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  • President Obama: I know we're a little behind,

  • but that's mainly because

  • President Xi and I had a very constructive conversation

  • on a whole range of strategic issues,

  • from North Korea to cyberspace to international institutions.

  • And I'm very much looking forward

  • to continuing the conversation,

  • not only tonight at dinner but also tomorrow.

  • But I thought we'd take a quick break just to take a question

  • from both the U.S. and Chinese press.

  • So what I'll do is I'll start with Julie Pace

  • and then President Xi can call on a Chinese counterpart.

  • The Press: Thank you, Mr. President.

  • How damaging has Chinese cyber-hacking been to the U.S.?

  • And did you warn your counterpart about any specific

  • consequences if those actions continue?

  • And also, while there are obviously differences between

  • China's alleged actions and your government's surveillance

  • programs, do you think that the new NSA revelations undermine

  • your position on these issues at all during these talks?

  • And President Xi, did --

  • President Obama: Why don't you let the interpreter --

  • The Press: And President Xi, did you acknowledge

  • in your talks with President Obama

  • that China has been launching cyber attacks against the U.S.?

  • Do you also believe that the U.S. is launching

  • similar attacks against China?

  • And if so, can you tell us

  • what any of the targets may have been?

  • Thank you.

  • President Obama: Well, Julie, first of all, we haven't had, yet,

  • in-depth discussions about the cybersecurity issue.

  • We're speaking at the 40,000-foot level,

  • and we'll have more intensive discussions

  • during this evening's dinner.

  • What both President Xi and I recognize is that

  • because of these incredible advances in technology,

  • that the issue of cybersecurity and the need for rules

  • and common approaches to cybersecurity

  • are going to be increasingly important

  • as part of bilateral relationships

  • and multilateral relationships.

  • In some ways, these are uncharted waters

  • and you don't have the kinds of protocols

  • that have governed military issues,

  • for example, and arms issues, where nations have a lot

  • of experience in trying to negotiate what's acceptable

  • and what's not.

  • And it's critical, as two of the largest economies

  • and military powers in the world,

  • that China and the United States arrive

  • at a firm understanding

  • of how we work together on these issues.

  • But I think it's important, Julie, to get to the second part

  • of your question, to distinguish between the deep concerns

  • we have as a government around theft of intellectual property

  • or hacking into systems that might disrupt those systems --

  • whether it's our financial systems, our critical

  • infrastructure and so forth -- versus some of the issues

  • that have been raised around NSA programs.

  • When it comes to those cybersecurity issues

  • like hacking or theft, those are not issues

  • that are unique to the U.S.-China relationship.

  • Those are issues that are of international concern.

  • Oftentimes it's non-state actors

  • who are engaging in these issues as well.

  • And we're going to have to work very hard to build a system

  • of defenses and protections, both in the private sector

  • and in the public sector,

  • even as we negotiate with other countries

  • around setting up common rules of the road.

  • And as China continues in its development process

  • and more of its economy is based on research and innovation

  • and entrepreneurship,

  • they're going to have similar concerns.

  • Which is why I believe we can work together on this

  • rather than at cross-purposes.

  • Now, the NSA program, as I discussed this morning,

  • is a very limited issue,

  • but it does have broad implications

  • for our society because you've got a lot of data out there,

  • a lot of communications that are in cyberspace.

  • And how we deal with both

  • identifying potential terrorists or criminals,

  • how the private sector deals with potential theft,

  • and how the federal government, state governments,

  • local governments, and the private sector coordinate

  • to keep out some of these malicious forces

  • while still preserving the openness

  • and the incredible power of the Internet and the web

  • and these new telecommunications systems --

  • that's a complicated and important piece of business.

  • But it's different from these issues of theft and hacking.

  • And every government is then inevitably going to be involved

  • in these issues, just like big companies

  • are going to be involved in these issues.

  • I mean, you've got private companies

  • that have a lot more data

  • and a lot more details about people's emails

  • and telephone calls than the federal government does.

  • And if we're called upon not only to make sure

  • that we're anticipating terrorist communications

  • but we're also called upon to work with the private sector

  • to prevent theft out of ATMs, et cetera,

  • then we're going to have to find ways

  • to deal with this big data

  • in ways that are consistent with our values;

  • in ways that protect people's privacy,

  • that ensure oversight, and strike the right balance.

  • And as I indicated this morning,

  • that's a conversation that I welcome having.

  • President Xi: (as interpreted) As President Obama said,

  • in our meeting this afternoon

  • we just briefly touched upon the issue of cybersecurity.

  • And the Chinese government is firm in upholding cybersecurity

  • and we have major concerns about cybersecurity.

  • In the few days before President Obama and I meet today,

  • I note sharp increased media coverage

  • of the issue of cybersecurity.

  • This might give people the sense or feeling that cybersecurity

  • as a threat mainly comes from China or that the issue

  • of cybersecurity is the biggest problem

  • in the China-U.S. relationship.

  • The application of new technology

  • is a double-edged sword.

  • On the one hand, it will drive progress in ensuring better

  • material and cultural life for the people.

