WASHINGTON - Chinese and American military representatives will join the annual China-US Strategic and Economic Dialogue (S&ED) next week for the first time since the dialogue's inception two years ago, said the American diplomat Kurt Campbell on Thursday.

On May 9 and 10, Vice-Premier Wang Qishan and State Councilor Dai Bingguo will co-chair the S&ED with US Secretary of the Treasury Timothy Geithner and Secretary of State Hillary Clinton.

The meeting, which is usually a framework for the two nations to discuss economic relations, will also include leaders from 16 US agencies, including Federal Reserve Chairman Ben Bernanke and Secretary of Commerce Gary Locke. They will meet decision-makers from 20 government departments in China, such as Finance Minister Xie Xuren, Central Bank Governor Zhou Xiaochuan, Science Minister Wan Gang and Commerce Minister Chen Deming.

But the participation of each nation's military will add a new dimension to the talks. Analysts see the inclusion of the militaries as an effort to stabilize military-to-military relations, which have been on rocky footing since the two countries established official diplomatic relations in 1979.

It also could be a sign that the nations are working to improve communication and transparency. Analysts said the military-to-military relations have long been the most sensitive and fragile part of China-US relations.

The meeting will also touch on a broad range of topics in economics and regional issues. Topics on the agenda will include the nuclear issue on the Korean Peninsula and Iran as well as the recent turmoil in the Middle East, said Campbell, who is currently serving as the US assistant secretary of state for East Asian and Pacific affairs.

The US will focus on China's currency exchange rate, intellectual property protection, market access and its financial system reforms, said David Loevinger, senior coordinator and executive secretary for China affairs and the S&ED.

Loevinger said that the US is aware of China's concerns about US control of exporting technology, China's investment in the US and the US' recognition of China's market economy status.

He said the discussions will not be as formal as prior meetings, adding that the delegates will have more opportunities to exchange ideas freely.

The biggest obstacle in forging stable China-US relations is misunderstanding, Bruce Jones, director of the Managing Global Order, told China Daily. "So it is very easy for something to be misinterpreted, a small thing to become a big thing. Friction can come quickly."

That is why the two countries need "to build some kind of security competent mechanism to allow both to understand what it is they need to do on security issues around China", Jones said.

Beijing suspended military exchanges with Washington last year over the US' sale of arms to Taiwan that was worth more than $6 billion. In June of last year, China rejected a proposal for a visit by US Defense Secretary Robert Gates. But toward the end of last year, ties began to thaw out through several military exchanges between lower level officials, culminating in Gates' visit to China in early January.

After the S&ED, at the invitation of Mike Mullen, chairman of the Joint Chiefs of Staff, Chen Bingde, chief of the general staff of the People's Liberation Army, will visit the US from May 15-22.

Chen Bingde's visit, the first in seven years by an officer of his rank, is part of efforts to implement a consensus reached by President Hu Jintao and US President Barack Obama, according to the Chinese Defense Ministry.

China Daily

(China Daily 05/06/2011 page1)