Premier Wen Jiabao Friday called for the mainland and Taiwan to enhance mutual political trust and strengthen the political foundation for a peaceful relationship.
The mainland and Taiwan should uphold the principle that the two sides belong to one and the same China, Wen said in the government work report at the annual session of the National People's Congress, the top legislature.
Wen hailed the progress made in mainland-Taiwan relations during the past year, saying that continuous improvement has brought real benefits to the people.
Ties across the Taiwan Strait have warmed up in recent years, with the realization of direct air and sea transport links and postal services.
The two sides are also negotiating about an economic pact, the Economic Cooperation Framework Agreement (ECFA), which aims at normalizing trade and investment links.
Wen said in the report that a unique economic cooperation mechanism would be established through negotiating and signing the ECFA.
In an online chat with Internet users on Saturday, Wen said the mainland is willing to make concessions when negotiating.
"The reason is very simple: Taiwan compatriots are our brothers," he said.