China not a threat to the world and has no plans to pursue the arms race with the United States

President of the United States Barack Obama welcomed his counterpart Chinese President Hu Jintao. Bothe president discued issues form the North Korean issue up to Tibet and human rights. Chinese President Hu Jintao called for closer relations with US and the rest of the world on a broad range of issues, stating that by working together in some areas and respecting national differences in others will the two nations avoid friction in the years ahead.

Whilst the President Obama shook his hand and welcomed him the Commerce Secretary Gary Locke stated that "the United States welcomes President Hu Jintao's effort to further open China to the global economy."

Obama and Hu

Speaking at a lunch hosted by the U.S.-China Business Council and the National Committee on United States-China Relations, Presidnet Hu said "it is fair to say our countries have never enjoyed such broad, common interests or shouldered such broad responsibilities as we do today."

He also said that issues of essential national interest - he named China's claim to Tibet and Taiwan - should be managed with care. "Otherwise," Hu said, "our relationship will suffer constant trouble or even tension."

"It is only normal we have some disagreements and frictions," Hu said. "But we should manage them with a sense of responsibility and history."

Hu's 22-minute speech spanned the security, economic and social issues that define the relationship between what the Chinese leader described as "the world's largest developed country and the world's largest developing country." His optimistic assessment concluded his visit to Washington, which included meetings at the White House, a festive state dinner and a visit to Capitol Hill.

New this state dinner: The 225 guests were spread out among three rooms: the State Dining Room, Blue Room and Red Room, then all shuttle to the East Room for the entertainment. Big video monitors were set up in the Blue and Red rooms for the outcasts to catch the dinner toasts.

The two presidents' toasts featured the usual promises of better relations all around, and Obama used the moment to highlight an agreement that will ensure the beloved giant pandas from China remain at the Smithsonian National Zoo for another five years.

China will not engage in the arms race with the US

President Hu assured Americans that China would not engage in an arms race with the United States, pose a military threat to any country or pursue expansionism. But, the United States and its allies have repeatedly voiced concern about China's double-digit growth of military spending. China tested a stealth fighter this month just as US Defense Secretary Robert Gates visited.

We will make continuous progress in our endeavor to build a prosperous, strong, democratic, culturally advanced and harmonious modern socialist country." China will never seek hegemony or pursue an expansionist policy," added Hu.

Henry Kissinger who represented the President Hu recalled that when he made a secret visit to China in 1971 to negotiate the opening of U.S.-China relations, Premier Zhou Enlai told him, "This will shake the world." Now, he said, "we can say that we are working to build the world, not to shake it."

Kissinger told the gathering, "We can call this summit a success not because it has solved every problem, but because it has shown the way by which the problems can and will be solved."

President and first lady Obama

US President Barack Obama, at a joint news conference with Hu on Wednesday, had urged China to engage in talks with the Dalai Lama, Tibet's exiled spiritual leader, although he reaffirmed the US view that the Himalayan territory is part of China.

Hu's speech was his last event in Washington before flying to Chicago, where he will complete his U.S. visit on Friday.