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  • Home> Bilateral Cooperation > In Brief

    Bilateral Relations

      

    I. Political Relations

    China and Nepal enjoy over a thousand years of friendly contacts. Master Monk Fa Xian of the Jin Dynasty and Master Monk Xuanzang of the Tang Dynasty visited Lambini (in the south of Nepal), the birthplace of Sakyamuni. During the Tang Dynasty, Nepalese Princess Khir-btsun married Tibet's Songtsan Gambo Eminant Nepalese Craft-man Arnikor came to Beijing to supervise the building of the White Dagoba Temple during the Yuan Dynasty.

    Since the establishment of Sino-Nepalese diplomatic relations on August 1, 1955, traditional friendship and friendly cooperation between the Chinese and Nepalese people have witnessed continuous development. Frequent have been the contacts between the leaders of the two countries. Nepalese king and prime ministers visited China many a time. Premier Zhou Enlai paid two visits to Nepal. Vice-Premier Deng Xiaoping, Premier Li Peng, Chairman of the CCPCC Li Ruihuan and Vice-Premier cum Foreign Minister Qian Qichen also visited Nepal respectively. At the end of 1996, President Jiang Zemin paid a state visit to Nepal, and the leaders of the two countries jointly established friendly and neighborly partnership of generations into the 21st century, thus pushing the Sino-Nepalese friendly relations onto a new high.

    In April 2002, Nepalese Foreign Secretary Achariya visited China and briefed the Chinese side on the latest developments in Nepal. In July the same year, Nepalese King Gyanendra paid a state visit to China. President Jiang Zemin, Chairman Li Peng Premier Zhu Rongji and Vice-President Hu Jintao met him respectively. Leaders of the two countries spoke highly of Sino-Nepalese neighborly friendship and cooperation and reached broad consensus on further deepening and expanding exchanges and cooperation in various areas. Both sides signed agreements on economic and technological cooperation, trade relations between China's Tibet Autonomous Region and Nepal and other issues concerned; and announced the founding of the Sino-Nepalese Friendship Association and Chinese Government's agreement of an honorary consul in Shanghai appointed by the Nepalese side. In October, Premier Zhu Rongji and Foreign Minister Tang Jiaxuan sent inauguration messages to new Nepalese Prime Minister Chand and Foreign Minister Shah respectively. In November, the Chinese Government approved the appointment of an honorary consul of the Nepalese Royal Government to China accredited in Shanghai, and Wu Jianmin was the consul recommended by the Nepalese side. Nepalese King Gyanendra sent a congratulatory message to Hu Jintao on his election as the general secretary of the Central Committee of the Communist Party of China.

    In March 2003, Nepalese King Gyanendra Prime Minister Chand and Foreign Minister Shah sent congratulatory messages respectively to new President Hu Jintao, Premier Wen Jiabao and Foreign Minister Li Zhaoxing. In June, Premier Wen Jiabao sent a message to new Nepalese Prime Minister Thapa to congratulate him upon his assumption of office.

    Mutual understanding has been strengthened through exchange of visits, and fruitful cooperation achieved in various fields.

    Aug 1, 1955 establishment of diplomatic relations.

    April 25-May 7, 1956 participation in the coronation of the King of Nepal, Mahendra Bir Bikram Shah Dev by Vice Premier Mr. Ulanfu, special envoy of the Chinese Government.

    January 25-29, 1957 Premier Zhou Enlai's visit to Nepal.

    March 11-24, 1960 Premier Bishwesar Prasad Koirala's visit to China.

    April 26-29, 1960 Premier Zhou Enlai and Vice Premier Chen Yi's visit to Nepal.

    July 1960 establishment of the Chinese Embassy in Nepal.

    September 1961 establishment of the Nepalese Embassy in China.

    September 28-October 5, 1961 King of Nepal Mahendra Bir Bikram Shah Dev's visit to China.

    June 25-July 13, 1966 crown prince of Nepal Birendra's visit to China.

    November 14-25, 1972 Prime Minister Bista's visit to China.

    December 7-14, 1973 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    February 22-26, 1975 participation in the coronation of King of Nepal, Birendra Bir Bikram Shah Dev by Vice Premier Chen Xilian, special envoy of the Chinese Government.

    June 2-9, 1976 King of Nepal Birendra Bir Bikram Shah Dev's visit to Sichuan Province and Tibet Autonomous Region of China.

    February 3-6, 1978 Vice Premier Deng Xiaoping's visit to Nepal.

    May 14-15, 1978 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    September 27-October 4, 1978 Prime Minister Bista's visit to China.

    August 26-29, 1979 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    June 4-7, 1981 Premier Zhao Ziyang's visit to Nepal.

