In a long speech to thousands of faithful from the ruling Communist Party in Beijing, Hu hailed China's rise from deep poverty to the world's fourth largest economy and a political power as a turning point in history.

"There's no way for us to turn back," Hu told the audience at the Great Hall of the People on the edge of Tiananmen Square, China's political heart.

"The future development of China must depend on reform and opening up."

However, in a speech laced with references to Marxist and socialist theory, Hu made it clear the Communist Party would remain in control of the country and that there would be little tolerance for dissent.

"Without stability, we can do nothing and (we will) lose what has been achieved," he said.

"Our party will... remain the backbone of all national ethnic groups in dealing with various foreign and domestic risks and tests, and remain the core in the historic process of developing socialism with Chinese characteristics."

In that vein, Western-style democracy remained out of the question.

"We need to use as reference the fruits of mankind's political civilisation, but we will by no means copy the Western political system," he said.

Hu was speaking on the 30th anniversary of the start of China's opening and reform, which began with a decision by then paramount leader Deng Xiaoping to abandon the strictly closed society chosen by his predecessor, Mao Zedong.

It was on December 18, 1978 that the elite of the Communist Party ratified Deng's launching of economic reforms.

At that time, China was emerging from the Cultural Revolution, a period of intense social and political upheaval launched by revolutionary leader Mao, and was still suffering from famines.

This new "revolution" started in the countryside, where authorities began to de-collectivise land and dismantle communes, but it quickly spread to cities.

Wary of an opposing power base in economically powerful Shanghai, Deng chose the extreme south of the country as the guinea pig for his reforms.

Shenzhen, which borders Hong Kong and was still a fishing village, and some other southern cities were designated China's first Special Economic Zones, becoming economic powerhouses that were models for the rest of the country.

Hu pointed to many of these achievements on Thursday, highlighting that China's economy had grown at an average of 9.8 percent each year since 1978, three times the world average.

With this had come global power. "Our international status and influence has risen," he said.

However Hu acknowledged many problems remained in the Chinese power structure and throughout society.

"There is a long way to go before we realise our grand goal, we have no reason to be smug," Hu said.

"We must realise our country is still in a primary state of socialism and will stay in that state for a long time."

Among the problems, Hu acknowledged that there was still a huge rich-poor divide between urban and rural areas, and that the nation's agricultural foundations remained week.

"There are still a lot of people who live in poverty," he said.

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