Significant?

[xoxoxoBruce]

BEIJING, Jan. 10 (Xinhua) -- China is ready to expand its military relations with the United States on the basis of mutual benefits and equal consultation, said Minister of National Defense Cao Gangchuan here Tuesday.

Cao, also vice-chairman of the Central Military Commission and a state councilor, made the remarks during his meeting with a delegation from the US-China Working Group under the US House of Representatives.

Cao said Sino-U.S. relations are on a sound development track and the leaders of both nations have maintained close exchanges and contacts.

Last year, Chinese President Hu Jintao and U.S. President George W. Bush met five times, and reached lots of consensus on promoting Sino-U.S. constructive cooperative ties, Cao noted.

Military ties serve as an important component part of the overall Sino-U.S. relationship, he underscored, adding that both sides should make efforts to upgrade Sino-US military ties and make it consistent with overall bilateral relations.

"We are glad to see our military ties gradually resume and develop in recent years with joint efforts of both sides," Cao acknowledged.

Last year, US Defense Secretary Donald Rumsfeld paid a successful visit to China. "His visit played a positive role in strengthening mutual understanding and cementing our military ties," Cao said.

China always holds a positive attitude toward developing military ties with the United States, and is ready to further expand military exchanges between the two sides, he said.

In regard to the Taiwan issue, Cao said it concerns China's sovereignty and territorial integrity and touches upon China's core interest. To properly settle this issue is of vital importance to the stable growth of Sino-U.S relations.

"We appreciate the U.S. government for their repeated reiteration of adhering to the one-China policy, abiding by the three Sino-US joint communique and opposing 'Taiwan independence'", he said, hoping that the U.S. side will honor its commitment and work with China to oppose and curb Taiwan independence in bid to maintain peace and stability across the Taiwan Strait.

Mark Steven Kirk and Rick Larsen, co-chairmen of the US-China Working Group, said that they are willing to join hands with the Chinese side to boost bilateral exchanges and cooperation in various fields, and contribute to the improvement of bilateral ties.

The delegation is visiting China at the invitation of the Standing Committee of the National People's Congress.

What's really going on, anything significant or just a dog & pony show while each searches for a bigger stick?
Are we trying to sell them something? vise versa? Showing N. Korea they can't play one against the other?
Planning a joint invasion of the Middle East?
Did Walmart broker this deal?