    July 27-August 3, 1982 King of Nepal Birendra Bir Bikram Shah Dev's visit to Lanzhou city, Gansu Province of China and Ganze and Xigaze of China's Tibet Autonomous Region.

    March 19-23, 1984 President Li Xiannian's visit to Nepal.

    May 28-June 1, 1987 Vice Premier Qiao Shi's visit to Nepal.

    September 14-17, 1987 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    September 5-15, 1989 former Prime Minister Bista's visit to China.

    November 19-21, 1989 Premier Li Peng's visit to Nepal.

    March 16-22, 1992 Premir Minister Girija Prasad Koirala visit to China.

    November 27- 30, 1992 Vice Chairman of the Standing Committee of the NPC, Liao Hansheng's visit to Nepal.

    September 20-27, 1993 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    October 30-November 6, 1993 Prime Minister Koirala visit to Tibet Autonomous Region of China.

    November 25-29, 1993 Chairman of the CPPCC National Committee, Li Ruihuan's visit to Nepal.

    April 9-21, 1994 Chairman of the Nepalese National Council, Beni Bahadur Karki's visit to China.

    July 19-20, 1994 Vice Premier and Foreign Minister Qian Qichen's visit to Nepal.

    April 17-21, 1995 Prime Minister Man Moham Adhikari's visit to China.

    April 17-23, 1996 Prime Minister Sher Bahadur Deuba's visit to China.

    August 23-30, 1996 King of Nepal Birendra Bir Bikram Shah Dev's visit to China.

    December 4-5, 1996 President Jiang Zemin's visit to Nepal.

    November 10-14, 1997 Vice Chairwoman of NPC Standing Committee, Mme. Chen Muhua's visit to Nepal.

    September 5-12, 1999 former Prime Minister Deuba's visit to China.

    May 2000, State Councilar Igmail Ahmat visited Nepal to participate in the official opening of the Chinese Teemple built by China.

    On Aug. 20-26, 2000, Nepalese Foreign Minister Chakra Bastola Paid a visit to China.

    In February 2001, Chi Haotian, Vice chairman of the Central Military Commission of the CPC, Minister of National Defence headed a PLA delegation to visit Nepal.

    In February 2001, His Majesty King Birendra Bir Bidram Shah paid a state visit to China.

    In May 2001, Premier Zhu Rongji paid an official visit to Nepal.

    In July 2002, Gyanendra the King came to China for a visit.

    II. Economic and Trade Relations and Economic / Technological cooperation

    As a friendly neighbor of China, Nepal is one of the first group of countries China has provided with aid. Since 1956, China has rendered the Nepalese Government 64 sums of aid, all free, with the total amount close to RMB 1.4 billion. With the help of this financial assistance, 30 whole plants have been undertaken, with 25 of them built, one being built and 4 to be built. They are mainly highways, brick-kilns, paper mills, hospitals, schools, hydro-power stations, textile plants, tanneries, irrigation projects, sugar refineries and International Conference House. In addition, 15 batches of commodities as aid have been given to Nepal, and they are mainly grain, edible salt, trucks and trolley-buses.

    In 1981, China started contracted projects and labor cooperation in Nepal, with obvious edge and competitiveness in latter's contracting market. By the end of 2002, the contracting volume concerning the business of labor cooperation China had undertaken in Nepal reached US$ 0.72 billion, and turnover reached US$ 0.62 billion. In 2002, there were altogether 19 Chinese project-contracting corporations in Nepal, with their Chinese staff totaling of the 2003 projects under construction, 12 were contracted projects and one labor project. Contracts signed amounted to US$ 20 million and more.

    Sino-Nepalese trade volume is insignificant. In 2002, it totaled US$ 110.35 million, down 28% from the previous year; of which China's exports accounted for US$ 105.07 million, down 29.3% from 2001, and its imports US$ 5.28 million, up 13.9% from 2001.

    In 1983, China and Nepal set up a joint economic and trade committee between their two governments. 8 meetings have been held so far, at which Sino-Nepalese economic and trade developments as well as their problems were discussed. During the Nepalese prime minister's visit to China in April 1996, both sides signed notes on agreeing to establish a forum for non-governmental cooperation between China and Nepal led by industrial and business federations of the two countries so as to promote people to people economic and trade exchange and cooperation between the two countries. This forum has called 6 meetings already.

    III. Exchanges and Cooperation in Culture, Education and Sci-Technology

    China and Nepal conduct exchanges in literatures, art, broadcasting, science, religion, photography, publication, and education. The former provides a certain number of scholarships for the latter annually: 100 scholarships every year. There are now over 800 Nepalese students studying in China. In 2000, Nepal became the 16th country of destination for Chinese citizens going on overseas tours with their own expenses. In June 2002, Chinese citizens went to Nepal officially for the first time as tourists.

