Thirty years of diplomatic relations between China and Chile is characterized as 1)exchanges of high level visits pave the way for the steady development of bilateral relations; 2) cooperation and contacts have been moving on in all fields; and 3) economic relations between the two sides need to be promoted further. Favorable conditions exit for the development of Sino-Chilean relations in the new century. First of all, leaders of both countries have realized the importance of further development of the bilateral relations. Second, the swift process of globalization creates external conditions and necessity for China and Chile to move closer. Third, China will soon enter WTO, which will facilitate economic relations between the two countries. Fourth, both China and Chile are witnessing rapid economic development , which should lay the solid foundation for further economic cooperation. Fifth, both countries have been pursuing a strategy of diversifying external economic relations. Sixth, China's on-going efforts to open up the western areas should provide Chilean investors with more opportunities. For a better tomorrow of the bilateral relations, both China and Chile should work harder in two fields. On the one hand, mutual understanding should be further promoted; on the other, economic relations should be facilitated so as to push bilateral contacts in other areas. In order to reach the above two goals, both nations should take the following steps: 1) In addition to high level visits, exchanges at lower levels should also be emphasized. 2) Academic activities to diffuse knowledge of each other should be encouraged. 3) To avoid obstacles caused by the geographical distance, internet and other modern technological means should be utilized to serve the purpose of deepening mutual understanding. 4) It is necessary to cooperate more closely within APEC.