At the stroke of midnight last night, the red flag of the People's Republic of China was raised in Macau, signifying the end of Portuguese rule after almost 450 years.
As it fluttered crisply in a blast of compressed air over the heads of 2,500 dignitaries attending a handover ceremony, President Jiang Zemin of China served notice that, following the return of Hong Kong and Macau to the motherland, Beijing now had its eye firmly fixed on the final prize, reunification with Taiwan.
"The Chinese government and its citizens have the confidence and ability to solve the Taiwan issue and realise China's complete reunification," Mr Jiang said in a brief speech, in which he restated Beijing's policy of winning back Taiwan through a policy of one country-two systems.
President Jorge Sampaio of Portugal and Macau's last governor, Gen Vasco Rocha Vieira, departed for the airport immediately after the ceremony, passing cars, taxis and buildings already flying the Chinese flag.
Large crowds gathered in Macau's streets and squares before the handover ceremony, which began at 11.57 p.m. local time as Portugal's red and green emblem was lowered for the last time since its merchant seamen set up a trading post on the South China Sea coast in 1557.
The handover took place in a prefabricated, translucent building which turned red at midnight, and featured silk flags of both countries made especially in New York at a cost of $1,000 each.
It took place in a more relaxed atmosphere than in Hong Kong in 1997. There has been little friction between Beijing and Lisbon over the level of autonomy to be granted to Macau. Also, most of the 450,000-strong population, which is 95 per cent ethnic Chinese, believe Chinese sovereignty will mean a more prosperous future.
Unlike Hong Kong, the arrival of the People's Liberation Army - the first 200 officers of a 900-strong garrison will march in at midday today - is generally welcomed in Macau as a deterrent to the crime wave which has recently plagued the gambling enclave.
The new, partly-elected, government of Macau under the chief executive, Mr Edmund Ho, a popular local businessman who has made the defeat of criminal "triad" gangs his top priority, was sworn in shortly after the handover.
A joyous day for the Chinese leadership was marred by a demonstration held outside the main casino by 30 foreign passport holders of the Falun Gong spiritual sect, which is banned in mainland China. They were removed by police under orders not to let anything disrupt the handover ceremony, and later most were deported. A Taiwan journalist was also arrested.
Among the official guests was the Minister for Foreign Affairs, Mr Andrews, who came to Macau to show Ireland's commitment to Asia, according to a spokesman. A fireworks display was cancelled due to a strong cold wind, but there were fireworks in Beijing where several thousand people attended a stage-managed celebration in Tiananmen Square.
Portugal left in style, throwing a gala party with brightly coloured dragon dancers. Mr Luis Represas, a Portuguese singer, sang his official composition, Macao, Missing You Feels Good. Gen Rocha recited poetry to capture the emotion of the day, saying: "We were navigators and discoverers and only as a result of this were we conquerors and colonisers."
The Governor and the Portuguese President toured the city's colonial-style buildings to bid farewell to the dwindling community of 11,000 Portuguese and Macanese, people of mixed Portuguese and Asian blood, who will remain behind.
President Jiang and the Chinese Prime Minister, Mr Zhu Rongji, met President Martti Ahtisaari of Finland, earlier in the afternoon. Chinese military leader, Gen Zhang Wannian, raised the Taiwan issue when he addressed PLA troops in Zhuhai, prior to entering Macau.
He urged them to convey to the world the PLA's "excellent image" through the "window" of Macau and noted that the final return of Taiwan would realise China's complete reunification of the motherland.