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Chinese President Hu Jintao (right) meets with visiting Indian Prime Minister Atal Behari at the Great Hall of the People in Beijing.[Xinhua]

China and India have committed to four new principles to guide their relationship. The principles are outlined in a declaration signed by leaders of the two countries in Beijing on Monday -- details of which were released Tuesday.

The document is regarded by both sides as a legal basis for bilateral relations, marking a new phase in Sino-Indian ties.

The four principles in the declaration, signed by Chinese Premier Wen Jiabao and Indian Prime Minister Atal Bihari Vajpayee on Monday evening, are:

** Develop a long-term constructive and co-operative partnership on the basis of the Five Principles of Peaceful Co-existence, mutual respect and sensitivity for each other's concerns and equality;L Share an interest in maintaining peace, stability and prosperity in Asia and the world, and a mutual desire in developing wider and closer co-operation and understanding in regional and international affairs;

** The common interests of the two sides outweigh their differences. The two countries are not a threat to each other.

Jiang Zemin (R), Chairman of the Military Commission and former Chinese president meets Indian Prime Minister Atal Behari Vajpayee in Beijing on June 24. [newsphoto.com.cn]

Neither side shall use or threaten to use force against the other;L Agree to qualitatively enhance the relationship at all levels and in all areas while addressing differences through peaceful means in a fair, reasonable and mutually acceptable manner.China and India also listed several measures in the document to improve co-operative ties. They include:

** Hold regular high-level exchanges between the two countries. Agree to hold annual meetings between the countries' foreign ministers.

** Set up a Joint Study Group composed of officials and economists to examine the potential for expanding trade and economic co-operation between the two countries and draw up a five-year programme to develop that potential.L Launch a financial dialogue and co-operation mechanism to strengthen co-ordination in this sector

** Enhance co-operation at World Trade Organization (WTO) forums and talk on a regular basis on WTO issues.

** Broaden and deepen defence exchanges between the two countries.

The declaration says that "the two sides exchanged views on the China-India boundary question and expounded their respective positions.''

They reiterated their readiness to seek a fair, responsible and mutually acceptable solution through consultations on an equal footing.

The two sides agreed that pending an ultimate solution, they should work together to maintain peace in border areas. They are also committed to implementing existing agreements, including the clarification of the line of actual control.

On the Tibet issue, India said in the declaration it "recognizes that the Tibet Autonomous Region is part of the territory of the People's Republic of China and reiterated that it does not allow Tibetans to engage in anti-China political activities in India.''

China expresses its appreciation for the Indian position and reiterated that it is firmly opposed to any attempt or action aimed at splitting China and bringing about the "independence of Tibet.''

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