  • On the other hand, it might create some problems for

  • regulators and it might infringe upon the rights of states,

  • enterprises, societies and individuals.

  • We need to pay close attention to this issue and study ways

  • to effectively resolve this issue.

  • And this matter can actually be an area for China

  • and the United States to work together with each other

  • in a pragmatic way.

  • And I'm happy to learn

  • that within the context of the China-U.S. strategic

  • and economic dialogue, a working group has been

  • established to discuss cybersecurity issues.

  • So this is an issue that the two sides will continue to discuss.

  • By conducting good-faith cooperation we can remove

  • misgivings and make information security and cybersecurity

  • a positive area of cooperation between China and the U.S.

  • Because China and the United States both have a need

  • and both share a concern,

  • and China is a victim of cyber attacks

  • and we hope that earnest measures

  • can be taken to resolve this matter.

  • Thank you.

  • The Press: I'm with China Central Television

  • and my question for President Xi is,

  • what are the main issues that were discussed

  • in the longer-than-expected meeting this afternoon?

  • And what are the major areas of consensus

  • that have emerged from the discussion?

  • And last year, when you were visiting the United States,

  • you raised the concept of the two sides working together

  • to explore what you call a new model of major country

  • relationship, something that is unprecedented

  • in the relationship

  • and that can inspire future generations.

  • And after this concept was raised,

  • there has been much discussion and comment on it,

  • both in China and the United States

  • and in the world more broadly.

  • So did you have further discussion on this issue

  • in your meeting this afternoon?

  • And my question for President Obama is,

  • what will the United States do

  • to contribute to the building of a new model

  • of major country relationship between China and the U.S.?

  • President Xi: (as interpreted) In the first meeting

  • that I've had with President Obama this afternoon,

  • we had an in-depth, sincere and candid discussion

  • on the domestic and foreign policies

  • of China and the United States,

  • on our joint work to build a new model

  • of major country relationship,

  • and our international and regional issues

  • of mutual interest.

  • And the President and I reached

  • important consensus on these issues.

  • I stated very clearly to President Obama

  • that China will be firmly committed

  • to the path of peaceful development

  • and China will be firm in deepening reform

  • and opening up the country wider to the world.

  • China will work hard to realize the Chinese dream

  • of the great national renewal

  • and will work hard to push forward the noble cause

  • of peace and development for all mankind.

  • By the Chinese dream, we seek to have economic prosperity,

  • national renewal and people's well-being.

  • The Chinese dream is about cooperation, development,

  • peace and win-win,

  • and it is connected to the American Dream

  • and the beautiful dreams people in other countries may have.

  • President Obama and I both believe that in the age

  • of economic globalization and facing the objective need

  • of countries sticking together in the face of difficulties,

  • China and the United States must find a new path --

  • one that is different

  • from the inevitable confrontation and conflict

  • between the major countries of the past.

  • And that is to say the two sides must work together to build

  • a new model of major country relationship based on mutual

  • respect and win-win cooperation for the benefit of the Chinese

  • and American peoples, and people elsewhere in the world.

  • The international community

  • looks to China and the United States to deliver this.

  • When China and the United States work together,

  • we can be an anchor for world stability

  • and the propeller of world peace.

  • I stand ready to work with President Obama to expand

  • on all levels of exchanges between the two sides.

  • I look forward to maintaining close communication

  • with the President through mutual visits,

  • bilateral meetings, exchange of letters and phone calls.

  • And I invited President Obama to come to China

  • at an appropriate time for a similar meeting like this.

  • And we look forward to visiting each other country.

  • At the same time, the two sides will work hard to make progress

  • in the various bilateral mechanisms,

  • such as the strategic and economic dialogue

  • and the high-level consultation on people-to-people exchange.

  • Also, the Chinese Minister of Foreign Affairs

  • and the Chinese Minister of National Defense

  • will both make visits to the United States within the year.

  • Our two sides should also step up exchanges and cooperation

  • in economy and trade, energy, environment, people-to-people,

  • and cultural fields, as well as at the sub-national level,

  • so that we can deepen the shared interests of the two countries

  • and expand them to all areas.

  • We should also improve and strengthen

  • the military-to-military relationship

  • between the two countries

  • and promote the building of a new model

  • of military relationship between the two sides.

  • The two sides should also improve coordination on

  • microeconomic policies so that by strengthening cooperation,

  • we can contribute to our respective development at home,

  • and promote strong, sustainable and balanced economic growth

  • in the Asia Pacific region and the world at large.

  • And I'm confident in our joint effort to build a new model

  • of major country relationship.

  • I believe success hinges on the human effort.

  • Firstly, both sides have the political

  • will to build this relationship.

  • Secondly, our cooperation in the last 40 years provides

  • a good foundation for us to build on.

  • Thirdly, between China and the United States,

  • there are over 90 intergovernmental mechanisms

  • which provide the institutional underpinning for our efforts.

  • Fourth, there is strong public support for this kind

  • of relationship between China and the United States.

  • There are 220 pairs of sister provinces,