    IV. Other Aspects Concerning Sino-Nepalese Relations

    1) Relations between Nepal and China's Tibet

    China's Tibet and Nepal enjoy traditional and friendly relation. Over the recent years, they have seen fast development in their economic, trade, tourist and cultural cooperation. In 1978, China and Nepal signed an air agreement and in 1987, Lhasa-Kathmandu flight was opened, which is operated unilaterally by China's Southwestern Airlines with its chartered planes. In May 1994, the two countries signed an auto transport agreement on Lhasa-Kathmandu route. In 1999, they signed the notes of agreement on cross-border grazing. In July 2002, they signed an agreement on trade and other issues between Tibet Autonomous Region of China and Nepal.

    Since 1962, border trade by land was launched between Tibet Autonomous Region of China and Nepal. Over the recent years, trade volume between Tibet and Nepal has greatly increased, which totaled US$ 66.159 million in 2002, with China's exports registering US$ 61.02 million.

    2) Non-Governmental Cooperation Forum between China and Nepal

    On April 18, 1996, the Chinese and Nepalese Governments signed in Beijing Exchanged Notes Concerning Agreement on Sino-Nepalese Forum for Non-Governmental Cooperation, confirming both sides would establish this forum consisting of industrialists, businessmen, scholars, exports and government representatives, in order to promote economic and trade contacts and cooperation between the people of the two countries, and the development of the friendly relations and cooperation between the two countries. Wang Yimin, Vice-Chairman of All China Federation of Industry and Commerce is the head of the Chinese Committee of the forum and committee members include representatives from this federation, foreign ministry, Ministry of commerce, development and research center under the State Council as well ass some private citizen entrepreneurs. First Vice-President of Nepalese Federation of Industry and Commerce is the chairman of the Nepalese Committee.

    V. Important Bilateral Agreements

    September 20, 1956 Agreement between the People's Republic of China and the Kingdom of Nepal on the maintenance of Friendship and Trade and Transport between Tibet Autonomous Region of China and Nepal.

    March 21, 1960 Agreement between the People's Republic of China and the Kingdom of Nepal on the Question of the Boundary between the Two Countries.

    April 28, 1960 Treaty on Sino-Nepalese Peace and Friendship.

    October 5, 1961 the Sino-Nepalese Boundary Treaty.

    January 20, 1963 Protocol between the Government of People's Republic of China and His Majesty's Government of Nepal Relating to the Boundary between the Two Countries.

    May 19, 1964 Trade Agreement between the Government of the People's Republic of China and His Majesty's Government of Nepal.

    October 11, 1964 agreement on Sino-Nepalese Cultural cooperation.

    May 2, 1966 Agreement between the Government of the People's Republic of China and His Majesty's Government of Nepal on Trade, Transport and Related Questions between the Tibet Autonomous Region of China and Nepal , and abrogation of Agreement between the Government of the People's Republic of China and the Government of Nepal on the Maintenance of Friendship and Trade and Transport between Tibet Autonomous Region of China and Nepal signed on September 20, 1956.

    April 30, 1976 Notes exchanged for an extension of 10 years on the Agreement between the Government of the People's Republic of China and His Majesty's Government of Nepal on Trade, Transport and Related Questions between the Tibet Autonomous Region of China and Nepal.

    August 21, 1978 the Agreement between the Government of the People's Republic of China and His Majesty's Government of Nepal on Civil Aviation.

    November 22, 1981 Agreement on Sino-Nepalese Trade and Settlement.

    October 10, 1983 Notes Exchange for Sino-Nepalese cross-borden pasturing.

    August 1, 1986 Signing of the Amendment of the Agreement between the Government of the People's Republic of China and His Majesty's Government of Nepal on Trade, Transport and Related Questions between the Tibet Autonomous Region of China and Nepal , with the term of validity of 10 years.

    November 11, 1986 Notes Exchange for extension of some articles on Sino-Nepalese cross-border pasturing.

    August 1987, MOU concerning the temporary flight services between Lhasa and Katmandu.

    December 1999, China-Nepal Cultural Cooperation Agreement.

    February 2000, China-Nepal Agreement on Economic and Technological Cooperation.

    In May 2001, China and Nepal signed an agreement on avoiding dual taxation and prevention from tax-evasion.

    In July 2002, China and Nepal signed an agreement on trade and other relevant problems between China's Tibet Autonomous Region and Nepal.

    (Information from Ministry of Foreign Affairs, PRC)

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