bilateral relationships in the world, holding profound implications for the well-being of both nations and for the broader fate of humanity. Forty-five years ago, the leaders of our two nations, with remarkable political foresight, made the strategic decision to establish diplomatic relations. This historic choice not only propelled the development of China-U.S. ties but also laid the foundation for stability and prosperity across the Asia-Pacific region and beyond.

The establishment of diplomatic relations aligned with China’s early period of reform and opening-up. Over the past 45 years, driven by comparative advantages and market forces, our two countries have woven a deeply interdependent and mutually beneficial relationship.

From 1979 to 2023, bilateral trade in goods surged from a mere $2.5 billion to over $660 billion. Two-way direct investment exceeded $180 billion, and China has become one of the top three export markets for 32 U.S. states. U.S. exports to China have created 930,000 American jobs, while nearly 80,000 U.S. companies have invested in China, with nearly 90 percent of them reporting profitability. Further, 286 pairs of sister provinces, states and cities now bind our two nations in friendship.

Together, China and the U.S. have confronted global challenges, such as climate change, terrorism, and cybersecurity. A stable China-U.S. relationship has provided the Asia-Pacific region and the wider world with a peaceful and secure environment for development and growth.

Yet, despite the progress made, the path of China-U.S. relations has not been without its trials. We have faced turbulent times and serious challenges. Nevertheless, whether for the welfare of our peoples or for the stability of the global economy, a healthy and stable China-U.S. relationship remains essential.

We hope that, built on a foundation of mutual respect, our two nations will continue to resolve differences and manage disputes through dialogue, consultation and negotiation. We also hope that both countries will promote mutually beneficial cooperation in key areas, strengthening collaboration in traditional sectors such as agriculture, energy, pharmaceuticals and finance, while exploring new avenues in emerging fields like the digital economy, advanced manufacturing and green, low-carbon development.

Further, we hope that China and the U.S. will enhance their coordination in international affairs, deepening their cooperation in multilateral arenas such as climate change, cybersecurity and public health. Together, we can safeguard the security and resilience of global industrial and supply chains, while jointly upholding the multilateral cooperation mechanisms centered around the United Nations.

Effective management of China-U.S. relations depends on each country diligently addressing its own internal affairs. As outlined during the Third Plenary Session of the 20th Central Committee of the Communist Party of China, convened in July 2024, we must ensure that the market plays a decisive role in the allocation of resources, strengthen the protection of property rights and intellectual property and promote technological innovation to drive industrial growth. It is essential to harness new quality productive forces, establish a unified national market and rationalize pricing for public utilities, education and healthcare services.

Additionally, we should enhance mechanisms where key factor prices are primarily determined by market supply and demand, reduce excessive government intervention in pricing and further open sectors such as education and healthcare to foreign competition.

It is crucial to achieve institutional opening-up through rules, regulations, standards and governance, creating a world-class business environment that is market-oriented, law-based and internationalized. Only by eliminating institutional obstacles that constrain productivity, providing greater investment opportunities for market participants and creating more employment opportunities for young people, can we continuously strengthen the confidence of both domestic and international investors. As China prospers, its relations with the United States will improve accordingly.

I wish this forum every success.