Twelve years ago, as we've been told, in this city, the American and Chinese Governments issued the Shanghai Communique. And this agreement pledged to broaden the understanding between our peoples. We agreed that cooperation in trade, science, and culture would benefit both nations. And we announced that normalization of relations between China and the United States would advance the interests of all countries.

We've come a long way since February 1972. And I'm honored to commemorate tonight this historic reconciliation and to mark the progress that we've made.

Twelve years ago, America and China each turned a new page in their histories. Today, America and China share the commitment to go forward together to write a new chapter of peace and progress for our people.

My trip to China has been as important and as enlightening as any I've taken as President. My discussions with your leaders -- President Li, Premier Zhao, General Secretary Hu, and Chairman Deng -- were productive and far-ranging. I welcome the opportunity to make new friendships and to enhance the personal relationship we have already established. Only through such steps can we deepen the understanding between our two great countries, broaden our political, economic, and cultural relations, and stand firm against expansionist aggression.

China is a fabled land in America. Schoolchildren across our country have read about your ancient history, the Great Wall, and the discovery of the treasures at Xi'an. To see these wonders in person is a moving and impressing experience. To me, it is even more impressive to meet the Chinese people of today. To see and feel your energy, vitality, and hopes for a better tomorrow gives me confidence in China's future.

Earlier today I had the opportunity to meet with students and faculty members of Fudan University. The students I talked to are serious about their learning. They want to know more, not just about my country but about the world that we all inhabit together. They're serious about their responsibility for their country's development and well-being. China is fortunate to have such talented young people to be its leaders for tomorrow.

This afternoon I also met with the workers and managers of the Shanghai Foxboro Company, a joint venture between an American and a Chinese company. There, Americans and Chinese are working side by side to make high technology equipment that will help advance China's industries, just as these new technologies are helping advance America's industries.

I'm greatly encouraged to note that the factory I visited today represents only one of the many forms of economic and technological cooperation between American and Chinese firms here in Shanghai. We're seeing cooperative activities in such diverse fields as advanced technology, glassmaking, civil aircraft parts assembly, athletic shoe production, pharmaceuticals, essential oils, offshore petroleum, and engineering, electrical machinery, and audiovisual products. Soon, with the support of both Shanghai and national authorities, we can expect our cooperation to increase.

My visit to China leaves me confident that U.S.-China relations are good and getting better. Our relationship is firmly grounded on realism, mutual respect, and a shared determination to expand our economies, provide greater opportunities for our people, and resist those who threaten peace.

Tomorrow, we leave to return to the United States. The famous poet Alfred Lord Tennyson wrote, ``I am a part of all that I have met.'' Well, the people and places of China that Nancy and I have met and seen will always remain a part of us. May I thank the leaders and the people of China for your warm hospitality and offer this toast: To the health of Mayor Wang, to the health of the other distinguished guests here this evening, and to enduring friendship between the Chinese and American people. Gan bie [Bottoms up].

Note: The President spoke at 7:28 p.m. at the Shanghai Industrial Exhibition Hall in response to a toast by Mayor Wang.