"However, some traditional and non-traditional security issues are still unresolved. Factors impeding peace and development linger on, and are sometimes more acutely felt. We are still faced with many daunting challenges," he said.

The nuclear issue of the Democratic People's Republic of Korea (DPRK) has a key bearing on stability in this region, the minister said.

"Maintaining a nuclear-weapon-free Korean peninsula, addressing the security concerns of the related countries and peacefully settling the issue through dialogue would best serve the interests of all parties and most facilitate peace and stability on the peninsula and in the region," he noted.

Another formidable task, he stressed, is to eliminate the threat of terrorist and religious extremist forces. "We must strike hard on the two evils on the one hand and seek to address both their symptoms and root causes on the other," he said.

On the outbreak of the severe acute respiratory syndrome (SARS), he said the China-ASEAN special summit "demonstrates our common will and strong resolve to work hand-in-hand through this difficult period."

Talking about the relations between his country and the Forum, Li said, "China attaches great importance to the role of this Forum and has been its active participant and promoter."

Advocating for countries to enhance mutual trust through dialogue, settle peacefully disputes through negotiations and promote common security through cooperation, he suggested that the Forum increase participation by defense officials. "This will greatly enhance mutual trust among countries and contribute to regional peace and stability," he said.

"In this context, China suggests that the ARF could sponsor a Security Policy Conference at an appropriate time to be attended mainly by military personnel," he went on to say.

He told the meeting that "The new Chinese government will firmly implement the diplomatic philosophy of 'building good- neighborly relationships and partnerships with neighboring countries' and work closely with other Asia-Pacific countries to create a healthy and stable regional security environment and make greater contribution to peace and development in this region."

Foreign ministers and representatives from the members of the Association of Southeast Asian Nations (ASEAN), the 10 regional nations, and the European Union attended Wednesday's meeting.

ASEAN groups Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.